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Source: UST Golden Notes on Taxation Law 2017

401001 - IS THE POWER BY WHICH THE SOVEREIGN, TAXATION

THROUGH ITS LAW-MAKING BODY, RAISES REVENUE TO
DEFRAY THE NECESSARY EXPENSES OF GOVERNMENT.
401002 - IS THE PRIMARY PURPOSE OF TAXATION WHICH REVENUE PURPOSE
ASSERTS THAT THE PURPOSE OF TAXATION IS TO RAISE
FUNDS OR PROPERTY TO ENABLE THE STATE TO
PROMOTE THE GENERAL WELFARE AND PROTECTION OF
THE PEOPLE.
401003 - SECONDARY OR NON-REVENUE PURPOSES OF 1. PROMOTION OF GENERAL WELFARE
TAXATION (5 ITEMS) 2. REGULATION OF ACTIVITIES/INDUSTRIES
3. REDUCTION OF SOCIAL INEQUALITY
4. ENCOURAGE ECONOMIC GROWTH
5. PROTECTIONISM
401004 - IS A PURPOSE OF TAXATION THAT ASSERTS PROMOTION OF GENERAL WELFARE
THAT TAXATION MAY BE USED AS AN IMPLEMENT OF
POLICE POWER TO PROMOTE GENERAL WELFARE OF THE
PEOPLE.
401005 - IS A PURPOSE OF TAXATION THAT ASSERTS REGULATION OF ACTIVITIES/INDUSTRIES
THAT TAXES MAY BE IMPOSED FOR A REGULATORY
PURPOSE AS, FOR INSTANCE, IN THE REHABILITATION
AND STABILIZATION OF A THREATHENED INDUSTRY
WHICH IS AFFECTED WITH PUBLIC INTEREST.
401006 - IS A PURPOSE OF TAXATION WHICH ASSERTS REDUCTION OF SOCIAL INEQUALITY
THAT A PROGRESSIVE SYSTEM OF TAXATION PREVENTS
THE UNDUE CONCENTRATION OF WHEALTH IN THE
HANDS OF FEW INDIVIDUALS.
401007 - IS A PURPOSE OF TAXATION WHICH ASSERTS ENCOURAGE ECONOMIC GROWTH
THAT THE GRANT OF INCENTIVES OR EXEMPTIONS
ENCOURAGE INVESTMENT THEREBY STIMULATING
ECONOMIC ACTIVITY.
401008 - IS A PURPOSE OF TAXATION WHICH ASSERTS PROTECTIONISM
THAT PROTECTIVE TARIFFS AND CUSTOMS DUTIES ARE
IMPOSED AS TAXES IN ORDER TO PROTECT IMPORTANT
SECTORS OF THE ECONOMY OR LOCAL INDUSTRIES, AS IN
THE CASE OF FOREIGN IMPORTATIONS.
401009 - TWO-FOLD NATURE OF THE STATE'S POWER TO 1. INHERENT ATTRIBUTE OF SEVEREIGNTY
TAX 2. LEGISLATIVE IN CHARACTER
401010 - __________ DO NOT GIVE RISE TO THE POWER CONSTITUTIONAL PROVISIONS
TO TAX BUT MERELY IMPOSE LIMITATIONS ON WHAT
WOULD OTHERWISE BE AN INVINCIBLE POWER.
401011 - A NATURE OF TAXATION WHICH ASSERTS THAT LEGISLATIVE IN CHARACTER
THE POWER OF TAXATION CAN ONLY BE EXERCISED
THROUGH THE ENACTMENT OF LAW.

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401012 - ELEMENTS TO BE DETERMINED IN THE EXERCISE 1. AMOUNT OR RATE OF TAX

