Group 5 2.

B Passive Income Subject to Final Tax and their Tax

Belderol, Peter Joseph
Cruz, JohnRev Passive Income Subject to Final Tax
Pacion, John Matthew I. Interest from any currency bank deposits
Pareja, Paolo II. Yield or other monetary benefit from deposit substitutes
Pichay, Durickson III. Yield from trust funds and similar arrangements
Ramos, Janjac IV. Interest from a depository bank under the expandedforeign currency bank depos
San Buenaventura, Vince V. Royalties aside from books, literary works & musical composition
VI. Interest on foreign currency
VII. Royalties on books, literary works, musical composition
VIII. Cash or Property Dividends
IX. Prizes exceeding
XI. Winnings except for PCSO winnings of P10,000 or less

Passive Income Final Tax on National Internal Revenue Code of the Philippines vs Ta
Inclusion Law (TRAIN Law)

PASSIVE INCOME ON: Under NIRC

I. Interest from deposits and yields or any

other monetary benefits from monetary 7.5% final tax rate
substitute, trust fund and other royalties.

Interest income from depository bank

under the expanded foreign currency 7.5% final tax rate
deposit system

II. Interests, royalties, prizes, a

20% final tax rate (except PCSO
nd other winnings of individual citizen and
resident alien. and lotto winnings)

Interest income from depository bank

under the expanded foreign currency 7.5% final tax rate
deposit system

2.C Capital Gains, their tax base and tax rate

Capital Gains, their tax base and tax rate

I. Capital Gain Tax on Real Property (Net Capital Gain Tax Base)
II. Capital Gain Tax on Shares of Stock (Net Capital Gain Tax Base)
 to Final Tax and their Tax Rates.

e Subject to Final Tax

utes

dforeign currency bank deposit system

composition

ition

ss

e Code of the Philippines vs Tax Reform for Acceleration and

Law (TRAIN Law)

Under NIRC Under TRAIN Law

5% final tax rate 15% final tax rate

5% final tax rate 15% final tax rate

tax rate (except PCSO 20% final tax rate (includes PCSO
d lotto winnings) and lotto winnings above P10,000)

5% final tax rate 15% final tax rate

heir tax base and tax rate

x rate Rate
ax Base) 6% final tax rate (per transaction)
n Tax Base) 15% final tax rate