12 Questions
Which of the following is considered a taxable fringe benefit?
A household maid provided by the employer
What is the tax rate for taxable fringe benefits received by a managerial or supervisorial employee who is a resident citizen?
35% final tax
Which of the following is considered a non-taxable fringe benefit?
Fringe benefits authorized and exempted from tax under special laws
For rank-and-file employees, what is the tax treatment of fringe benefits that exceed the $90,000 limit?
The excess is subject to the normal graduated tax rates ranging from 20% - 35%
What is the monetary value of a cash fringe benefit?
The face amount or value received
Which of the following is considered a taxable fringe benefit for a non-resident alien not engaged in trade or business?
Holiday and vacation expenses paid by the employer
What is the primary purpose of distinguishing between a rank-and-file employee and a managerial or supervisorial employee?
To determine their tax treatment for fringe benefits
According to the given information, which of the following statements about managerial employees is true?
They have the authority to lay down management policies
Which of the following characteristics best describes a rank-and-file employee?
Their work is routinary and clerical in nature
Based on the information provided, which of the following statements is true about supervisory employees?
They can effectively recommend managerial actions using independent judgment
What is the primary characteristic that distinguishes a fringe benefit from regular salary?
Fringe benefits are provided in addition to basic salary
According to the information provided, which of the following statements is true about managerial and supervisorial employees?
They are taxed differently than rank-and-file employees for fringe benefits
Learn about fringe benefits provided by an employer to an employee in addition to the basic salary. Explore the different tax implications for rank-and-file employees versus managerial or supervisorial employees.
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