Quarry Resources and Professional Tax Regulations
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Questions and Answers

What is the maximum percentage allowable for investment in newly started businesses?

  • 10% (correct)
  • 15%
  • 1%
  • 0.1%

    • Which of the following resources does NOT fall under quarry resources extracted from public land?

  • Timber (correct)
  • Sand
  • Gravel
  • Earth

    • Who is responsible for issuing permits to extract quarry resources?

  • Local government units
  • National government
  • Private companies
  • Provincial governor (correct)

    • What does 'fair market value' refer to in the context of quarry resources?

    <p>The local price for similar resources</p> Signup and view all the answers

    According to the provided details, what portion of quarry resources is allocated to the province?

    <p>30%</p> Signup and view all the answers

    What percentage of mineral substances is included in the regulation for Sangguniaan components?

    <p>40%</p> Signup and view all the answers

    Which of the following is NOT considered a common stone or mineral substance?

    <p>Valuable precious metals</p> Signup and view all the answers

    Who declares the common stones or mineral substances as per the regulation?

    <p>Bureau of Mines and Geosciences</p> Signup and view all the answers

    Which condition must be met for a material to be classified under the ordinance?

    <p>Do not contain metals or valuable minerals</p> Signup and view all the answers

    Which level of government includes the series of regulations regarding mineral substances?

    <p>City/municipality and provincial levels</p> Signup and view all the answers

    What is the maximum percentage by which city taxes may exceed the provincial municipality's rates?

    <p>50%</p> Signup and view all the answers

    What is the tax rate on gross sales for stores or retailers with gross sales of P50,000 or less in cities?

    <p>1%</p> Signup and view all the answers

    Which type of cities is independent of the province regarding tax revenues?

    <p>Both B and C</p> Signup and view all the answers

    What is a characteristic of professional and amusement taxes according to the provisions?

    <p>They are subject to different regulations.</p> Signup and view all the answers

    What is a source of taxes that is levied based on gross sales or receipts from the preceding calendar year?

    <p>Barangay Taxes</p> Signup and view all the answers

    What is the maximum amount that a professional tax can exceed without incurring additional fees?

    <p>Php 300</p> Signup and view all the answers

    By when is the annual payment of professional tax due?

    <p>January 31</p> Signup and view all the answers

    Which authority requires the payment of professional tax?

    <p>Sanggunian</p> Signup and view all the answers

    Where must the professional tax be paid?

    <p>At the local government unit of the primary office</p> Signup and view all the answers

    What happens after the payment of the professional tax is made?

    <p>They are entitled to practice in any part of the Philippines.</p> Signup and view all the answers

    To what tax are individuals subject after making the payment of the professional tax?

    <p>No additional taxes</p> Signup and view all the answers

    Which of the following statements is true regarding the professional tax practice?

    <p>Professionals need a government examination to practice.</p> Signup and view all the answers

    What must professionals do before practicing their profession?

    <p>Pay the required professional tax.</p> Signup and view all the answers

    What is the maximum percentage of gross receipts that banks and financial institutions can be taxed?

    <p>50%</p> Signup and view all the answers

    Which of the following is not considered a source of derived income for banks according to the information provided?

    <p>Sales revenue from merchandise</p> Signup and view all the answers

    What is the annual income threshold for peddlers to be exempt from certain taxation?

    <p>P50.00</p> Signup and view all the answers

    A peddler is defined as someone who sells goods from place to place; what determines if they are a wholesale or retail peddler?

    <p>The definitions provided in the relevant title</p> Signup and view all the answers

    For businesses not otherwise specified, what action can the Sanggunian concerned take regarding tax rates?

    <p>Prescribe graduated tax rates with certain limits</p> Signup and view all the answers

    Which type of income is included under the derived income category for banks?

    <p>Commissions from sales activities</p> Signup and view all the answers

    What is the purpose of the graduated tax rates that may be prescribed for businesses not otherwise specified?

    <p>To ensure fair taxation across different income levels</p> Signup and view all the answers

    Which of the following best describes a peddler?

    <p>A person who travels selling goods or offering them for sale</p> Signup and view all the answers

    Study Notes

    Extraction of Quarry Resources from Public Land

    • Requires a permit from the provincial governor
    • The permit is exclusive
    • The permit is issued pursuant to the Sanggunian Panlalawigan ordinance
    • The investment in a newly started quarry business should not exceed 10% of the fair market value of the quarry resources
    • The proceeds from the sale of quarry resources are allocated as follows:
      • 30% to the province
      • 30% to the component city/municipality
      • 40% to the barangay

    Professional Tax

    • The Sanggunian classifies professional occupations
    • Payable annually by January 31st to the province where the professional's primary office is located.
    • The maximum professional tax is Php 300.00.
    • Persons who pay professional tax are entitled to practice their profession in any part of the Philippines.

    Taxes on Banks and Other Financial Institutions

    • The tax rate is not to exceed 50% of 1% of the gross receipts of the preceding calendar year
    • The tax applies to income derived from:
      • Interest
      • Commissions and discounts from lending activities
      • Income from financial leasing
      • Dividends
      • Rentals on property
      • Profit from exchange or sale of property
      • Insurance premiums

    Taxes on Peddlers

    • The maximum tax rate is Fifty pesos (P50.00) per peddler annually.
    • A peddler is defined as a person who travels from place to place selling goods or offering them for sale, either for themselves or on commission

    Taxes on Businesses Not Otherwise Specified

    • The Sanggunian can prescribe a schedule of graduated tax rates for businesses not otherwise specified in the table
    • The maximum rate is the rate prescribed in the table.
    • Cities may levy rates that exceed the maximum provincial and municipal rates by not more than 50%
    • Exception: Amusement and Professional taxes
    • Independent Component Cities (ICCs) and Highly Urbanized Cities (HUCs) are independent of the province and collect their own taxes, fees, and charges.

    Barangay Taxes

    • Stores or retailers with fixed business establishments are subject to a barangay tax.
    • The maximum tax rate is one percent ( 1%) on gross sales or receipts for stores with gross sales of P50,000 or less in cities and P30,000 or less in municipalities.

    Barangay Service Fees or Charges

    • Barangays can charge fees for services rendered in connection with regulation or use of barangay-owned properties or service facilities, such as dryers.

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    Related Documents

    Tax 3-1: Local Government Taxation PDF

    Description

    This quiz covers regulations related to the extraction of quarry resources from public land, including the requirements for permits and allocation of proceeds. It also addresses professional tax obligations for individuals and the taxation of banks and financial institutions. Test your understanding of these important legal and financial concepts.

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