1.On January 1, 2018, Logan's wife, Irma, died while giving birth...

1.On January 1, 2018, Logan's wife, Irma, died while giving birth to a child, but the child survived. Logan took care of the child bringing him wherever he was assigned. If Logan is a resident citizen, how much personal and additional exemptions could Logan avail of when he files his Income tax return for 2018 income?

2.Jose, the 70-year old widowed father of Rolando is earning P10,000.00 a month. As his income is barely enough just for medicines alone, Jose lives with and is dependent for his chief support upon Rolando who is single. How much basic personal and additional exemptions could Rolando claim when he files his income tax return?

3.Ellen insured the life of her father for P2 million paying a premium in the amount of P200,000.00. The term of the insurance was for 20 years. Part of the agreement was for Ellen to be paid P2 Million, in case her father survives the 20-year period. Supposing Ellen gets the P2 million, how much would be excluded from her gross income?

4.Mr. Borromeo is a citizen and resident of the Philippines who owns a piece of land and building in the Philippines that he acquired for P3 Million pesos, expenses of acquisition included. He sold this for a selling price, net of selling expenses of P2,800,000. The fair market value (after deducting selling expenses was P2,900,000. How much is the capital gains tax?

5.The following are the transactions of Miss Maricris Bueno, for the year 2018. Sale of shares of stock of X corporation which she acquired previously at P100/share:

 • 1,000 shares sold in the stock exchange at P105 per share

 • 1,000 shares sold outside the stock exchange at P110 per share

What would be the final tax for these stock transactions?

6.Pedro, single: is a minimum wage earner. In addition to his basic minimum wage of P180,000 for the year, he also received the following benefits:

• De minimis, P60,0000 (P20,000 over the ceiling)

• 13th Month Pay and other Benefits, P112,000

How much is the income tax due of Pedro for the taxable year 2020?

7.After 3 years, Marifel sold a painting (capital asset) which he purchased in 200A at a cost of P3,000, on the following terms:

June 1, 200C downpayment   P1,000

August 1, 200C installment    1,000

October 1, 200C installment   2,000

October 1, 200D installment  4,000

October 1, 200E installment   4,000

For year 200C, Marifel will report a gross income of:

8.If Marifel is a dealer in paintings, for 200C she will report a gross income of:

9.On October 1, 200A, CF sold a car costing P500,000 payable as follows:

 1st year: cash                                          P300,000

 2nd year: 12% interest bearing note       200,000

3rd year: 12% interest bearing note          500,000

How much is the total reportable income in year 200A:

10.Engr. Alcayde presented the following information regarding his road construction project which is 50% completed at the end of this year and was 30% completed at end of last year:

Contract price                                  P50,000,000

Total estimated cost to complete        30,000,000

Cost incurred previous year                10,000,000

Cost incurred this year                        9,000,000

HOW much income is to be reported this year?

11.The following are the gross royalty income of a resident citizen for the period:

Royalty income as author                P100,000

Royalty income from franchising        200,000

Royalty income from gold mine          500,000

The total final tax on royalty income is?

A.) P80,000; B.) P100,000; C.) P130,000; D.) P150,000.

12.Marjorie Corpuz is an investor in X Corporation. In 200A, she has 1,000 shareholdings acquired at P120 per share or a total investment cost of P120,000 classified as capital asset.

200B          Transactions

Jan             Received stock dividends 2 shares for every 10 share holdings

Mar            Sold 500 shares of X Corporation for P120 per share

April           Purchased 300 shares of X Corporation for P150 per share

May            Sold 500 shares of X Corporation for P90 per share

What would be the net capital gain in March?

13.How much is the nondeductible loss in May?

14.Lorna is a mixed income earner. She is a self-employed resident citizen and currently the Finance Manager of Omega Corporation. The following data were provided for 2018 taxable year:

Compensation income                                        P 1,800,000

Sales                                                                   2,800,000

Cost of sales                                                        1,125,000

Business expenses                                               650,000

 Interest income from peso bank deposit                 80,000

 Interest income from bank deposit under FCDS    120,000

Gain on sale of land in the Philippines held as

   Capital asset with cost P1.5M when zonal is P1.2M 500,000

 

How much is her total income tax expense assuming she opted to be taxed at 8%

15.Medy, resident citizen, single, supporting three minor illegitimate children, one of them living abroad, has the following date for taxable year 2017:

Salary from XYZ Co. (net of P40,000 withholding tax)           P 350,000

Professional fee (net of 10% withholding tax)                            135,000

 Expenses incurred (25% pertains to living expenses)                80,000

Health and/or hospitalization insurance premium paid                 5,000

 

The income tax payable is