OF THE LEGISLATIVE POWER IN TAXATION (7 ITEMS) 2. SUBJECTS OF TAXATION
3. KIND OF TAX TO BE COLLECTED
4. METHOD OF COLLECTION
5. APPORTIONMENT OF THE TAX
6. PURPOSES FOR WHICH THE TAXES SHALL BE LEVIED
(MUST BE FOR PUBLIC PURPOSE)
7. SITUS OF TAXATION
401013 - CHARACTERISTICS OF TAXATION (4 ITEMS) 1. COMPREHENSIVE
2. UNLIMITED
3. PLENARY
4. SUPREME
401014 - IS THE INHERENT RIGHT OF THE STATE TO POWER OF EMINENT DOMAIN
CONDEMN OR TO TAKE PRIVATE PROPERTY FOR PUBLIC
USE UPON PAYMENT OF JUST COMPENSATION.
401015 - IS THE POWER OF THE STATE TO PROMOTE POLICE POWER
PUBLIC WELFARE BY RESTRAINING AND REGULATING THE
USE OF LIBERTY AND PROPERTY WITHOUT
COMPENSATION.
401016 - INHERENT POWERS: EXERCISED BY THE TAXATION AND POLICE POWER
GOVERNMENT OR ITS POLITICAL SUBDIVISION
401017 - INHERENT POWERS: EXERCISED BY EMINENT DOMAIN
GOVERNMENT OR PUBLIC SERVICE COMPANIES AND
PUBLIC UTILITIES
401018 - INHERENT POWERS: THE PURPOSE IS TO RAISE TAXATION
REVENUE IN SUPPORT OF THE GOVERNMENT.
REGULATION IS MERELY INCIDENTAL
401019 - INHERENT POWERS: THE PURPOSE IS POLICE POWER
PROMOTION OF GENERAL WELFARE THROUGH
REGULATIONS
401020 - INHERENT POWERS: THE PURPOSE IS TO EMINENT DOMAIN
FACILITATE THE TAKING OF PRIVATE PROPERTY FOR
PUBLIC PURPOSE
401021 - INHERENT POWERS: PRODUCES EFFECTS UPON TAXATION AND POLICE POWER
THE COMMUNITY OR CLASS OF INDIVIDUALS
401022 - INHERENT POWERS: PRODUCES EFFECTS ON AN EMINENT DOMAIN
INDIVIDUAL AS THE OWNER OF A PARTICULAR PROPERTY
401023 - INHERENT POWERS: THE AMOUNT OF TAXATION
MONETARY IMPOSITION HAS NO CEILING EXCEPT
INHERENT LIMITATIONS
401024 - INHERENT POWERS: THE AMOUNT OF POLICE POWER
MONETARY IMPOSITION IS LIMITED TO THE COST OF
REGULATION, ISSUANCE OF LICENSE OR SURVEILLANCE
401025 - INHERENT POWERS: NO MONETARY EMINENT DOMAIN
IMPOSITION, THE OWNER IS PAID THE FAIR MARKET
VALUE OF HIS PROPERTY

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401026 - INHERENT POWERS: THE BENEFIT RECEIVED IS TAXATION AND POLICE POWER
THE PROTECTION OF A SECURED AND ORGANIZED
SOCIETY (NO DIRECT BENEFIT)
401027 - INHERENT POWERS: THE PERSON RECEIVES THE EMINENT DOMAIN
FAIR MARKET VALUE OF THE TAKEN FROM HIM (DIRECT
BENEFIT).
401028 - INHERENT POWERS: THE PERSON RECEIVES THE TAXATION
FAIR MARKET VALUE OF THE TAKEN FROM HIM (DIRECT
BENEFIT).
401029 - INHERENT POWERS: CONTRACTS MAY BE POLICE POWER AND EMINENT DOMAIN
IMPAIRED
401030 - INHERENT POWERS: TO BE VALID, THE EXERCISE TAXATION
MUST NOT BE CONTRARY TO INHERENT AND
CONSTITUTIONAL LIMITATIONS
401031 - INHERENT POWERS: TO BE VALID, THE EXERCISE POLICE POWER
MUST COMPLY WITH THE TESTS ON "LAWFUL SUBJECTS"
AND "LAWFUL MEANS"
401032 - INHERENT POWERS: TO BE VALID, THE EXERCISE EMINENT DOMAIN
MUST BE FOR PUBLIC PURPOSE AND WITH PAYMENT OF
JUST COMPENSATION
401033 - THEORIES UNDERLYING THE POWER OF 1. LIFEBLOOD THEORY
TAXATION (4 ITEMS) 2. NECESSITY THEORY
3. BENEFITS PROTECTION THEORY
4. JURISDICTION OVER SUBJECTS AND OBJECTS
401034 - IS A THEORY WHICH ASSERTS THAT TAXATION IS LIFEBLOOD THEORY
A GOVERNMENTAL NECESSITY, FOR INDEED, WITHOUT
TAXATION, A GOVERNMENT CAN NEITHER EXIST NOR
ENDURE.
401035 - IS A THEORY WHICH ASSERTS THAT WITHOUT NECESSITY THEORY
TAXES, THE GOVERNMENT CANNOT FULFILL ITS
MANDATE OF PROMOTING THE GENERAL WELFARE AND
WELL-BEING OF THE PEOPLE.
401036 - IS A THEORY WHICH ASSERTS THAT TAXATION BENEFITS-PROTECTION THEORY
INVOLVES THE POWER OF THE STATE TO DEMAND AND
RECEIVE TAXES BASED ON THE RECIPROCAL DUTIES OF
SUPPORT AND PROTECTION BETWEEN THE STATE AND
ITS CITIZEN.
401037 - IS A THEORY WHICH ASSERTS THAT IT IS THE JURISDICTION OVER SUBJECTS AND OBJECTS
COUNTRY, STATE OR SOVEREIGN THAT GIVES
PROTECTION (OVER ITS TERRITORY) AND HAS THE RIGHT
TO DEMAND PAYMENT OF TAXES (WITHIN ITS
TERRITORY) WITH WHICH TO FINANCE ACTIVITIES SO IT
COULD CONTINUE TO GIVE PROTECTION.
401038 - BASIC PRINCIPLES OF A SOUND TAX SYSTEM OR 1. FISCAL ADEQUACY
CANONS OF SOUND TAXATION (3 ITEMS) 2. ADMINISTRATIVE FEASIBILITY
3. THEORETICAL JUSTICE

