Deductions

DEDUCTIONS
Classifications

1. Ordinary Deductions- they consist of expenses, losses, indebtedness, and taxes or more specifically such amounts for:
a. Funeral expenses
b. Judicial expenses of proceedings
c. Claims against the estate
d. Claims against insolvent persons
e. Unpaid mortgages
f. Unpaid taxes
g. Casualty losses

2. Vanishing Deductions (property previously taxed)

3. Transfers for public use

4. Family home

5. Standard deduction equivalent to 1 million

6. Medical expenses

7. Retirement benefits under RA 4917

8. Share of surviving spouse in the conjugal or community property