A Preliminary Assessment Notice is required before the taxpayer receive the final assessment notice, in all cases.

In case of denial by the Commissioner of Internal Revenue of the protest, there are no other recourse but to appeal the denial to the Court of Tax Appeals.

The power to abate/compromise may be delegated by the Commissioner of Internal Revenue to the regional evaluation board if the assessment issued by the Regional Office if the basic deficiency tax does not exceed Php500,000.

If the offered compromise payment is less than the minimum, the approval shall be through the National Evaluation Board, composed of the Commissioner and 4 deputy commissioners.

In the course of protesting the final assessment notice, submission of the supporting documents within 60 days is always required to complete the protest of the taxpayer.

An assessment without a valid letter of authority is cured by its defect by the issuance of a letter notice informing the taxpayer of the absence of the letter of authority

It is a mode of financing whereby the investor becomes the owner of the enterprise, by acquiring capital account as a partner or obtaining shares of stocks, in case of a partnership or corporation, respectively.

The Notice of Disrepancy (NOD) was received by the taxpayer on February 14, 2021. Under the rules, the discussion between the BIR and the Taxpayer must be conducted on or before:

The documentary stamp tax on original issuance of shares is __ of the par value of the issued shares.

The following is the consequence of failure to reply to the PAN within the reglamentary number of days.

One of the mode of protesting the final assessment notice is by way of submitting a motion for reinvestigation, whereby the taxpayer is required to submit the supporting documents of its protest within _____ days after submitting the protest (motion for reinvestigation).

It refers to the articulation of the absolute waiver by the sovereign of its right to collect taxes and power to impose penalties on person or entities guilty of violating a tax law.

The following are ground for abatement, except

The following items are allowed to be compromised, except

The period for availing of the estate tax amnesty is ____ years from the effectivity of the implementing rule and regulation.

The taxpayer shall file his reply against the preliminary assessment notice (PAN) within ____ days from receipt of the PAN.

In case of a stockholder who is a resident and citizen of the Philippines, the final tax on dividend income of Php100,000 from a domestic corporation is.

Upon receipt of the Final Assessment Notice (FAN), the taxpayer is required to submit his/her/its protest against the FAN within _____ days.

It is a contract whereby the parties, be reciprocal concessions, avoid litigation or put an end to one already commence. From a tax perspective, if granted by the Commissioner of Internal Revenue, would allow a taxpayer to pay only a certain portion of the assessment.

After completion of the protest, i.e., submission of the motion for reconsideration, the taxpayer may already elevate the case to the Court of Tax Appeals after ______ days.

In case of a domestic corporation stockholder, the final tax on dividend income of Php100,000 from another domestic corporation is

As provided by the Tax Code, the minimum compromise rate is ____ % if grounded on financial incapacity of the taxpayer.

As it stands, the following items are proper subject of abatement, except

There shall be a documentary stamp tax of ___% on every original issue of debt instrument.

The documentary stamp tax on subsequent transfer of shares of stocks of a domestic corporation is ___ of the par value of the shares transferred.

The assessment process starts with the following:

The letter of authority (LOA) is required to be served to the taxpayer within ____ days. Otherwise, it becomes void.

he following are the minimum compromise amounts on the ground of financial incapacity, except:

It refers to the process whereby the BIR determines the amount due from a person obligated to make tax payment.

The following are the alternative actions which the Commissioner of Internal Revenue may take on the protest, except:

After 180 days from submitting the protest, the taxpayer failed to appeal the case with the Court of Tax Appeals

It is the cancellation of withdrawal of an assessment made by the BIR.

In case of passive interest income from Philippine currency deposit, the final tax rate is ___ % if the lender (depositor) is a non-resident citizen.

In case of delinquency tax amnesty, the applicable rate for tax cases subject of final and executory judgment by the courts on or before the implementing rules and regulations on the delinquency tax amnesty program is: ___ of the basic tax assessed.

Availment of the Estate tax amnesty shall result to the following immunities, except:

The following are not allowed to be compromised, except

Any project or activity conducted or performed outside the geographical boundaries of the zone or freeport shall not be entitled to the incentives provided in the CREATE law, unless such project or activity is conducted or operated under another Investment Promotion Agency

Tax and duty incentives granted through legislative franchises shall be excepted from the expanded powers of the Fiscal Incentives Review Board to review, withdraw, suspend, or cancel tax incentives and subsidies.

After the expiration of the transitory period, export enterprises registered prior to the effectivity of this Act shall have the option to reapply and avail of the incentives, which may be extended for a certain period not exceeding 10 years at any one time.

Special Economic Zones refer to selected areas in the NCR with highly developed or which have the potential to be developed into agro-industrial, industrial, tourist, recreational, commercial, banking, investment and financial centers whose metes and bounds are fixed or delimited by Legislative Proclamations.

The importation of COVID-19 vaccine shall be exempt from import duties, taxes and other fees, subject to the approval or licenses issued by the DOH or the FDA.

The Capital Gains Tax Return shall be filed, and the corresponding CGT on sale of real property shall be paid by the Buyer within thirty (30) days following the sale of real property.

