Mr.

and Mrs Julio transferred the following properties in 2019

400,000.00 cash to daugther, Jane, as a graduation gift
600,000.00 land to son, Eugine, who is scheduled to wed next year
300,000.00 car to Horace, Mr. Julio's best friend, as a wedding gift

Mr Julio Mrs Julio

1st 2nd 3rd 1st
Net Gift 200,000.00 500,000.00 650,000.00 200,000.00
Std Deduction (250,000.00) (250,000.00) (250,000.00) (250,000.00)
Taxable Net Gift - 250,000.00 400,000.00 -
Tax Rate 6% 6%
Tax Payable - 15,000.00 24,000.00 -
Tax credit/Payment - 15,000.00
Tax due - 15,000.00 9,000.00 -

Andro donated the following properties

2,000,000.00 car on November 2, 2018 to his favorite nephew
3,000,000.00 agricultural lot on January 5, 2019 to his son who is getting married
4,000,000.00 building on February 14, 2019 to his father who is getting married
5,000,000.00 cash on July 1, 2019 designated by Andro for the administrative expenses of a charitable institution
1,000,000.00 cash on August 1, 2020 to his mother-in-law

Compute the taxable net gift for 2018, 2019 and 2020

2018 2019
November January February July
Net Gift 2,000,000.00 3,000,000.00 7,000,000.00 12,000,000.00
Std Deduction (250,000.00) (250,000.00) (250,000.00) (250,000.00)
Taxable Net Gift 1,750,000.00 2,750,000.00 6,750,000.00 11,750,000.00
Tax Rate 6% 6% 6% 6%
Tax Payable 105,000.00 165,000.00 405,000.00 705,000.00
Tax credit/Payment - - 165,000.00 405,000.00
Tax due 105,000.00 165,000.00 240,000.00 300,000.00

A non- resident citizen made the following donations in 2020:

July 1, 2020- P600,000 cash, to a non-resident Japanese girlfriend, paid P10,000 donor's tax abroad
August 28, 2020- P900,000 cash as dowry to his daughter who is getting married in Philippines

Compute the donor's tax due for 2020

July August 75,000.00

Net Gift 600,000.00 1,500,000.00 0.40
Std Deduction (250,000.00) (250,000.00) 30,000.00
Taxable Net Gift 350,000.00 1,250,000.00
Tax Rate 6% 6% 10,000.00
Tax Payable 21,000.00 75,000.00
Tax credit/Payment 10,000.00 21,000.00
Tax due 11,000.00 54,000.00

Armando, a resident citizen, made the following donations to relatives on December 31, 2020;
Net Gift Tax Paid
Finland 2,000,000.00 110,000.00
Norway 1,500,000.00 120,000.00
Philippines 500,000.00

There are no other donations during the year

Compute the donor's tax due

Finland Norway Philippines Total
Net Gift 2,000,000.00 1,500,000.00 500,000.00 4,000,000.00
Std Deduction (250,000.00) (250,000.00) (250,000.00) (250,000.00)
Taxable Net Gift 1,750,000.00 1,250,000.00 250,000.00 3,750,000.00
Tax Rate 6%
Tax Payable 225,000.00
Tax credit/Payment 194,375.00
Tax due 30,625.00

The following relate to a non-resident alien donor:

Net Gift Tax paid
Japan- realtives 20,000,000.00 60,000.00
Malaysia- stranger 1,500,000.00 120,000.00
Philippines- relatives 500,000.00

Compute the donor's tax due and payable

Net Gift 500,000.00

Std Deduction (250,000.00)
Taxable Net Gift 250,000.00
Tax Rate 6%
Tax Payable 15,000.00
Tax credit/Payment -
Tax due 15,000.00
 2021 2022
Mrs Julio
2nd 3rd 1st 2nd
500,000.00 650,000.00
(250,000.00) (250,000.00)
250,000.00 400,000.00
6% 6%
15,000.00 24,000.00
- 15,000.00
15,000.00 9,000.00

ative expenses of a charitable institution

2020
August
1,000,000.00
(250,000.00)
750,000.00
6%
45,000.00
-
45,000.00

or's tax abroad

Foreign Tax credit Finland Norway Total
112,500.00 84,375.00
Lower
110,000.00 120,000.00
Individual Tax Credit 110,000.00 84,375.00 194,375.00

World Tax credit 196,875.00 230,000.00 196,875.00

Allowable 194,375.00
2022 2023

3rd