If the decedent was a nonresident alien and his country exempts a Filipino citizen from estate tax, how much of his assets would be subject to reciprocity?P1,000,000P800,000P600,000P350,000 The gross estate of a decedent included the following:Land & building, PhilippinesHouse and lot, UKPersonal properties, UKHouse and lot, PhilippinesShares of stocks, UK corp.Shares of stocks, domestic corp.(certificate kept in UK)Shares of stocks, domestic corp.(certificate kept in Philippines)Franchise exercised in the PhilippinesFranchise exercised in UKCostP1,600,0001,800,0001,000,0004,000,000Fair ValueP2,000,0001,500,000600,0003,500,000200,000250,000100,000200,000150,00050,00050,000Receivables, debtor is from UKReceivables, debtor is from the Philippines

According to the principle of reciprocity, only the taxpayer's home state will deduct income taxes…

The gross estate of a decedent included the following: Land & building, Philippines Cost P1,600,000 Fair Value House and lot, UK 1,800,000 P2,000,000 1,500,000 Personal properties, UK 1,000,000 600,000 House and lot, Philippines 4,000,000 3,500,000 Shares of stocks, UK corp. 200,000 Shares of stocks, domestic corp. 250,000 (certificate kept in UK) Shares of stocks, domestic corp. 100,000 (certificate kept in Philippines) Franchise exercised in the Philippines 200,000 Franchise exercised in UK 150,000 Receivables, debtor is from UK 50,000 Receivables, debtor is from the Philippines 50,000

The gross estate of a decedent included the following: Land & building, Philippines Cost P1,600,000 Fair Value House and lot, UK 1,800,000 P2,000,000 1,500,000 Personal properties, UK 1,000,000 600,000 House and lot, Philippines 4,000,000 3,500,000 Shares of stocks, UK corp. 200,000 Shares of stocks, domestic corp. 250,000 (certificate kept in UK) Shares of stocks, domestic corp. 100,000 (certificate kept in Philippines) Franchise exercised in the Philippines 200,000 Franchise exercised in UK 150,000 Receivables, debtor is from UK 50,000 Receivables, debtor is from the Philippines 50,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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Question

If the decedent was a nonresident alien and his country exempts a Filipino citizen from estate tax, how much of his assets would be subject to reciprocity? P1,000,000 P800,000 P600,000 P350,000

The gross estate of a decedent included the following:
Land & building, Philippines
House and lot, UK
Personal properties, UK
House and lot, Philippines
Shares of stocks, UK corp.
Shares of stocks, domestic corp.
(certificate kept in UK)
Shares of stocks, domestic corp.
(certificate kept in Philippines)
Franchise exercised in the Philippines
Franchise exercised in UK
Cost
P1,600,000
1,800,000
1,000,000
4,000,000
Fair Value
P2,000,000
1,500,000
600,000
3,500,000
200,000
250,000
100,000
200,000
150,000
50,000
50,000
Receivables, debtor is from UK
Receivables, debtor is from the Philippines

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