TAX 2 A. Mr.

Lhinag Pang, married, died on January 1, 2013, survived by his wife and 2 legitimate children by a former marriage and a legitimate child with his present wife, leaving the following: 1. Property inherited from his father who died January 2, 2009: a. Agricultural land P1,800,000 b. Residential land 3,000,000 These properties were previously mortgage for P800,000 when inherited where P450,000 was paid by Mr. Pang during his lifetime 2. Property inherited from his mother who died on Nov. 1, 2005, one day before Mr. Pangs marriage to his present wife a. Fish pond P1,200,000 b. Jewelry 1,000,000 3. Property acquired thru Mr. Pangs labor: a. Residential house and lot used as family home P1,900,000 b. Motor vehicles 800,000 c. Commercial land 4,000,000 d. Cash 2,000,000 The commercial land has a mortgage of P1,000,000 of which P600,000 was paid by Mr. Pang before his death. Mr. Pang by will bequeathed to the City of Manila for exclusively public purpose the sum of P200,000. The estate claimed the following expenses a. Funeral expenses P300,000 c. Claims against the estate P150,000 b. Judicial expenses 100,000 d. Medical expense 400,000 Determine the net taxable estate B. Bartolome, Filipino, widower, died leaving the following: 1. Real properties P4,000,000 2. Family home 1,200,000 3. Personal properties 2,000,000 4. Paid medical expenses 600,000 5. Allowable deductions 800,000 Determine a) Net estate subject to tax b) Net distributable estate C. Samuel, Filipino, married, died leaving the following: 1. Real property conjugal P4,000,000 2. Real property- exclusive (Samuel) 2,500,000 3. Family home exclusive (Samuel) 1,200,000 4. Unpaid medical expenses 600,000 5. Allowable deductions conjugal 1,400,000 Determine a) Net estate subject to tax b) Net distributable estate D. A decedent left the following properties: Land in China (with P1M unpaid mortgage) P2,000,000 Land in Ilocos Norte, Philippines 500,000 Franchise in Malaysia 100,000 Receivable from debtor in the Philippines 70,000 Receivable from debtor in Macau 100,000 Bank deposits in Taiwan 80,000 Shares of stock of PLDT, Philippines 75,000 Shares of stocks of ABC, foreign corporation 75% of the business in the Philippines 125,000 Other personal properties 300,000 Zonal value of the land in Ilocos Norte 750,000 1. If the decedent is a non-resident citizen, his gross estate is B a. P3,650,000 b. P3,600,000 c. P2,500,000 d. P2,650,000 2. If the decedent is a non-resident alien, his gross estate is A a. P1,195,000 b. P945,0000 c. P1,320,000 d. P1,070,000 3. Assuming a reciprocity law is applied, the gross estate is A a. P1,050,000 b. P1,195,000 c. P1,250,000 d. P1,070,000 4. Assuming that the PLDT shares of stock are not listed in the local stock exchange, and there are 1,000 shares at the time of death, the companys outstanding shares were 10,000 shares. Its retained earnings was P2,000,000, par value per share was P50. The gross estate should show the said shares at B a. Still at P75,000 b. P250,000 c. P200,000 d. P 0