BUSINESS AND TRANSFER TAXATION 6th Edition (BY: VALENCIA & ROXAS) 115SUGGESTED ANSWERSChapter 15: EXCISE TAXESCHAPTER 15 EXCISE TAXES Problem 15 –1 1.False –excise tax is also imposed on luxurious goods and mineral products. 2.False –excise tax imposed to vehicles is based on the value of the vehicles, hence, an example of advalorem tax. 3.True 4.False –The primary purpose of excise tax is for regulation and protection. 5.True 6.False –P1 per kilo 7.False –20% of the wholesale price. 8.True –It is the same as distilled spirits. 9.False –Excise tax is a business tax. 10.False –Excise tax is an indirect tax. 11.True 12.False –P10 per ton means based on measure, hence, specific excise tax. 13.False –subject to excise tax of P0.79 per kilo. Problem 15 –2 1.True 2.False –Excise tax is also imposed on imported goods. 3.False –Excise tax is paid upon transfer or release from the Bureau of Customs.