Joseph, Venise Moises C.

Readings in the Philippines History

BSIT201A February 25, 2021
Title of the Taxation
Topic:
Definition • Taxation is the imposition of compulsory levies on individuals or
of entities by governments. Taxes are levied in almost every country
Topic/Introducti of the world, primarily to raise revenue for government
on: expenditures, although they serve other purposes as well.
(Abhinav, et al., 2020)

• Taxation is the process by which the sovereign, through its law-

making body, races revenues use to defray expenses of
government; It is used to increase the government’s revenue by
the authority of the law, it is purposely used to promote welfare and
protection of its citizenry; it is the collection of the share of individual
and organizational income by a government, and it is also under
the authority of the law. (Demafiles, 2014)

• Taxation is a term for when a taxing authority, usually a

government, levies or imposes a financial obligation on its citizens
or residents. Paying taxes to governments or officials has been a
mainstay of civilization since ancient times. The term "taxation"
applies to all types of involuntary levies, from income to capital
gains to estate taxes. Though taxation can be a noun or verb, it is
usually referred to as an act; the resulting revenue is usually called
"taxes." (Kagan, 2020)
Context: The taxation in the Philippines started from the ancient Filipinos. Filipinos
pay their tax to their Datu or the Chiefs, it serves as a payment for the
protection that they receive from them. The first term for tax is “buwis”. All
Filipinos are required to pay their taxes, except for the Datu/Chieftain’s
Joseph, Venise Moises C. Readings in the Philippines History
BSIT201A February 25, 2021
household. Moreover, a punishment will be given to those who will not
pay their taxes. In here, this is where the presentation and the evolution
for the term of Tax in the Philippines.

Tributo (1521 – 1898) – In the year 1521, it is when the Spaniards arrives in
the Philippines, and the Spaniards gave a modern concept of a taxation.
Moreover, in this era, the age of 16 – 60 years old are forced to pay
tributes or what do we called as “tributo”. The King of Spain receives the
Filipino’s tribute through the Colonial Government, and it worth of 8 reales
or 1 peso per year. In addition, there are also other forms of payments,
and those are gold, chickens, textile, rice and forced labor or Polo Y
Servicio.

Cedula (1884) – The term tribute or “tribute” has been changed to

cedula, in tagalog, “sedula”. It is a certificate identification that the
Filipino taxpayer should be carried all the time. It certifies that the Filipino
is a real taxpayer. In addition, failure to present their cedula to a guardia
civil will be imprisoned for being “Indocumentado”, and it simply means
that they lack valid document or legal identification which is necessary
to bring everywhere you go.

1987 Philippine Constitution – From the sedula, it is followed by the 1987

Philippine Constitution. It is stated that the sets of limitations on the
exercise of the power to tax. The rule of taxation shall be uniform and
equitable. The congress shall evolve a progressive system of taxation”.
The statement says that the Philippines are covering both national and
local. The National Taxes simply means to national internal revenue taxes.
The National Government are the one who imposed and collect the
 Joseph, Venise Moises C. Readings in the Philippines History
BSIT201A February 25, 2021
taxes through the BIR or Bureau of Internal Revenue. For the Local taxes,
it is collected and imposed by the local government.
TRAIN LAW (2018) – Lately, the TRAIN Law or the Tax Reform for
Acceleration and Inclusion has been implemented by the current
President of the Philippines, President Rodrigo Duterte. It is signed last
January 01, 2018. This law will seek to correct several deficiencies in the
tax systems, which will make it simpler, fairer, and more efficient. In
addition, by this law, the rich will have a bigger contribution and the poor
will have a benefit from the government’s program and services.
Conclusion: Therefore, the taxation in the Philippines already existed, and it is
managed by the ancient Philippine ancestors such as the Datus or the
Chiefs, and the tax before is called “Buwis”. Also, the above-mentioned
timeline and information about the Taxation in the Philippines has a great
contribution to the country, it determines the terms that has been used
for taxation such as the “Tributo”, where it originated from the Spaniards,
and the “Sedula”. Furthermore, the indicated constitution, which is the
1987 Philippine Constitution makes the tax contribution uniform and
equitable for the Filipino.

In addition, the implemented TRAIN Law has a great contribution towards

the taxation system in the Philippines. It makes the poor people to have
more benefits, and a minimum amount of tax that they will pay. For the
rich people, they will have a bigger contribution, which has its purpose,
and that purpose will be given to the poor people.
Reflection: My reflection for this topic is that I have learned about the definition of
the Tax, and the timeline of its concept in the Philippines. Moreover, it
helps me, as a student, to know the implemented law and constitution
 Joseph, Venise Moises C. Readings in the Philippines History
BSIT201A February 25, 2021
that makes the Taxation system in the Philippines fairer, simpler, and more
efficient to its countrymen.

Furthermore, for my reflection, this type of research activity enlightens me

on where the Tax comes from in the Philippines, and it helps me to identify
where does the first taxation system started. This topic is a great topic
especially for the enthusiasts that who likes to read about the history of
Taxation system in the Philippines.
List of
References:
Abhinav, V., Augustyn, A., Nolen, J. L., Lotha, G., Mahajan, D.,
Rodriguez, E., . . . Tikkanen, A. (2020, November 10). Taxation.
Retrieved from Encyclopedia Britannica:
https://www.britannica.com/topic/taxation

Demafiles, C. (2014, February 4). Taxation in the Philippines. Retrieved

from SlideShare:
https://www.slideshare.net/cheryldemafiles2731/my-presentation-
taxation

Kagan, J. (2020, January 29). Taxation. Retrieved from Investopedia:

https://www.investopedia.com/terms/t/taxation.asp

whatistrainlaw. (2018, March 11). History of Taxation in the Philippines.

Retrieved from what is train law:
https://whatistrainlaw.wordpress.com/2018/03/11/history-of-
taxation-in-the-
philippines/#:~:text=The%20arrival%20or%20invasion%20of,also%20
other%20forms%20of%20payment
Joseph, Venise Moises C. Readings in the Philippines History
BSIT201A February 25, 2021