Final Taxation

The following are passive income that are subject to final taxation, EXCEPT:

• Interest income

• Stock dividend income

• Royalties

• Lotto Winnings

What is the general rate if the taxpayer is NRA-NETB?

• 10%

• 15%

• 20%

• 25%

Under interest income, what is the rate for individuals if the sources of their interest income is from long-term deposits?

• 15%

• 20%

• 25%

• Exempt

Under interest income, what is the rate for corporations if the sources of their interest income is from short-term deposits?

• 15%

• 20%

• 25%

• Exempt

Under interest income, the general final tax rate for NRA-NETB is

• 15%

• 20%

• 25%

• 30%

Under interest income, the general final tax rate for Non Resident Foreign Corporation is

• 15%

• 20%

• 25%

• 30%

The following are the tax rates on pre-termination of long-term deposits of individuals, which of the following is WRONG:

• Less than 3 years - 25%

• 3 years to less than 4 years - 12%

• 4 years to less than 5 years - 5%

• 5 years or more - 0%

Under interest income, if the bank account is jointly in the name of a non-resident and a resident taxpayer, 50% of the interest shall be exempt while the other 50% shall be subject to the 15% final tax.

• True

• False

Under dividend tax rules, the final tax rate of an individuals (RC, NRC, RA) is 20%?

• True

• False

Under dividend tax rules, the final tax rate of NRA-ETB (Non-resident alien ENGAGED in trade or business) is _____.

• 10%

• 20%

• 25%

• Exempt