EXPLAIN YOUR ANSWER (short EXPLANATION only)

ANSWERS:

1.D

2.D

3.C

4.C

5.B

1.A Filipino Citizen is a natural person who is/has

I.Born by birth with father and mother as a Filipino Citizen

II.Born before January 17, 1973 of Filipino mother who elects Philippine citizenship upon reaching the age of majority

III.Acquired Philippine citizenship after birth (naturalized) in accordance with Philippine laws

a)I only

b)I and II only

c)I and III only

d)I, II and III

2.Determine the correct classification of the following:

I.Manny, a Filipino businessman, went on a business trip abroad and stayed there most of the time during the year

II.Kyla, a Filipino professional singer, held a series of concerts in various countries around the world during the current taxable year. She stayed abroad most of the time during the year

III.Efren, a Filipino "cue" artist went to Canada during the taxable year to train and participate in the world cup of pool. He stayed there most of the time during the year.

ABC D

a)NRCRCRCRC

b)NRCNRCRCRC

c)NRCNRCNRCRC

3.Rihanna, an American singer, was engaged to sing for one week at the Western Philippine Plaza after which she returned to USA. For income tax purposes, she shall be classified as:

a)Resident alien

b)Nonresident alien engaged in trade or business

c)Nonresident alien not engaged in trade or business

d) Resident Citizen

4.Which of the following is correct?

I.A citizen of the Philippines residing therein is taxable on all income derived from sources within and without the Philippines

II.A non-resident citizen is taxable only on income derived from sources within the Philippines

III.An alien individual, whether a resident or not of the Philippines is taxable only on income derived from sources within the Philippines

IV.A seaman who is a citizen of the Philippines and who receives compensation for services rendered abroad as a member of the complement of a vessel engaged in international trade shall be treated as an overseas contract worker

a)I, II and III onlyb) I, II and IV only

b)I, III and IV onlyc) I, II III and IV

5.Which of the following individual taxpayers is taxable on income derived from sources within and without the Philippines?

a)Pedro, a native of Bacolod City, working as overseas contract worker in Iraq

b)George, naturalized Filipino citizen and married to a Filipina. He had been living in Pampanga since 1990

c)Pao Gasul, Spanish citizen, a resident of Madrid Spain, spent one-week vacation in Boracay

Lee Minho, Korean singer, held a 3-day concert in Manila