Beruflich Dokumente
Kultur Dokumente
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Nontaxable
Basic salary
De Minimis:
Clothing allowance
XX
Other benefits
13th month pay
XX
Excess of de minimis
XX
82,000*
Total
XX
XX
*As long as the total of other benefits is within 82,000.
GSIS, SSS, Philhealth, PAG-IBIG contributions and union dues of individual are taxexempt contributions.
Benefits for the advantage of the employer are not subject to income tax.
Proceeds from a life insurance upon death of insured are nontaxable. It merely
represents a reimbursement for the loss suffered.
When the insurer is alive and received his life insurance, only the premium or the
excess of insurance paid is taxable. It represents a gain from the insurance.
Proceed from a life insurance taken by a corporation to its executive-employee is
nontaxable. Accordingly, the premium expense paid is not a deductible expense.
Gift, Bequest, and Devise
Gift refers to property legally and validly transferred to one
Bequest - personal property transferred from another by will
Devise real property transferred from another by will
When Gift, Bequest and Devise is received without consideration, they are not
subject to tax.
When payments are made to show good will without legal obligation to give, then
the payment is a gift and not subject to tax.
For the part of the recipient it may be a gift, bequest, or devise, but the donor is
subject to donors tax.
Accident and Health Insurance under Workmens Compensation Acts are
nontaxable.
Compensation from damages is taxable if payment is:
a) Loss of anticipated profits;
b) Damages awarded from breach of contract;
c) Interest for nontaxable income;
d) Damages from unrealized income.
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