Gache, Rosette L.

3-BSA-1 Business Taxation

Activity 7
P 6.1
GROSS GIFTS
RESIDENT CITIZEN NON-RESIDENT CITIZEN RESIDENT ALIEN
To Abel, car P 800,000 P 800,000 P 800,000
To Jen, condominium 3,000,000 3,000,000 3,000,000
unit
To Gore, GJ Co.
250,000 250,000 250,000
shares
To Alexa, shares of
100,000 100,000 100,000
stock in foreign corp.
To Earl, building in
5,000,000 5,000,000 5,000,000
Singapore
To Hananiah, parcel
1,500,000 1,500,000 1,500,000
of land in Isabela
To Chen, bank
100,000 100,000 100,000
deposit in BPI
To Kristine, bank
deposit in 100,000 100,000 100,000
Metrobank, US
To Gavrie, cash 500,000 500,000 500,000
Transfer for
Insufficient
5,000,000 5,000,000 5,000,000
Consideration-Land
in USA
Transfer for
Insufficient
200,000 200,000 200,000
Consideration- Car in
Manila
GROSS GIFTS P 16,550,000 P 16,550,000 P 16,550,000

NRA W/ RECIPROCITY NRA W/OUT

RECIPROCITY
To Abel, car P 800,000 P 800,000
To Gore, GJ Co.
- 250,000
shares
To Alexa, shares of
- 100,000
stock in foreign corp.
To Hananiah, parcel 1,500,000 1,500,000
 of land in Isabela
To Chen, bank
- 100,000
deposit in BPI
To Gavrie, cash - 500,000
Transfer for
Insufficient
200,000 200,000
Consideration- Car in
Manila
GROSS GIFTS P 2,500,000 P 3,450,000

P 6.5
a. March 1

Net Gift P 200,000

Less: Exempt 200,000
Donor’s Tax Payable P0

b. May 30

Gross Gift P 500,000

Less: Assumed Mortgage 100,000
Net Gift P 400,000
Prior, Net Gift March 1 200,000
Net Taxable Gift, Cumulative P 600,000
Less: Exempt 250,000
Taxable Net Gift P350,000
Donor’s Tax Rate 6%
Donor’s Tax Due & Payable P 21,000

c. June 30

Net Gift P 300,000

Prior, Net Gift March 1 200,000
Prior, Net Gift May 30 400,000
Net Taxable Gift, Cumulative P 900,000
Less: Exempt 250,000
Taxable Net Gift P650,000
Donor’s Tax Rate 6%
Donor’s Tax Due P 39,000
Less: Previous Tax Due & Paid 21,000
Donor’s Tax Payable P 18,000
d. July 30

Net Gift P 200,000

Prior, Net Gift March 1 200,000
Prior, Net Gift May 30 400,000
Prior, Net Gift June 30 300,000
Net Taxable Gift, Cumulative P 1,100,000
Less: Exempt 250,000
Donation to Charity 200,000
Taxable Net Gift P650,000
Donor’s Tax Rate 6%
Donor’s Tax Due P 39,000
Less: Previous Tax Due & Paid 39,000
Donor’s Tax Payable P0

e. September 30

Gross Gift P 3,000,000

Less: Assumed Mortgage 600,000
Net Gift P 2,400,000
Prior, Net Gift March 1 200,000
Prior, Net Gift May 30 400,000
Prior, Net Gift June 30 300,000
Prior, Net Gift July 31 200,000
Net Taxable Gift, Cumulative P 3,500,000
Less: Exempt 250,000
Donation to Charity 200,000
Taxable Net Gift P3,050,000
Donor’s Tax Rate 6%
Donor’s Tax Due P 183,000
Less: Previous Tax Due & Paid 39,000
Donor’s Tax Payable P 144,000
P 6.7
a. June 6

HUSBAND WIFE
To Jun-jun P 230,000 To Jun-jun P 230,000
To Bea 10,000 To Bea 10,000
Less: Mortgage 2,000 Less: Mortgage 2,000
Net Gift P 236,000 Net Gift P 236,000
Less: Exempt 236,000 236,000
Donor’s Tax Payable P0 Donor’s Tax Payable P0

b. October 8

HUSBAND WIFE
To Robert P 30,000 To Robert P 30,000
Prior Gift, To Jun-jun 230,000 Prior Gift, To Jun-jun 230,000
Prior Gift, To Bea 10,000 Prior Gift, To Bea 10,000
Less: Mortgage 2,000 Less: Mortgage 2,000
Net Gift P 268,000 Net Gift P 268,000
Less: Exempt 250,000 Less: Exempt 250,000
Net Taxable Gift P 18,000 Net Taxable Gift P 18,000
Donor’s Tax Rate 6% Donor’s Tax Rate 6%
Donor’s Tax Due & P 1,080 Donor’s Tax Due & P 1,080
Payable Payable

c. November 4

HUSBAND WIFE
To Cindy P 2,000 To Cindy P 2,000
Prior Gift, To Jun-jun 230,000 Prior Gift, To Jun-jun 230,000
Prior Gift, To Bea 10,000 Prior Gift, To Bea 10,000
Prior Gift, To Robert 30,000 Prior Gift, To Robert 30,000
Less: Mortgage 2,000 Less: Mortgage 2,000
Net Gift P 270,000 Net Gift P 270,000
Less: Exempt 250,000 Less: Exempt 250,000
Net Taxable Gift P 20,000 Net Taxable Gift P 20,000
Donor’s Tax Rate 6% Donor’s Tax Rate 6%
Donor’s Tax Due P 1,200 Donor’s Tax Due P 1,200
Less: Donor’s Tax 1,080 Less: Donor’s Tax 1,080
Paid Paid
Donor’s Tax Payable P 120 Donor’s Tax Payable P 120