TAX3703 - TAXATION OF ESTATES LATEST EDITION TEST | EXAM QUESTIONS AND
ANSWERS |UPDATED VERSION 2025/2026| ALREADY GRADED A+
1.It is a tax on the right to transfer property at death (succession) and on certain transfers which are
made by law the equivalent of testamentary disposition and is measured by the value of the property. -
ANSWER Estate Tax
2.Who is the taxpayer in the estate taxation? - ANSWER Estate Tax
3.What are the three Elements of Succession - ANSWER -Decedent
-Heir
-Estate
4.While the decedent may dispose of his properties in a last will and testament, he must, however,
reserve some for certain persons who are called by law as? - ANSWER Compulsory or Forced Heirs
5.Is that part of the whole estate which the testator could dispose of freely through written will
irrespective of his relationship to the recipient. - ANSWER Free portion
6.Is the portion of the testator's property which could not be disposed of freely because the law has
reserved it for the compulsory heirs. - ANSWER Legitime
7.Is a person appointed by the court, in accordance with the governing statute, to administer and settle
intestate estate and such testate estate as no competent executor was designated by the testator. -
ANSWER Administrator
8.Consists of all properties and interests in properties of the decedent at the time of his death as well as
properties transferred during lifetime (only in form), but in substance was only transferred at the time
death. - ANSWER Gross Estate
9.Components of the Gross Estate - ANSWER -Properties existing at the time of death
-Transfer intervivos euivalent to testamentary disposition.
, -Proceeds from life insurance.
10.Properties existing at the time of death; includes - ANSWER -Real Properties
-Tangible personal properties
-Intangible personal properties
11.Transfer intervivos euivalent to testamentary disposition; includes - ANSWER -Transfer in
contemplation of death.
-Transfer with retention or reservation of certain rights.
-Revocable transfer.
-Property passing under general power of appointment.
-Transfer for insufficient consideration.
12.Proceeds from life insurance; includes - ANSWER a. Whether REVOCABLE or IRREVOCABLE, when the
beneficiary is the :
i. Estate of the deceased
ii. His executor; or
iii. Administrator
b. When the beneficiary is a third person, only if REVOCABLE
13.Estate tax accrues from: - ANSWER The moment of death of the decedent
14.The taxpayer in estate tax is: - ANSWER The estate as a juridical entity
15.Who has the personal liability to pay estate tax - ANSWER The administrator or executor
16.An executor or administrator, after paying the estate tax, and to escape a future liability for a
deficiency estate tax, must secure a written discharge from personal liability from: - ANSWER The
Commissioner of Internal Revenue.
ANSWERS |UPDATED VERSION 2025/2026| ALREADY GRADED A+
1.It is a tax on the right to transfer property at death (succession) and on certain transfers which are
made by law the equivalent of testamentary disposition and is measured by the value of the property. -
ANSWER Estate Tax
2.Who is the taxpayer in the estate taxation? - ANSWER Estate Tax
3.What are the three Elements of Succession - ANSWER -Decedent
-Heir
-Estate
4.While the decedent may dispose of his properties in a last will and testament, he must, however,
reserve some for certain persons who are called by law as? - ANSWER Compulsory or Forced Heirs
5.Is that part of the whole estate which the testator could dispose of freely through written will
irrespective of his relationship to the recipient. - ANSWER Free portion
6.Is the portion of the testator's property which could not be disposed of freely because the law has
reserved it for the compulsory heirs. - ANSWER Legitime
7.Is a person appointed by the court, in accordance with the governing statute, to administer and settle
intestate estate and such testate estate as no competent executor was designated by the testator. -
ANSWER Administrator
8.Consists of all properties and interests in properties of the decedent at the time of his death as well as
properties transferred during lifetime (only in form), but in substance was only transferred at the time
death. - ANSWER Gross Estate
9.Components of the Gross Estate - ANSWER -Properties existing at the time of death
-Transfer intervivos euivalent to testamentary disposition.
, -Proceeds from life insurance.
10.Properties existing at the time of death; includes - ANSWER -Real Properties
-Tangible personal properties
-Intangible personal properties
11.Transfer intervivos euivalent to testamentary disposition; includes - ANSWER -Transfer in
contemplation of death.
-Transfer with retention or reservation of certain rights.
-Revocable transfer.
-Property passing under general power of appointment.
-Transfer for insufficient consideration.
12.Proceeds from life insurance; includes - ANSWER a. Whether REVOCABLE or IRREVOCABLE, when the
beneficiary is the :
i. Estate of the deceased
ii. His executor; or
iii. Administrator
b. When the beneficiary is a third person, only if REVOCABLE
13.Estate tax accrues from: - ANSWER The moment of death of the decedent
14.The taxpayer in estate tax is: - ANSWER The estate as a juridical entity
15.Who has the personal liability to pay estate tax - ANSWER The administrator or executor
16.An executor or administrator, after paying the estate tax, and to escape a future liability for a
deficiency estate tax, must secure a written discharge from personal liability from: - ANSWER The
Commissioner of Internal Revenue.
