INCOME TAX: QUIZ 1 MIDTERM

Income Tax is imposed upon persons within the jurisdiction of the state.

• The statement is correct.

• The statement is incorrect.

Income Tax is levied on the income from the property or an occupation to raise revenue for the support of the government.

• The statement is correct.

• The statement is incorrect.

Income means all wealth which flows to the taxpayer including the return of capital.

• The statement is correct.

• The statement is incorrect.

Income is a gain derived from labor or capital, but never from both.

• The statement is correct.

• The statement is incorrect.

Capital is wealth, whereas, income is a fund.

• The statement is correct.

• The statement is incorrect.

All of the following are Ordinary Income, except

• Compensation Income

• Passive Income

• Business Income

• Professional Income

Which of the following is not classified as Taxpayer

• Corporations

• Estates

• Individuals

• All are classified taxpayers

This Individual Taxpayer's income is taxed from sources derived within and outside the Philippines.

• Non-resident Alien ETB

• Resident Alien

• Resident Citizen

• Non-resident Citizen

This Individual Taxpayer is an alien residing in the Philippines and is taxed only on income derived therein.

• Non-resident Alien ETB

• Resident Alien

• Resident Citizen

• Non-resident Citizen

This Individual Taxpayer is a citizen not residing in the Philippines and is taxed only on income derived therein.

• Non-resident Alien NETB

• Resident Alien

• Resident Citizen

• Non-resident Citizen