Case Title: City of Baguio v.

De Leon 25 SCRA 938

Case Synopsis: The case is to uphold the validity of an ordinance of the City of Baguio
imposing license fee on any person, firm, entity or corporation doing business in the city.
Facts:
An ordinance was declared in the city of Baguio imposing license fee on any person,
firm, entity or corporation doing business in the city, supplied by RA329 which amended the
City Charter of Baguio, empowering it to fix the license fee and to regulate businesses , trades
and corporations as may be established or practiced in the city.
It was further declared that the said amendment added to Baguios power to license, the
power to tax and the power to regulate.
As an exercise of such powers, Baguio City held De Leon, a real estate dealer, liable
under the ordinance for he was engaged in rental of his property and deriving income therefrom.
Now, De Leon assails the constitutionality of the ordinance contending that it is ultra vires and in
violation of the principle of uniformity and of his constitutional right, contending further that the
implementation of the ordinance would result to double taxation, thus, depriving him of his
properties without due process of law.

Issue:
Whether or not the ordinance imposing license fee is in violation of due process.

Held:
The Lower Court up to the Supreme Court ruled in the negative stating that RA 329 was
enacted to empower the city council not only to impose license fee but also to levy a tax for the
purpose of revenue, thus, the ordinance cannot be held ultra vires for there is more than an ample
statutory authority for its enactment.
And an argument against double taxation may not be invoked if one tax is imposed by the
state and the other is imposed by the city for the congress has already expressed its intention and
the statute must be sustained even if it results to double taxation, therefore, no constitutional
rights are violated.