1.

The valuation of the gross estate shall be made at the:

a. Date of filing of the estate tax return
b. Date of filing of the notice of death
c. Date of appointment of the administrator of the estate
d. Date of transmission of the property of the decedent to the heirs
2. In order that an assessment may be considered valid, it is required that the
said assessment shall state:
a. The factual and legal basis of the assessment
b. That the assessment shall become final within 30 days if not acted
upon by the taxpayer
c. The particular tax type and year under investigation
d. All of the above
3. Properties passing through a power of appointment is not includible in the
estate of the decedent:
a. When the decedent-grantor retains possession of the property with
transfer being effected only upon the death of the decedent-grantor
b. When the decedent-grantor receives profits from the said properties
which will continue as long as the grantor is alive.
c. When the decedent grantor delegates to a third person the right to
transfer or transmit the property, its possession and profits, at any
point in time.
d. When the decedent-grantor delegates to third person the right to
transfer or transmit the property, its possession and profits, at any
point in time with a clause excluding the designation by the third
person of the decedent-grantor as a recipient of the property or its
profits.
4. Filing of the donors tax for a donation of real property which is subject to the
donors tax shall be within:
a. Thirty days from the grant of the donation by the donor
b. Thirty days from the acceptance of the donation in writing by the done
c. Thirty days from the notarization of the donation document
d. Thirty days from the transfer of title of the real property
5. For the purpose of the donors tax, which of the following is classified as a
stranger to the donor:
a. Wife
b. Sister of whole or half blood
c. Niece or nephew
d. Mother in law
6. Which of the following services is subject to the 3% percentage tax instead of
the VAT because of the provisions of Section 109 (1)(V)?
a. Sale of real properties at a price of P 1,500,000.00 and below for the
land and at the price of P1,000,000.00 and below for the improvement
b. Services rendered to persons engaged in international shipping or
international air transport operations, including leases of property for
the use thereof.
c. Services by agricultural contract growers and milling for others of
palay into rice, corn into grits and sugar cane to raw sugar.

d. Sale of services by individuals whose annual sales does not exceed P

1,500,000.00
7. Before any civil or criminal action is files by the BIR in court ___________ is
necessary:
a. Approval of the Secretary of Justice
b. Approval of the BIR Commission
c. Approval of the Secretary of Finance
d. Approval of the President
8. A deduction from the gross estate which does not need any requirement is:
a. Unpaid taxes
b. Judicial expenses
c. Optional standard deduction
d. Standard deduction
9. A stranger for donors tax purposes is
a. Nephew
b. Grandchild
c. Grandmother
d. Second cousin
e. Uncle
10.VAT is a ---a. Special tax
b. Local tax
c. Specific tax
d. Regressive tax
e. None of the above
11.Which of the following lease of property is exempt under Section 109 of the
NIRC:
a. Lease of properties for P 10,000 and below per month
b. Lease of properties for personal use of the Lessee
c. Lease of real properties P 5000 and below for commercial activities
d. Lease of bed spaces and dormitory space at P 5000 and below per
month
12.The special deductions from the gross estate are the following, except:
a. Judicial expenses in testate or intestate proceedings
b. Standard deduction
c. Family home up to P 1,000,000
d. Medical expenses within one year from the death of the decedent not
exceeding P 500,00
13.Funeral expenses that can be claimed as deduction from the gross estate
should be:
a. Actual amount incurred
b. Not exceeding P 200,000
c. 5% of the gross estate
d. The lowest of the above figures
14.The periodic decrease in the value of a fixed asset due to wear and tear,
obsolescence or inadequacy
a. Depletion
b. Depreciation
c. Capital loss

d. Special loss
15.A decedent who is not a citizen nor a resident of the Philippines shall be
subject to the Philippine estate taxes if:
a. The decedent was a former Filipino citizen who acquired his new
citizenship within 6 months prior to his death
b. The decedent died in the Philippines
c. The decedent stayed in the Philippines prior to his death for a period
of more than 180 days within the year whether continuous or
interrupted
d. The decedent owns shares of stock of Philippine corporations at the
time of his death.

ANSWER KEY
1. D
2. D
3. D
4. B
5. D
6. D
7. B
8. D
9. D
10.C
11.D
12.A
13.D
14.B
15.D