Group 1

Taxation of Individuals
Taxation of Corporations
- Individual taxation and the sources of income of individual taxpayers.
- Taxable income and tax due for each type of individual taxpayer depending on income
category.
- Categories of income and tax rates to be used by each type of individual taxpayer; list of
individual taxpayers exempted from income tax.
- Discuss Corporate Taxation and the classification of corporate taxpayers as well as the
sources of income of corporate taxpayers.
- Taxable income and tax due for each type of corporate taxpayer depending on income
category.
- Special corporations for tax purposes and the relevant tax rates; corporate taxpayers
exempt from income tax.
- Identify the classification of the corporate taxpayer; State the sources of income of a
corporate taxpayer.

Group 2
Minimum Corporate Income Tax, IAET, and GIT
Estates and Trust
- Concept of minimum corporate income tax (MCIT), IAET and GIT
- Nature of gross income tax
- Improperly accumulated earning tax
- Define estate, trust, and related terms used.
- Identify income-producing estate subject to tax.
- Basic guidelines in handling trusts subject to tax.

Group 3
Taxation of Partnerships and Partners
Gross Income
- Define and identify the classification of partnerships.
- Differentiate general professional partnerships from general co-partnership.
- Discuss and identify the tax liability of professional partnerships and partners in a
general co-partnership.
- Define and state the major sources of taxable income.
- Describe the broad classification of gross compensation income.
 - Describe the concept of income from business and exercise of a profession.
- List incomes that are exempt or excluded from gross income.

Group 4
Special Treatments of Fringe Benefits
Gains and Losses from dealings in Property

Define fringe
benefit and
describe its tax
treatment;
Describe the
concept of gross-
up monetary
value; State
various fringe
benefits and
fringe benefit tax
rate applied;
Describe the
concept of de
minimis benefits;
and Show the
basic procedures
in computing the
fringe benefit tax
- Define fringe benefit and describe its tax treatment.
- Describe the concept of gross-up monetary value.
- State various fringe benefits and fringe benefits tax rates applied.
- Describe the concept of de minimis benefits.
- Identify the basis of measuring gains and losses.
- Distinguish between capital assets and ordinary assets.
- Explain the rules on the recognition of capital gains and losses for individuals and
corporations.

Group 5
Allowable Deductions
Withholding Tax
- Determine deductible from non-deductible expenses/losses.
- Describe the concept of allowable tax deductions.
- Distinguish between the optional standard deduction and itemized deduction.
- Describe the concept of taxes, losses, bad debts, depreciation, research and development,
and pension trusts as allowable business deductions.
- Identify the charitable contributions that are deductible in full or subject to limitations
and list items not deductible as expenses.
- Differentiate final withholding tax from creditable withholding tax.
 - List the income payments subject to final and creditable withholding taxes and the
applicable tax rates.
- Name the items exempt from withholding tax on compensation.

Group 6
Foreign Tax Credit
Penalties

Differentiate tax
deduction from
tax credit; List
the taxpayers
entitled and not
entitled to
foreign tax
credit; and
Compute the
allowable credit
for foreign taxe
- Differentiate tax deductions from a tax credits.
- List the taxpayers entitled and not entitled to a foreign tax credit.
- Allowable credit for foreign taxes.
 - Identify the penalties that are imposed for violations of the provisions of the National
Internal Revenue Code
- Penalties related to late filing/payment, wrong venue, willful neglect, false or fraudulent
returns, and extended payments.
- Differentiate deficiency interest from delinquency interest.
- Nature of compromise penalties.

Group 7
Accounting Methods and Periods
Remedies

Prepare income
tax returns; Be
familiar with the
income tax
returns to be
filled by the
taxpayers; and
Discuss the
qualifying
criteria to
become a large
taxpayer
- Accounting methods recognized by the tax code.
- Type of industry in which each accounting method is being used.
- Define accounting periods and differentiate the kinds of accounting periods.
- Discuss the instances when the commissioner of Internal Revenue has the authority to
compromise, abate, and refund or credit taxes.
- State the remedies for the collection of delinquent accounts; and the remedies of the
taxpayer.

** Proper citation must be given to authors whose works were used in the process of developing
instructional materials