MULTIPLE CHOICE PROBLEM PART 1 1. Free company, a resident !siness renders ser"ices to Mr. Er#$in, a resident person $%o is not en&a&ed in !siness. '%ic% o( t%e (o##o$in& is s!)ect to cons!mption ta*+ a. Free company . Mr. Er#$in c. Bot% A and B d. eit%er A nor B
-. Ba#i$a& Company , a non resident resident !siness, p!rc%ased P-, (rom Ca!ayan company, a resident !siness. '%ic% $i## pay t%e cons!mption ta* on t%is transaction+ a. Ca!ayan Company . Ba#i$a& company c. Bot% A and B d. eit%er A nor B
/. Heidener& corporation , a resident !siness , p!rc%ased P 1, &oods (rom 0i$i Company , a non resident resident !siness. '%ic% $i## pay cons!mption ta* on t%is transaction+ a. Heidener& company . 0i$i Corporation
c. Bot% A and B d. eit%er A nor B
. Mr. Cedric, an emp#oyee so#d %is residentia# #ot to Mrs. Corneto a rea# property dea#er . '%ic% is s!)ect to cons!mption ta* $it% respect to t%is transaction+ a. Mr. Cedric . Mrs. Corneto c. A and B d. eit%er A nor B
2. Mr. Ban&!s made a cas!a# sa#e in"o#"in& a car to Mrs. T!#ya, a resident !yer. Mr. Ban&!s is not a car dea#er . '%ic% is s!)ect to cons!mption ta*+ a. Mr Ban&!s . Mrs. T!#ya c. Bot% Mr Ban&!s and Mrs T!#ya. d. eit%er Mr. Ban&!s nor Mrs.T!#ya
3. Mr. Ca"ite prod!ces an e*cisa#e artic#e (or t%e sa#e in t%e P%i#ippine mar4et. '%ic% is incorrect $it% respect to Mr. Ca"ite5s !siness ta*ation+ a. Mr. Ca"ite s!)ect to eit%er 6AT or percenta&e ta* . Mr . Ca"ite pays e*cise ta* in addition to 6AT or percenta&e ta*
c. Mr. Ca"ite pays e*cise ta* in addition to 6AT and percenta&e ta*. d. Mr. Ca"ite $i## pay e*cise ta* $it%o!t re&ard to $%et%er %e is a 6AT or non 6AT ta*payer.
7. A person en&a&ed in !siness is s!)ect to /8 !siness ta*. He %as in"entories o( &oods in %is possession $%ic% cost 77,3 $%ic% %e intends to se## to earn mar4 !p o( -28 o( cost net o( t%e /8 !siness ta*+ a.P1, .P1/, c.P 97, d. P 11,
:. A !siness $ants to ma4e P1, pro;t (rom t%e sa#e o( an in"entory costin& P /, . T%e !siness is s!)ect to /8 percenta&e ta*. At $%at amo!nt s%a## t%e !siness in"oice t%e sa#e+ a. P 1,-/7 . P 1,- c. P , d.P /:,:
9. A person $%o imports &oods or properties $i## more #i4e#y to pay
a. a /8 percenta&e ta* on t%e importation . a 1-8 6AT on t%e importation c. eit%er /8 or 1-8 ta* on t%e importation d. no cons!mption ta*
1. A person $%o is not re&!#ar#y en&a&ed trade or !siness se##s made a cas!a# sa#e o( property (or P 1,. '%at $i## e in"oice price o( t%e sa#e+ a.1, .1/, c. 11-, d. Eit%er B or C
11. A#ison is re&!#ar#y en&a&ed in t%e sa#es o( &oods. He $i## pay a. P . P /, c. P 3,1: d P 1-,
1-. Mr. 6ent!ra is s!)ect to /8 percenta&e ta*. He made tota# co##ection o( P-3, d!rin& a mont% and paid P1/, in p!rc%ases. Comp!te %is percenta&e ta*. a. P
. P /, c. P 3,1: d. P 1-,
1/. A !siness ta*payer p!rc%ased P1-, (rom non residents and so#d &oods $ort% P1 (or 1:, '%at is t%e concept o( <"a#!e added < (or 6AT p!rposes+ a. -, . 1, c. : d. 3
1. In t%e immediate#y precedin& pro#em, $%at is t%e asis o( percenta&e ta*+ a. - . 1 c. 1- d. 1:
12. Ass!min& t%e same data in t%e ao"e pro#em , $%at is t%e asis o( t%e 6AT om importation+ a. - . 1 c. 1-
d. :
13. Mr. Coroneti imported P / e=!ipment (or !siness !se and a P 1 - car (or persona# !se. '%at is t%e amo!nt s!)ect to t%e 6AT on importation+ a . ./ c .1 - d. 1 2
MULTIPLE CHOICE PART BA>IC CA>E 1 1. A !siness ta*payer %ad t%e (o##o$in& p!rc%ase and receipts? Import o( &oods or ser"ices
P 19
@omestic p!rc%ase o( &oods or ser"ices
P 1
@omestic sa#es o( &oods and ser"ices
P12
E*port >a#es o( &oods or ser"ices
P 2
@etermine t%e tota# amo!t o( $%ic% $i## e s!)ect to cons!mption ta* to t%e !siness ta* payer. a. 2 . c. /2
d. /
-. In t%e immediate#y precedin& pro#em , determine t%e amo!nt s!)ect to cons!mption ta* i( t%e ta* payer is not en&a&ed in !siness a. 9 . /9 c. - d. 19 Basic Case 2
/. A 6AT re&istered ta*payer recorded t%e (o##o$in& sa#es and p!rc%ases d!rin& t%e mont% >a#es
P /
P!rc%ases P - A## amo!nts ao"e are e*c#!si"e o( any 6AT. '%at $o!#d e t%e O!tp!t 6AT+ a. : . /3 c. - d. 1-
. '%at is t%e Inp!t 6AT +
a. : . /3 c. - d. 1- 2. '%at is t%e 6AT paya#e + a. : . /3 c. - d. 1- 3. Ass!min& t%e ta*payer is a non "at ta*payer payin& /8 percenta&e ta*, t%e percenta&e ta* s%a## e a. 1- . 9 c. 3, d. /,
Basic Case 3
A !siness ta*payer recorded t%e (o##o$in& transactions d!rin& t%e mont%? P%i#ippines
Aroad Tota#
>a#es
/2
- 22
P!rc%ases
12
1 -2
TOTAL
2
/ :
Ass!min& t%at ta*payer is a 6at re&istered ta*payer 7. Comp!te t%e O!tp!t 6AT. a. . - c. /3 d. -
:. Comp!te t%e 6AT on importation . a. . 1- c. 1: d. /- Ass!min& t%e ta*payer is a non 6AT ta*payer 9. Comp!te t%e percenta&e ta*. a. . 3 c. 9 d. 1 2
1. Comp!te t%e 6AT on importation. a. . /
c. 1- d. 1:
BASIC CASE 4
>andi&an Company a 6AT re&istered ta*payer , p!rc%ased $ort% o( &oods and so#d at t%e same (or P : 11. Ass!min& t%at t%e !siness operation o( >andi&an company is #imited to P%i#ippine residents , $%at is t%e tota# !siness ta* it $i## report on its sa#es+ a. 93 . : c. - d. 1-. Ass!min& t%at t%e p!rc%ases $ere import and t%e sa#es $ere e*ports comp!te t%e !siness ta* and tota# cons!mption ta* respecti"e#y. a P 93 ? P 1 . P - ? P 1 c. P - ? P 7- d. P
? :
