Testl : Identication Instruction: Fill in your answer in the space provided. 1.It refers to all earnings derived from service rendered, from capital, or both including gain derived from sale or exchange of personal or real property. 2. It refers to the pertinent items in gross income specified in the Tax Code less the deductions, if any, and or personal and additional exemptions authorized by such types of income by the Tax Code or other special laws. 3. It refers to an income in which the taxpayer merely waits for the amount to come in. (Ex.a re royalty, interest.) 4. It refers to an income derived from sale of assets not used in trade or business. 5.It refers to earnings received periodically for a regular work other than manual labor, such as a monthly payment for service rendered of an employee. 6.It refers to premium payment received for working beyond regular hours of work which is included in the computation of gross salary of employee. 7.It refers to a form of earnings derived from the distribution made by a corporation out of its earnings. 8.It refers to personal property transferred from one person to another by will. 9.It refers to benefits are privileges of relatively small value given by the employer to his employees. 10.It refers to an additional payment received due to workers exposure to danger or harm while working. Test II: Enumeration Instruction: Enumerate what is being asked. 1-4Classifications of Income 5-?Forms and Valuation of Income 8-11 Tax Accounting Periods 12-29CIassification of Gross Compensation Income 30-34lncome sources from illegal sources 35-40 Forms and Valuations of Dividend Income Test III. Explanation 1. When an employer-employee relationship is exists? 2. Are proceeds of life insurance excluded from taxable income? 3. When is an educational institution exempt from income tax? 4. Are prizes to be awarded to individual inventor subject to tax? Why? 5. What is 3 Barangay Micro Business Enterprise? 6. Why is gift not subject to income tax? 7. Why is taxation is important? 8. What are the bases of exercise of tax power? 9. Explain the phrase "No public money shall be appropriated religious purposes\"? 10. What is your understanding about taxation