PROBLEM#1

The following were donations all on one date:

Real property in the Philippines P4,000,000
Real property in Indonesia 3,000,000
Tangible personal property in the Philippines 1,000,000
Tangible personal property in Thailand 900,000
Intangible personal property in the Philippines 1,200,000
Intangible personal property in Malaysia 500,000

a) Gross gifts if the donor is a citizen or resident of the Philippines?

b) Gross gifts if the donor is neither a citizen nor resident of the Philippines?

PROBLEM#2
Donation of properties with FMV:
Land in Indonesia P1,000,000
Land and building in the Philippines 1,500,000
Shares of stock of a domestic corporation 500,000
Shares of stock of a foreign corporation 400,000
Receivable from a friend (residing the same
country as that of donor) 50,000
Cancellation of indebtedness of a resident of the
country where the transferor resides 20,000

There was a transfer inter vivos (to take effect during the lifetime of the transferor) of property in the
country of the transferor: Consideration received – P90,000; FMV at the time of transfer P200,000.

a) Gross gifts if the donor is a citizen or resident of the Philippines?

b) Gross gifts if the donor is neither a citizen nor resident of the Philippines?

PROBLEM#1
Donations were made as follows:
Of cash in the Philippines:
To a legitimate daughter on account of marriage P500,000
To an illegitimate son on account of marriage 600,000
To a legally adopted daughter on account of marriage 9,500
To a friend on the occasion of her birthday 2,000
To the Paco Catholic Church, Philippines 50,000
Of cash in the United States:
To a recognized natural child in PHP 100,000
To the West Virginia Cathedral in PHP 60,000
Of land in Malaysia to a legitimate son on account of marriage
but the son will assume a mortgage on the land of P200,000 500,000

a) Deductions from the gross gifts if the donor was a citizen or resident of the
Philippines?
b) Deductions from the gross gifts if the donor was neither a citizen nor resident
of the Philippines?

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PROBLEM#2
Donations were made as follows:
On account of marriage:
Of property in the Philippines to a legitimate son P500,000
Of property in Malaysia to a recognized natural daughter 600,000
Of property in Indonesia to an illegitimate child 300,000
Of property in the Philippines to an adopted child 200,000
Of property in the Philippines to a brother with an assumption
by the brother of a P15,000 mortgage in property 50,000
Of cash to the Philippine National Government 150,000
Of cash to the Philippine National Red Cross 20,000

a) Deductions from the gross gifts if the donor was a citizen or resident of the
Philippines?
b) Deductions from the gross gifts if the donor was neither a citizen nor resident
of the Philippines?

PROBLEM#3
Donations were made on one date, as follows (Assuming taxpayer is resident donor):
To a legitimate son on account of marriage P200,000
To legitimate daughter 40,000
To a close friend 10,000

Donor’s Tax?

PROBLEM#4
On Valentine’s Day in 2020, a citizen and resident of the Philippines made the following
donations:
To an adopted child on account of marriage P500,000
To his fiancé, jewelry with a fair market value of 300,000

Donor’s Tax?

PROBLEM#5
A citizen and resident of the Philippines made the following donations in a calendar year:

March 10, 2020:

To a legitimate child on account of marriage, cash of 250,000

November 19, 2020:

To a legitimate daughter, an ordinary donation of real property with a fair market value of
P1,000,000 with a mortgage of P600,000 assumed by the donee.

a) Donor’s tax on the donation of March 10, 2020?

b) Donor’s tax on the donation of November 19, 2020?

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PROBLEM#6
A citizen of the Philippines residing in Japan with a legitimate son and a legitimate
daughter made the following donations:

April 2, 2019:
Donation on account of marriage to a legitimate son P180,000
Donation on account of marriage to a legitimate daughter 150,000

June 12, 2019:

Donation to a legitimate son P100,000

September 3, 2019:
Donation to a legitimate daughter P120,000

March 6, 2020:
Donation on account of 2nd marriage to the legitimate son P140,000

April 11, 2020:

Donation to a legitimate daughter of property with FMV of P150,000 with an assumption
by the daughter of a P50,000 indebtedness of the property.

Donor’s tax on each date that donation/s were made?

PROBLEM#7
A citizen and resident of the Philippines made the following donations:

October 5, 2020:
Donation to legitimate daughter on account of marriage P200,000
Donation to a friend 100,000

December 6, 2020:
Donation to a legitimate daughter P100,000
Donation to his controlled corporation 50,000

Donor’s tax on the donations? October- , December-

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PROBLEM#8
Husband and wife, citizen and residents of the Philippines made the following donations:

June 2, 2020:
To a legitimate son on account of marriage P300,000

September 5, 2020:
To legitimate daughter P100,000

Donor’s taxes on donations?

JUNE( Husband- Wife- ), SEPTEMBER (Husband- Wife- )

PROBLEM#9
Husband and wife, citizens and residents of the Philippines, made the following
donations:
June 2, 2020:
To a daughter and future son-in-law on account of marriage to be celebrated on June 15,
2016, cash of P1,000,000

July 2, 2020:
To an illegitimate child of the husband, cash of P100,000

a) Donor’s taxes on the donations of June 2, 2020? Husband/ Wife

b) Donor’s taxes on the donations of July 2, 2020? Husband/Wife

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PROBLEM#10:
Mr. Nonito Boy Zurbano, a Filipino residing in Binan, Laguna gave the following
donations in 2020-2021:

January 18, 2020

Gave to his daughter, Lulu, on account of marriage a house and lot with FMV of
P1,500,000 located in Q.C.

February 15, 2020

Gave his son, JR, a Civic Honda car worth P750,000 for being a valedictorian in college.

October 18, 2020

A cash donation in the amount of P50,000 to Ramon Magsaysay Foundation

November 15, 2020

Gave his brother, Jekel, a parcel of land worth P250,000 in Eastern Rizal with mortgage
of P50,000 to be shouldered by his brother

December 10, 2020

Gave a cash gift on account of his daughter’s birthday on December 10, 2016 P550,000

January 31, 2021

Gave his close friend, Katy, a gold ring worth P100,000 for the latter’s birthday.

Required: Compute the tax due on each taxable gift for 2020 and 2021.
January 2020 – P

February 2020 – P

October 2020–

November 2020 – P

December 2020 – P

January 2021 – P

PROBLEM#11
Donations made property in and outside the Philippines by a citizen and resident of the
Philippines:
To a legitimate son, property in the Philippines on account of marriage P310,000
To a legitimate daughter, property in Indonesia on which there was a
foreign donor’s tax paid of P3,200 100,000

Donor’s tax after credit for foreign donor’s tax paid?

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PROBLEM#12
Donations were made by a citizen and resident of the Philippines on one date, as follows:
To a son of property in the Philippines P400,000
To a friend of property in US with a donor’s tax paid in the US P150,000 600,000

Donor’s tax after credit for foreign donor’s tax paid?

PROBLEM#13
Donations of properties in and outside the Philippines by a donor who was a citizen and
resident of the Philippines were:
To a son property in the Philippines P500,000
To a friend, property outside the Philippines with a foreign donor’s
tax payment of P85,000 500,000

Donor’s tax due after tax credit?

PROBLEM#14
Donations were made by a citizen and resident of the Philippines as follows:
To a legitimate daughter, property in the Philippines P300,000
To a legitimate son, property in Malaysia, on which there was a
payment of donor’s tax to Malaysia of P25,000 500,000
To a brother, property in Indonesia on which there was a payment
of donor’ s tax to Indonesia of P8,000 200,000

Donor’s tax due in the Philippines if credit is taken for foreign donor’s taxes?