問題一覧
1
Police Power and Taxation cannot co-exist in one government
False
2
What power of the government refers to the taking of private property for public purposes?
Eminent Domain
3
The power of taxation is an incident of sovereignty as it is inherent in the state, belonging as a matter of obligation to every independent government.
False
4
Taxes may also be imposed for a regulatory purpose as, for instances in thr rehabilitation and stabilization of a threatened industries which is affected with public interes, like the oil industry
True
5
The power to tax is inherent, in the state, and the state is free to select the object of taxation, such power being exclusive vested in the legislature
False
6
LGU's has no inherent Power of Taxation because their power to tas is granted by the constitution and by the law
True
7
Taxation, Eminent Domain, and Police Power are all inherent power of the state
True
8
Tax laws generally do not impair contract unless: government is party to contract granting exemption for a consideration
True
9
Tax is generally payable in money
True
10
A regressive system of taxation prevents the under concentration of wealth in the hands of few individuals
False
11
Which limitation of taxation is the concept of “situs of taxation” based?
Territoriality
12
The situs of service income is where the
Services are performed
13
The situs of income from sale of real property is determined by the place where the:
Real property is located
14
The situs of taxation on income from sale of personal property purchased is the
Place of the sale
15
Which of the following test of source of income is INCORRECT?
Gain on sale of real property – place of sale
16
Situs of taxation on income from sale of shares of a domestic corporation
Is always treated as income derived from within the Philippines
17
Situs of taxation on income from sale of shares of a foreign corporation
May be treated as income within or without the Philippines depending on the place of sale
18
Statement 1: A gain from sale of shares of a domestic corporation shall be considered derived from the Philippines regardless of where the shares were sold. Statement 2: A gain from sale of shares of a foreign corporation shall be considered derived from the country where the corporation was created or organized.
Statement 1 is TRUE but Statement 2 is FALSE
19
Guidant Resources Corp., a corporation registered in Norway, has a 50 MW electric power plant in San Jose, Batangas. Aside from Guidant’s income from its power plant, which among the following is considered as part of its income from sources within the Philippines?
Gains from the sale to an Ilocos Norte power plant of generators bought from the United States.
20
Zygomite Minerals, Inc., a corporation registered and holding office in Australia, not operating in the Philippines, may be subject to Philippine income taxation on:
Gains it derived from sale in Australia of shares of stock of Philex Mining Corporation, a Philippine corporation.
21
Statement 1: Estate tax is a proportional tax. Statement 2: A progressive tax is a tax, the rate of which is directly proportional to tax base.
If both statements are correct.
22
Statement 1: Taxation without representation is not tyranny. Statement 2: In the exercise of taxation, the state can tax anything at any time and at any amount.
If only the second statement is correct.
23
Statement 1: Non-payment of tax makes the business illegal. Statement 2: The non-payment of license fee makes the business illegal.
If only the second statement is correct.
24
Statement 1: There can be double taxation in the Philippines. Statement 2: Double taxation is illegal if it violates the uniformity of taxation.
If both statements are correct.
25
Statement 1: A progressive system of taxation means a tax structure where the tax base increases as the tax rate increases. Statement 2: Tax exemption is a grant of immunity to a particular taxpayer from tax where others are obliged to pay.
If only the second statement is correct.
26
Statement 1: Tax avoidance is a form of tax escape. Statement 2: Tax evasion is not punishable.
If only the first statement is correct.
27
Statement 1: A tax may include the power to destroy. Statement 2: A tax may be imposed violating uniformity of taxation.
If only the first statement is correct.
28
Occupying the forefront of tax law enforcement is the:
Bureau of Internal Revenue
29
Mr. B resident citizen, earned $1,000,000 in USA, where the state of Nevada imposed and collected 40% tax on said amount. Here in the Philippines, Mr. B earned P1,000,000. What are the tax consequences of his income within and without the Philippines?
Both $1,000,000 and P1,000,000 earned within and without the Philippines will be taxed by the BIR, however, Mr. B can claim tax credit over taxed paid abroad
30
Congress passed a sin tax law that increased the tax rates on cigarettes by 1,000%. The law was thought to be sufficient to drive many cigarette companies out of business, and was questioned in court by a cigarette company that would go out of business because it would not be able to pay the increased tax. The cigarette company is
wrong because the law recognizes that the power to tax is the power to destroy
31
Statement 1: Taxation and power of Eminent Domain may be exercised simultaneously. Statement 2: Taxation and Police Power may be exercised simultaneously.
If only the second statement is correct.
32
An assessment notice is void if it is was not received by the taxpayers within the three year period from the date of filling of the tax return
False
33
Deficiency taxes for the period 2000 to 2010 discovered by the BIR on March 2021 may still be collected within 10 year from march 2021
True
34
A false return and a fraudulent return are one and the same
False
35
Which is not a governments remedy in tax collection
Inquiry into tax payer's bank deposit
36
Which is incorrect about assessment
It is an action to collect a tax