Compute the DST payable

SWFT Individual Income Taxes
43rd Edition
ISBN:9780357391365
Author:YOUNG
Publisher:YOUNG
Chapter3: Tax Formula And Tax Determination; An Overview Of property Transactions
Section: Chapter Questions
Problem 5DQ
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Question

Compute the DST payable, if any. Disregard any penalty, if any.

Relevant information:

Juan Dela Cruz, single, Filipino citizen, and a resident of N. Reyes St., Manila City sold a piece of land with improvement (house) located in Brgy. Forbes Park, Makati City.

In filing the Capital Gains Tax return, the BIR RDO which has jurisdiction over the transaction assigned Juan Taxpayer Identification No. 123-456-789-0000.

YOU are the buyer. The RDO which has jurisdiction over your residence assigned you TIN no. 987-654-321-0000.

As buyer, it was agreed, that you are to pay the documentary stamp tax.

Additional information:

Details

House and Lot

Title No.

14344

Tax Declaration No. - Land

99501

Tax Declaration No. - House

99502

Location

Brgy. Forbes Park, Makati City

Area

100sqm

Classification

Residential

 

Details

Zonal Value

Assessed Value

Lot in Makati

Php 10,000,000.00

Php 5,000,000.00

House

 

Php 5,000,000.00

  1. Selling Price – Php 20,000,000.00
  2. Deed of Absolute Sale was notarized in November 29, 2021
  3. Disregard the penalty, if any
  4. In the payment of the tax, YOU issued BPI Check No. 5254 on the date of sale.
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