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401039 - IS A PRINCIPLE OF A SOUND TAX SYSTEM FISCAL ADEQUACY

WHICH ASSERTS THAT REVENUE RAISED MUST BE
SUFFICIENT TO MEET GOVERNMENT/PUBLIC
EXPENDITURES.
401040 - IS A PRINCIPLE OF A SOUND TAX SYSTEM ADMINISTRATIVE FEASIBILITY
WHICH ASSERTS THAT THE TAX SYSTEM SHOULD BE
CAPABLE OF BEING EFFECTIVELY ADMINISTERED AND
ENFORCED WITH THE LEAST INCONVENIENCE TO THE
TAXPAYER.
401041 - IS A PRINCIPLE OF A SOUND TAX SYSTEM THEORETICAL JUSTICE
WHICH ASSERTS THAT, IN THE EXERCISE OF THE POWER
OF TAXATION, ONE MUST TAKE INTO CONSIDERATION
THE TAXPAYER'S ABILITY TO PAY.
401042 - A TAX LAW WILL RETAIN ITS VALIDITY EVEN IF IT FISCAL ADEQUACY AND ADMINISTRATIVE FEASIBILITY
IS NOT IN CONSONANCE WITH THE PRINCIPLES OF
__________ AND __________ BECAUSE THE
CONSTITUTION DOES NOT EXPRESSLY REQUIRE SO.
401043 - INHERENT LIMITATIONS ON THE EXERCISE OF 1. PUBLIC PURPOSE
THE POWER OF TAXATION (5 ITEMS) 2. INHERENTLY LEGISLATIVE
3. TERRITORIAL
4. INTERNATIONAL COMITY
5. EXEMPTION OF GOVERNMENT ENTITIES, AGENCIES
AND INSTRUMENTALITIES
401044 - A TAX LAW IS CONSIDERED __________ IF IT IS FOR PUBLIC PURPOSE
FOR THE WELFARE OF THE NATION AND/OR FOR THE
GREATER PORTION OF THE POPULATION AND IT AFFECTS
THE AREA AS A COMMUNITY RATHER THAN AS
INDIVIDUALS.
401045 - TESTS IN DETERMINING IF A TAX LAW IS FOR 1. DUTY TEST
PUBLIC PURPOSE (2 ITEMS) 2. PROMOTION OF GENERAL WELFARE TEST
401046 - IS A TEST WHICH ASSERTS THAT A TAX LAW IS DUTY TEST
FOR PUBLIC PURPOSE IF THE THING TO BE FURTHERED BY
THE APPROPRIATION OF PUBLIC REVENUE IS SOMETHING
WHICH IS THE DUTY OF THE STATE AS A GOVERNMENT
TO PROVIDE.
401047 - IS A TEST WHICH ASSERTS THAT A TAX LAW IS PROMOTION OF GENERAL WELFARE TEST
FOR PUBLIC PURPOSE IF THE PROCEEDS OF THE TAX WILL
DIRECTLY PROMOTE THE WELFARE OF THE COMMUNITY
IN EQUAL MEASURE.
401048 - IS AN INHERENT LIMITATION ON THE EXERCISE INHERENTLY LEGISLATIVE
OF THE POWER OF TAXATION WHICH ASSERTS THAT THE
POWER TO TAX IS EXCLUSIVELY VESTED IN THE
LEGISLATIVE BODY AND MAY NOT BE DELEGATED.
401049 - ASPECTS OF THE POWER TO TAX THAT ARE 1. SELECTION OF THE SUBJECT TO BE TAXED
NON-DELEGABLE (5 ITEMS) 2. DETERMINATION OF THE PURPOSES OF TAX
3. FIXING OF THE RATE/AMOUNT OF TAX
4. SITUS OF TAX
5. KIND OF TAX

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401050 - ASPECTS OF THE POWER TO TAX THAT MAY BE
DELEGATED (3 ITEMS)
1. THOSE DELEGATED TO LOCAL GOVERNEMENT
(CERTAIN TAXES, FEES AND CHARGES)
2. THOSE DELEGATED TO THE PRESIDENT (FIXING OF
TARIFF RATES, TONNAGE AND WHARFAGE DUES, AND
OTHER DUTIES)
3. ADMINISTRATIVE IMPLEMENTATION (BIR)

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