Local media 1627017116767748263 ACCOUNTANCY COST ACCOUNTING AND OTHERS PDF

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SEMI FINAL QUIZ 1- DONORS TAX-KEY An act of liberality whereby one disposes gratuitously a thing or right in favor of another who accepts it a. Succession b. Occupation c. Donation d. tradition It is a tax imposed on the exercise of the donor’s right during lifetime to transfer property to others in...

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SEMI FINAL QUIZ 1- DONORS TAX-KEY 1. An act of liberality whereby one disposes gratuitously a thing or right in favor of another who accepts it a. Succession b. Occupation c. Donation d. tradition 2. It is a tax imposed on the exercise of the donor’s right during lifetime to transfer property to others in the form of gift a. Estate tax b. Donor’s tax c. Property tax d. Income tax 3. Which of the following statements is correct? a. A transfer is gratuitous or without consideration and accordingly qualifies as a donation, if no economic benefit measurable in money or money’s worth flowed to the transferor from the transferee. b. A gratuitous transfer is always subject to donor’s tax. c. A donation on which the donor’s tax was not paid is not valid donation. d. Title to the donated real property can be transferred to the done in the Register of Deeds even if the donor’s tax on the donation had not been paid. 4. Donor’s tax is: a. A property tax b. A personal tax c. A business tax d. An excise tax 5. Donor’s tax is a(n) I. Exercise tax II. Direct tax III. Personal tax IV. Property tax a. I and II only b. I, II and III only c. I,II and IV only d. I, II, III and IV 6. Statement 1: A gift occurs when the donor surrenders control over the property. Statement 2: If the donor retains an unlimited power to revoke the gift, it is clear that gift has occurred. a. Only statement 1 is correct b. Only statement 2 is correct c. Both statements are correct d. Both statements are incorrect 7. Statement 1: Donor’s tax shall not apply unless and until there is a completed gift. Statement 2: The transfer of property by gift is perfected from the moment the donor knows of the acceptance by the donee; it is completed by delivery, either actually or constructively, of the donated property to the donee. a. Only statement 1 is correct b. Only statement 2 is correct c. Both statements are correct d. Both statements are incorrect

8. A gift is incomplete because of reserved powers, becomes complete when either: I. The donor renouncers the power; or

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His right to exercise the reserved power ceases because of the happening of some event or contingency or the fulfillment of some condition, other than because of the donor’s death. a. Only I is correct b. Only II is correct c. Both I and II is correct d. Both I and II are incorrect The common characteristic of transfer taxes is that the transfer of property: a. Is onerous b. Takes effect during the lifetime of the transferor. c. Takes effect upon the death of the transferor. d. Is gratuitous One of the following is not a distinction between donation inter vivos and donation mortis causa. a. Donation inter vivos takes effect during the lifetime of the grantos while donation mortis causa takes effect after the death of the grantor. b. Donation inter vivos is subject to donor’s tax while donation mortis causa is subject to estate tax. c. Donation inter vivos requires a public document while donation mortis causa may not require a public document d. Donation inter vivos is valued at the fair market value at the time the property is given while donation mortis causa is valued at the fair market value at the time of the death of the grantor. Which of the following donations inter vivos may not require that it be in writing? a. Donation of personal (movable) property, the value of which exceeds P5,000. b. Donation of personal (movable) property, the value of which is P5,000 c. Donation of real (immovable) property, the value of which is less than P5,000 d. Donation of real (immovable) property, the value of which exceeds P5,000. Which of the following statements regarding donation of an immovable property is correct? a. The donation must be made in public document specifying therein the property donated. b. The acceptance may be made in the same Deed of Donation or in a separate public instrument, but it shall not take effect unless it is done during the lifetime of the donor. c. If the acceptance is made in a separate instrument, the donor shall be notified thereof in an authentic form and this step shall be noted in both instruments. d. All of the above Which of the following statements is correct? a. Donation of immovable property may be made orally or in writing. b. If the value of the real property donated exceeds P5,000, the donation and the acceptance shall be made in writing, otherwise, the donation shall be void. c. An oral donation requires the simultaneous delivery of the thing or of the document representing the right donated. d. All of the above The following are the requisites of a donation for purposes of the donor’s tax, except one. a. Capacity of the donor b. Capacity of the donee c. Delivery of the subject matter or gift d. Donative intent Statement 1: Donor’s tax shall be levied, assessed, collected and paid upon the transfer of property by any person, resident or non-resident, as a gift. Statement 2: The donor’s tax shall apply whether the transfer is in trust or otherwise, whether the gift is direct or indirect, and whether the property is real or personal, tangible or intangible. a. Only I is correct

b. Only II is correct c. Both I and II are correct d. Both I and II are incorrect

16. Statement 1: “Consideration” means money or equal value or some goods or service capable of being evaluated in money. Statement 2: Donative intent is required only in indirect gift. a. Only I is correct b. Only II is correct c. Both I and II are correct d. Both I and II are incorrect 17. For the donation to be considered valid, acceptance of the donation must be made: a. During the lifetime of the donor only. b. During the lifetime of the donee only c. During the lifetime of the donor and the donee d. None of the choices 18. When is the donation perfected? a. The moment the donor knows of the acceptance by the donee b. The moment the thing donated is delivered, either actually or constructively, to the donee c. Upon payment of the donor’s tax d. Upon execution of the deed of donation 19. Which of the following statements is correct? a. Donation is perfected not from the time of acceptance but from the time of knowledge of the donor that the donee has accepted the donation. b. Acceptance must be made during the lifetime of the donor and of the donee. c. Donations made to conceived and unborn children may be accepted by those persone who would legally represent them if they were already born. d. All of the above. 20. Which is not true? a. The donation is perfected only from the moment the donor knows of the acceptance by the donee. b. Vitiated consent renders the donation voidable. c. Acceptance may be made after the lifetime of the donor. d. The donee must accept the donation personally or through an authorized person; otherwise the donation shall be void. 21. Which of the following statements is correct? a. Donation is perfected not from the time of acceptance but from the time of knowledge of the donor that the donee has accepted the donation. b. Acceptance must be made during the lifetime of the donor and of the donee. c. Donations made to conceived and unborn children may be accepted by those persons who would legally represent them if they were already born. d. All of the above 22. Statement 1: Regardless of the relationship to the donee, donations made by the donor are subject to the scheduler rates of 2% to 15%, if such donation was made prior to the effectivity of the TRAIN Law . statement 2: A relative by consanguinity in the collateral line within the fourth degree of relationship is not a stranger. a. Only the first statement is correct b. Only the second statement is correct c. Both statements are correct d. Both statements are incorrect 23. For donations made prior to 2018, where the donee or beneficiary is a stranger, the tax payable by the donor shall be: a. 30% of the gross gifts. b. 30% of the net gifts. c. Based on the graduated rates with the first P100,000 net gift exempt or 30%....