The Strategic Investment Priority Plan shall be valid for a period of three (3) years subject to review and amendment every three (3) years thereafter unless there would be a supervening event that would necessitate its review.

Customs Territory refer to the national territory of the Philippines outside of the proclaimed boundaries of the ECOZONES except those areas specifically declared by other laws and/or presidential proclamations to have the status of special economic zones and/or free ports.

A registered business enterprise may not conduct or operate more than one qualified registered project or activity within the same zone or freeport under the same Investment Promotion Agency.

Prior to the CREATE Law, PEZA-registered enterprises generally enjoy income tax holiday (ITH) for a period of 3 to 6 years, depending on its qualification, and 5% Gross Income Tax after the ITH period.

Importation of capital equipment, raw materials, spare parts, or accessories directly and indirectly used in the registered project or activity qualify for duty exemption.

All registered business enterprises and other registered entities whether taxable or exempt, are required to file their tax returns and pay their tax liabilities using the electronic system for filing and payment of taxes.

Registered business enterprises under 5% GIT prior to the effectivity of the CREATE Law, either currently availing or entitled thereto after the ITH, shall be allowed to continue availing the said 5% GIT for 10 years.

Under the CREATE Law, only registered business enterprises shall be entitled to tax incentives and only to the extent of their approved registered project/activity under the Strategic Investments Priorities Plan.

f the shares of stock is traded in the stock exchange, it is not subject to capital gains tax but to stock transaction tax of 6/10 of 1% of the selling price.

If the registered enterprise sells, transfers, or disposes the imported capital equipment, raw materials, spare parts, or accessories, without prior approval of the Investment promotion Agency, the RBE and the vendee, transferee, or assignee shall be solidarily liable to pay thrice the amount of the duty exemption that should have been paid during its importation.

Projects or activities of registered enterprises located in areas recovering from armed conflict or a major disaster, as determined by the Office of the President, shall be entitled to:

The period of availment of income tax holiday incentive for registered business enterprises is dependent upon the following criteria:

BC Corp., a PEZA-registered export enterprise located in Bonifacio Global City, decided to relocate and transfer its operations to Clark Freeport Zone. Under the CREATE Law, ABC Corp. is entitled to:

Industry Tier I include the following activities, except:

A registered business enterprise located in Laguna Technopark and engaged in the domestic market falling under Tier II industry is entitled to:

The following are Investment Promotion Agencies in charge of promoting investments, granting and administering tax and non-tax incentives, and overseeing the operations of the different economic zones and freeports in accordance with their respective special laws, except:

Disposal within 5 years from the importation of capital equipment, raw materials, spare parts, or accessories, which were granted tax and customs duty exemption, shall be with the approval of the Investment Promotion Agency and allowed only:

Generally, the authority to grant tax incentives shall be exercised by the Fiscal Incentives Review, unless delegated to the Investments Promotion Agencies for registered projects or activities:

Existing registered business enterprises enjoying fiscal incentives shall be entitled to three (3) additional years of income tax holiday if:

A registered business enterprise located in Bonifacio Global City and engaged in the export market falling under Tier III industry is entitled to:

A registered business enterprise located in Laguna Technopark and engaged in the export market falling under Tier I industry is entitled to:

Industry Tier III include the following activities, except:

In the review and grant of tax incentives, the registered business enterprise must:

For export enterprise and domestic market enterprise, the following may be allowed as deductions, except:

Registered business enterprises are required to file Annual Tax Incentives Report and Annual Benefits Report with the applicable Investment Promotion Agency:

Goods and services directly and exclusively used in the registered project or activity by registered business enterprises located inside an ecozone or freeport are subject to:

For the sale of principal residence to be exempt from capital gains tax, which of the following criteria must be met:

After ITH, domestic market enterprises:

For export enterprise and domestic market enterprise, the following may be allowed as deductions, except:

The sale of an idle land not used in business by a domestic corporation shall be imposed:

The capital gains tax on sale of shares of stock is due and must be paid:

A registered business enterprise located in Aurora and engaged in the domestic market falling under Tier III industry is entitled to:

After ITH, export enterprises:

Pedro sold his residential lot, a capital asset for P2,000,000. The said lot was acquired in 2010 at a cost of P1,700,000. The fair market value of the property as determined by the BIR is PhP2,200,000 but the fair market value of the property as shown in the schedule of values of the City Assessor is P1,950,000. Out of the proceeds, P1,600,000 was utilized for the acquisition of Pedro's residence.

Pedro sold his principal residence for P2,500,000. The said property was acquired in 2010 at a cost of P1,500,000. The fair market value of the property as determined by the BIR is P2,800,000 but the fair market value of the property as shown in the schedule of values of the City Assessor is P1,950,000. Out of the proceeds, P2,000,000 was utilized for the acquisition of Pedro's residence 6 months from the date of sale. The capital gains tax due is:

Pedro sold his residential lot, a capital asset for P2,000,000. The said lot was acquired in 2010 at a cost of P1,500,000. The fair market value of the property as determined by the BIR is P2,200,000 but the fair market value of the property as shown in the schedule of values of the City Assessor is P1,950,000. The entire proceeds were utilized for the acquisition of Pedro's principal residence.

