NAME: __________________________

_____________________

SCORE:

CONCEPTS, PRINCIPLES AND ADMINISTRATION

Instruction: Encircle the best answer to each of the following questions that relate
to the provisions of the revised National Internal Revenue Code (NIRC).
1. Statement 1: A person may refuse to pay a tax on the ground that he
receives no personal benefit from it.
Statement 2: A taxpayer has a right to question illegal expenditures of public
funds.
A.
B.
C.
D.
2.

Statement 1: One of the essential characteristics of a tax is it is unlimited in

amount.
Statement 2: A tax is generally unlimited because it is based on the needs
of the state.
A.
B.
C.
D.

3.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

Statement 1: A License fee is a charged imposed under the police power of

the state.
Statement 2: Penalty is imposed by the state only.
A.
B.
C.
D.

4.

If only the first statement is correct.

If only the second statement is correct.
If both statements are correct.
If both statements are incorrect.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

Statement 1: Imposition of taxes is a legislative act.

Statement 2: Collection of taxes is an administrative act.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

5. Statement 1:
Constitution.
Statement 2:
Constitution.

A state has the power to tax even if not granted by the

A state cannot exercise police power if not granted by the

A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

6. Statement 1: There can only be a tax if there is a law imposing the tax.
Statement 2: The power to tax is inherent.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

7. Statement 1: A tax is based on law while debt is based on contract.

Statement 2: A tax is also a customs duty.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

8. Statement 1: A person cannot be imprisoned for non-payment of property

tax.
Statement 2: A law may be passed violating uniformity of taxation.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

9. Statement 1: The RDO is known as the alter ego of the BIR Commissioner.
Statement 2: The BIR Commissioner is directly under the Presidents Office.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

10.Statement 1: Provisions in the Philippine Constitution on Taxation are grants

of power.
Statement 2: Due process of law in taxation in the Constitution is a grant of
power.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

11. Statement 1: An excise tax is also called privilege tax.

Statement 2: A tax which is neither personal nor property , is an excise tax.

A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

12.Statement 1: Estate tax is a proportional tax.

Statement 2: A progressive tax is a tax, the rate of which is directly
proportional to tax base.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

13. Statement 1: Taxation without representation is not tyranny.

Statement 2: In the exercise of taxation, the state can tax anything at
anytime and at any amount.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

14.Statement 1: Taxation and power of Eminent Domain may be exercised

simultaneously.
Statement 2: Taxation and police power may be exercised simultaneously.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

15.Statement 1: All of our tax laws are statutory laws.

Statement 2: The non-impairment clause is a statutory law on taxation.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

16.Statement 1: Non- payment of tax makes the business illegal.

Statement 2: The non-payment of license fee makes the business illegal.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

17.Statement 1: Margin fee is a tax.

Statement 2: Customs duty is a tax.
A. If only the first statement is correct.
B. If only the second statement is correct.
C. If both statements are correct.
D. If both statements are incorrect.
18.Statement 1: Territoriality is one of the constitutional limitations on the
power of taxation.
Statement 2: International comity is an inherent limitation in taxation.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

19.Statement 1: Taxes may be used for sectarian purposes if allowed by an

ordinance.
Statement 2: The President can refuse to implement a tax law if it appears to
be unconstitutional.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.

20.Statement 1: There can be double taxation in the Philippines.

Statement 2: Double taxation is illegal if it violates the uniformity of taxation.
A.
B.
C.
D.

If
If
If
If

only the first statement is correct.

only the second statement is correct.
both statements are correct.
both statements are incorrect.