Practice question
Two licensed architects form a partnership solely to exercise their common profession. No part of its income comes from engaging in any trade or business. Which classification fits Section 22(B)?
- A general professional partnership
- An insurance corporation
- A foreign corporation merely because one client is overseas
- An ordinary trading partnership because all partnerships are identical for income tax
- A government instrumentality
Legal references
- NIRC Sections 4,22,23 and244: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/3896
- RA11976, Ease of Paying Taxes Act: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/96948
- RA12066, CREATE MORE Act: https://lawphil.net/statutes/repacts/ra2024/ra_12066_2024.html
- RA12214, Capital Markets Efficiency Promotion Act: https://lawphil.net/statutes/repacts/ra2025/ra_12214_2025.html
Answer this question in flashcards to review your response and continue practicing.