The capital gains tax due is:

Pedro sold his principal residence for P2,500,000. The said property was acquired in 2010 at a cost of P1,500,000. The fair market value of the property as determined by the BIR is P2,800,000 but the fair market value of the property as shown in the schedule of values of the City Assessor is P1,950,000. Out of the proceeds, P2,000,000 was utilized for the acquisition of Pedro's residence 6 months from the date of sale. How much is the historical/adjusted cost of the new principal residence?

Pedro, a resident citizen, sold his vacation home in Los Angeles, California to Maria, also a resident citizen, for P25,000,000. The said property was acquired in 2010 at a cost of P15,000,000. At the time of sale, the property has a fair market value of P30,000,000. The capital gains tax due is:

XYZ Pte. Ltd., a Singaporean limited liability company, sold to Maria today its 100,000 shares of stock in ABC Corporation, a domestic non-listed company, which it bought at par value of P100 per share, for a total selling price of P15,000,000. How much is the capital gains tax on the sale?

XYZ Inc., a domestic corporation, sold to Maria its 100,000 shares of stock in ABC Corporation, a domestic non-listed company, which it bought at par value of P100 per share, for a total selling price of P8,000,000. How much is the capital gains tax on the sale?

A taxpayer's remedies in case of a BIR assessment, include all the following, except:

Under the CREATE Act, this government body will generally have the authority to grant tax incentives:

Investment Promotion Agencies include all of the following, except:

registered business enterprise located in areas recovering from armed conflicts or a major disaster, as determined by the Office of the President, shall be entitled to an additional __ years of ITH.

XYZ Corporation is a registered business enterprise entitled to a 4 year ITH when the CREATE Act was enacted a year after the grant of incentive. Accordingly, under the CREATE Act,

A delinquency in a tax case subject of a final and executory judgment by the courts on or before the RR implementing the amnesty on delinquency takes effect is:

The sale made by a PEZA-registered entity to another PEZA-registered entity within an economic zone is:

The period of the Income Tax Holiday under the CREATE Act shall be:

The current effective Tax Amnesty Act covers all of the following, except:

The rule that will be followed in determining the net taxable estate for purposes of the Estate Tax Amnesty shall be primarily:

Refers to an area within an ECOZONE where tourist accommodation facilities such as hotels, apartelles, tourist inns, pension houses, resorts, sports and/or recreational facilities are provided to render tourism services for both local and foreign tourists, travelers and investors in accordance with the guidelines issued by the PEZA.

The sale made by a domestic VAT-registered enterprise operating in the customs territory to a PEZA-registered entity within an economic zone is:

These refer to government entities in charge of promoting investments, granting and administering tax and non-tax incentives, and overseeing the operations of the different economic zones and freeports in accordance with their respective special laws.

Which of the following grounds do not automatically provide a basis for an application for compromise on the ground of doubtful validity of the assessment?

Those entitled to the 5% GIT under the Special Economic Zone Act, upon effectivity of the CREATE Act shall be allowed to continue availing the same for __ years:

This refers to the articulation of the absolute waiver by a sovereign of its right to collect taxes and power to impose penalties on persons or entities guilty of violating a tax law.

Which of the following is not an incentive a registered business enterprise may be entitled to under the CREATE Act?

The ground to avail of a compromise include:

I. Where the assessment is of doubtful validity;

II. When the financial position of the taxpayer demonstrates clear inability to pay the tax;

III. The tax or any portion thereof appears to have been unjustly or excessively assessed;

IV. The administration and collection costs involved do not justify collection of the amount due

Under the CREATE Act, an export enterprise shall be entitled to this/ese tax incentive/s:

I. Income Tax Holiday;

II. Special Corporate Income Tax;

III. Enhanced Deductions

The sale of shares of stock from one stockholder to another stockholder, when the shares are not listed or traded in a local stock exchange, and held by the selling stockholder as a capital asset shall be subject to:

I. CGT;

II. DST;

III. STT

Which of the following are the instances where the Commissioner of Internal Revenue may validly delegate the power to abate/compromise?

I. Assessments issued by Regional Offices involving basic deficiency taxes of P500,000;

II. Minor criminal violations

The approval of the National Evaluation Board shall be necessary whenever: I. The compromise is lower than the minimum required; II. The basic tax exceeds P1,000,000.

Under the CREATE Act, a domestic enterprise shall be entitled to this/ese tax incentive/s:

I. Income Tax Holiday;

II. Special Corporate Income Tax;

III. Enhanced Deductions

he ground to avail of abatement include:

I. Where the assessment is of doubtful validity;

II. When the financial position of the taxpayer demonstrates clear inability to pay the tax;

III. The tax or any portion thereof appears to have been unjustly or excessively assessed;

IV. The administration and collection costs involved do not justify collection of the amount due.

The incentives that a registered business enterprise may avail of shall be dependent on:

I. the Industry Tier it belongs to;

II. Location.