08/19/2020

ASSIGNMENT NO. 1
I need your comments on the following situations.
1. The City Mayor of Manila imposes a tax on all its citizens on the use of all the elevators inside
the premises of Manila City Hall. But Citizens who are living outside Manila and who used the
elevators are exempt from the imposition of the tax.
2. Pablo, a resident citizen of the Philippines owns a residential house and lot in the US and
leased it to an American for P100K a month for a period of 5 years. Pablo is assessed of tax
liability in the Philippines.
3. In order to discourage "tambay" - a person who has no means of income, the Senate passed
a law taxing all "tambay".
4. Jose, a multi-million businessman, complained with his fellow multi-billion business partner
that he paid millions of taxes to the government but did not receive direct benefit/s from it.

08/19/2020
ASSIGNMENT NO. 2
Jose Vitug was appointed RTC Judge of Bulacan in March 1,1977, during the period of Martial
Law. He will be receiving a monthly salary of 200K, including allowances. When he received his
monthly salary, Judge Jose was disappointed because taxes were deducted from his salary
amounting to P50K. Knowledgeable in tax law, he filed a case in court declaring the deductions
as unconstitutional because of the 1935 Constitution which provides, "members of the judiciary
shal receive such compensation as may be fixed by law, which shall not be diminished during
their continuance in office." The case eventually reached the Supreme Court which ruled in
favor of Judge Jose. Jealous of the decision of the court, the House of Representatives passed a
law declaring that tax deductions shall not be considered as diminution of salary. COMMENT.

08/19/2020
ASSIGNMENT NO. 3:
Taxation is legislative in nature and taking into consideration the principle of separation of
powers, may the legislature delegate the collection of taxes to the executive branch of the
government?
08/25/2020
ASSIGNMENT NO. 4
1. Distinguish police power and taxation as to purpose and amount.
2. In order to solve the traffic problem, the city of Dumaguete imposed tax on all private car
drivers using the streets of dumaguete from 7am-10pm, but exempts drivers caryying more
than 2 passengers, exept the driver. COMMENT 
3. In the exercise of police power as incidental to the exercise of taxation, may the license fee
collected exceed in the regulation and inspection of the business?
4. Congress pass a law allowing 20% discount to senior citezens from recreational centers to be
treated as tax credit. Congress enacted RA 1020 amended the tax treatment of the 20%
discount as tax deduction. ABC cinema questions the constitutionality of the law claiming that
they are deprived a price without payment of just compensation. COMMENT.
5. Reconcile. The power to tax involves the power to destroy. On the other hand, the power to
tax is not the power to destroy while the court sits. 6. Briefly explain the theories of taxation.

08/31/2020
ASSIGNMENT NO. 5
1. Taxes are, generally, not subject to set-off as the government and taxpayer are not debtors
and creditors of each other. As an exception, however, under what circumstance may a
taxpayer apply set-off. When a taxpayer over pay his tax liability, may he still recover the
excess?
2. In the 1990s, the whole of Asia experienced economic recession, including the Philippines. In
order to revive the economy, the government invited foreign investors. In exchange,  foreign
investors were given tax holidays. ABC Corporation invested 1B and was granted tax exemption
for a period of 5 years from actual operation, in 1995. However, in 1998, the Philippines fully
recovered from the economic recession and take back all the exemptions granted to the
investors, including ABC Corporation. COMMENT.