Professional Documents
Culture Documents
NIT
FIT
GIT
MCIT
IAET
OGIT
Taxpayer:
1. RC, RA, NRC,
NRAETB
2. NRANETB
3. DC & RFC
4. NRFC
1.
2.
3.
4.
The
The
The
The
NIT
FIT
GIT
GROSS INCOME
All income derived from whatever source, including but not limited to the ff items:
1. Compensation for services in whatever form paid including but not limited to
fees, salaries, wages, commissions, and similar items;
2. Gross income derived from the conduct of trade or business or the exercise of a
profession;
3. Gains derived from dealings in property;
4. Interests;
5. Rents;
6. Royalties;
7. Dividends;
8. Annuities;
9. Prizes and winnings;
10.Pensions;
11.Partners distributive share of the net income of the general professional
partnership.
Taxpayer
1. RC
2. RA. NRC,
NRAETB, NRANETB
3. DC
4. RC, NRFC
ACCOUNTING METHODS
1. Cash basis income is recognized upon actual receipt of cash and it is an expense
when there is actual payment in cash.
2. Accrual basis income is recognized when earned and it is an expense the
moment it is incurred.
Sec. 44 amount of all items of gross income shall be included in the gross income for
the taxable year in which received by the taxpayer.
Exceptions: Sec. 50 (interlocking director) two or more organization owned and
controlled by the same interests. the Commissioner is authorized to distribute,
apportion, or allocate gross income or deductions between or among such
organization, trade, or business, if he determined it necessary to prevent tax evasion or
to clearly reflect the income of any suh organization, trade, or business.
A.
1.
2.
3.
EXCHANGE
Property for stock
Stock for stock
Security for stock or
securities
Property for stock