17.

A corporation organized and created under the laws of a foreign country and is
authorized to do business/ trade in the Philippines is?
a. Domestic corporation c. Non-resident foreign corporation
b. Resident foreign corporation d. General co-partnership
18. One of the general principles of income taxation for corporation is?
a. A foreign corporation engaged in business in the Philippines is taxable on all
income derived from sources within and without the Philippines
b. A foreign corporation engaged in business in the Philippines. Is taxable on all
income derived from sources within the Philippines only?
c. A domestic corporation is taxable on income derived from sources within the
Philippines only.
d. A domestic corporation is taxable on income derived from sources without the
Philippines only.
19. One of the following doesn't fall under the definition of a "corporation" for
income tax purpose:

a. General partnership
b. Joint stock company
c. Insurance company
d. Sole partnership

20. The Phil. Health Insurance Corporation, a government owned corporation is:
a. Exempt from the corporate income tax
b. Subject to the preferential corporate income tax for special corporations.
c. Subject to the basic corporate income tax.
d. Subject to final tax.
21. Which of the following maybe subject to the corporate income tax?
a. Non-profit educational institution c. A private educational
Institution
b. A public educational Institution d. Government Service Insurance
System
22. A domestic corporation may employ, as a basis for filing its annual corporate
return the:
a. Calendar year only c. Either calendar or fiscal year
b. Fiscal year only d. Neither calendar nor fiscal year
23. The following income are subject to final tax, except?
a. Royalty income received by a domestic corporation from a domestic
corporation
b. Cash dividends received by a non-resident foreign corporation from a
domestic corp.
c. Cash dividends received by a domestic corporation from a domestic
corporation.
d. Interest income received by resident foreign corporation from a Phil. bank.
24. The following statements regarding taxable partnerships are correct, except:
a. They file quarterly and year-end income tax returns.
b. They are subject to the rules on corporation for capital gain tax, final tax on
passive income, normal income tax, minimum corporate income tax and
gross income tax.
c. The partners' share in the distributable net income is subject to final tax.
d. They are subject to the improperly accumulated earnings tax.