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WorksheetsBusiness Tax
Total questions: 10
Worksheet time: 5mins
Which statement is true about business tax?
A. Taxes imposed on businesses by the government based on their activities, revenue, or sales.
B. "In the course of trade or business" means the regular conduct or pursuit of a commercial or an economic activity, including transactions incidental thereto, by any person regardless of whether or not the person engaged therein is a non-stock, non-profit private organization or government entity.
C. Services rendered in the Philippines by a non-resident foreign person shall be considered as being rendered in the course of trade or business even if the performance is not regular.
D. All of the above
Statement 1: For a person to be subjected to any business tax, it is necessary that he is regularly engaged in the conduct or pursuit of an economic activity.
Statement 2: A non-resident foreign person performing isolated transaction in the Philippines shall be liable to VAT.
A. Both statements are true
B. Both statements are false
C. Only the first statement is true
D. Only the second state statement is true
Which statement is wrong? Transactions considered "in the course of trade or business", and therefore subject to the business taxes include:
A. Regular conduct or pursuit of a commercial or an economic activity by a stock private organization.
B. Regular conduct or pursuit of a commercial or an economic activity by a non-stock, non-profit private organization.
C. Isolated services in the Philippines by non-resident foreign persons.
D. Isolated sale of goods or services.
Statement 1: Non-stock and nonprofit private organizations which sell exclusively to their members in the regular conduct or pursuit of commercial or economic activity are exempt from value added tax.
Statement 2: Government entities engaged in commercial or economic activity are generally exempt from value-added tax
A. Both statements are correct.
B. Both statements are incorrect.
C. Only the first statement is correct.
D. Only the second state statement is correct.
The term "in the course of trade or business" does not include
A. Regular conduct or pursuit of a commercial or economic activity.
B. Incidental business transactions.
C. Transactions by any person, regardless of whether or not the person engaged therein is a non-stock, non-profit private organization (irrespective of the disposition of its net income and whether or not it sells exclusively to members) or government entity.
D. None of the above
A store sold a product for P44,800 inclusive of VAT. What is the sales amount?
A. P40,000
B. P42,500
C. P38,000
D. P36,500
A customer paid P22,400 for a service, VAT included. How much is the VAT amount?
A. P2,240
B. P2,400
C. P2,680
D. P2,700
How do you determine the VAT amount from a VAT-inclusive price?
A. Multiply the total price by 12%
B. Divide the total price by 112%, then multiply by 12%
C. Subtract 12% from the total price
D. Multiply the total price by 112%
A supplier sold equipment to a company for P75,000 exclusive of VAT. What is the VAT amount?
A. P7,500
B. P9,000
C. P8,500
D. P10,500
A consulting firm charged a client P95,000 for services, exclusive of VAT. What is the VAT amount?
A. P11,400
B. P12,500
C. P10,800
D. P9,900
