TAX REMEDIES PART 3 -B
public places where the distraint is made. One
11. The following remedies are available to the
government to collect taxes, except:
a. Enforcement or forfeiture of property
b. Inquiring into the bank deposit accounts of
taxpayers
c. Distraint and levy
d. Entering into compromise of tax cases
12. The following are coercive means in the
collection of taxes by the BIR, except one:
a. Distraint and levy
b. Seizure on goods where the government has
a claim for unpaid taxes
c. Compromise
d. Enforcement of a tax lien
13. This pertains to the seizure by the
government of real property and interests on
rights to property of the taxpayer to enforce the
payment of taxes followed by a public sale
a. levy
b. confiscation
c. distraint
d. forfeiture
14. The property of a delinquent taxpayer shall
not be placed under constructive distraint by
the Commissioner if in his opinion, the taxpayer
is:
a. Retiring from any business subject to tax
b. Intending to leave the country or to remove
his property therefrom
c. Performing an act tending to obstruct the
proceedings for collecting the tax due
d. Doing all possible legal means to dispute the
assessment
15. The revenue district officer, or his
authorized representative, shall post a
notification specifying the time and place of the
sale of distrained articles in not less than 2
place for such notice is the BIR office of the city
or municipality in which the property is
distrained.
True
False
16. What shall be the effect if, at any time prior
to the consummation of the sale, the owner
pays all delinquent taxes and charges to the
officer conducting the sale?
a. The public auction will proceed but the owner
will be declared as the highest bidder.
b. Nothing because the owner is not allowed to
pay all delinquent taxes and charges prior to the
consummation of the sale.
c. The distrained goods or effects shall be
returned to the owner.
d. The public auction will proceed as usual.
17. In the collection of delinquent taxes from
tax assessments which has become final and
executory, the Commissioner of Internal
Revenue may exhaust the following remedies:
a. Distrain the personal properties first of the
delinquent taxpayer and sell them in a public
auction. If the proceeds are not enough to cover
the tax liabilities, only then will the real
properties be levied and the proceeds will be
used to pay for his tax liabilities.
b. The order whether to do the distrain first or
to do the levy first will be dependent on the
option to be chosen by the taxpayer.
c. Levy the real properties of the delinquent
taxpayer first and sell them in a public auction.
If the proceeds are not enough to cover the tax
liabilities, only then will the personal properties
be distrained and the proceeds will be used to
pay for his tax liabilities.
d. The Commissioner may do simultaneously
the distrain and levy of the delinquent
taxpayer's personal and real properties, as
applicable and sell them in a public sale. The
proceeds from both will be used to pay his tax
liabilities.
b. The taxpayer owner has already paid for the
deficiency taxes and the costs of the sale
c. The taxpayer was able to secure a temporary
restraining order (TRO) from the Supreme Court
to stop the public sale
d. There is no bidder for the real property

18. The advertisement of the public sale in a

newspaper of general circulation in the
municipality or city where the subject property
is located is a requirement in:
a. Distraint
b. Levy
c. Garnishment
d. Tax lien

19. During the public auction of the levied

house and lot of a delinquent taxpayer, the
proceeds amounted to P15 million, although
the tax liabilities and other charges owed by the
taxpayer only amounted to P10 million. What
should be done to the P5 million excess?
a. The excess proceeds will be turned over to
the delinquent taxpayer through the issuance of
a Tax Credit Certificate which can be used in
payment of all national taxes, except
withholding tax.
b. The excess proceeds will be turned over to
the delinquent taxpayer without need for a
refund.
c. The excess proceeds will be turned over to
the delinquent taxpayer but he should file an
application for refund of the excess proceeds.
d. The excess proceeds will be forfeited to the
National Government and will form part of the
general funds

20. In two of these instances, the real property

subject to a levy will be turned over in favor of
the government after the public auction:
a. The highest bid is not enough to pay the
taxes, penalties and cost of the sale