Professional Documents
Culture Documents
Land and Agrarian Reform in The Philippines
Land and Agrarian Reform in The Philippines
Land Reform
Agrarian Reform
Taxation:
The beginning of the idea of taxation cannot be dated in the continuum of our history.
It came as a matter of survival for the government. The development of tax law as a
comprehensive and general system is a recent phenomenon resulting from the
evolution of taxes and increasing state-economy
relationship.
A tax law is a body of rules passed by the legislature by virtue of which the
government acquires a claim or property as a matter of legal duty or obligation by
operation of law.Taxation may be defined then, as the power of the sovereign to
impose burden or charges upon persons, property or property rights for the use
and support of government in order to enable it to discharge its function.Nature
of Taxation Power The power of taxation is both inherent and legislative in character
because it has been reserved by the State for it to exercise. It is an essential
and inherent attribute of sovereignty, belonging as a matter if right to every
independent government. The government possesses it without being conferred by
the people. The power is inherent because the sustenance of government requires
contribution from them.The power of taxation is legislative in character because only
the legislature can make tax laws. It is an exercise of the high act of the
sovereignty to be performed only by the legislature upon consideration of the
policy, necessity and public welfare. Having the power to tax, it must also possess
the sole power to prescribe the means by which the tax shall be collected,and
designate the officers through whom it shall be enforced.
Purpose of Taxation - The primary purpose of taxation is to raise revenues for public
needs so that the people may be enabled to live in a civilized society. It also serves
a variety of purpose.It may be increased in order to stabilize prices and stimulate
greater production; taxes on imports may be increased to favor domestic production;
or decrease to encourage foreign trade; it can also mobilize capital to be poured into
capital deficient fields of business.Thus, taxation is an instrument of fiscal policy,
and fiscal policy influences the direction and structure of money supply, prices
and of the national economy.
Basis of Taxation - The power of taxation originated from the theory that the
existence of a government is a necessity. No government, whether democratic
or despotic, can exist without resources to finance its operations. A true tax is an
exaction for revenue that is for he support of the government.Inherent
Limitations of the Power of Taxation -
1. Limitation of public purpose–A tax is for public purpose where it is for the
support of government, or any of the recognized object of the government, or
where it will directly promote the welfare of the community in equal measure.
2. Limitation of territorial jurisdiction –The general rule is that sovereignty of a state
extends only as far as its territorial jurisdiction. It follows that its taxing power
does not extend beyond its territorial limits, but within its limit, it may tax
persons, property, income or business.
3. Limitation of double taxation –Double taxation may be understood as direct
duplicate taxation which means taxing twice by the same public authority for
the same purpose during the taxing period some of the property in the
territory in which the tax is paid without taking all of them a second time.
4. Limitation of non-delegation of taxing power –The constitution provides that
sovereignty resides in the people and all government authority emanates
from them. Under a republican form of government, the people created a
legislative department for the exercise of their legislative power manner in which
those rules shall be given effect. The power cannot be delegated to the
President and to local government. However, it may be delegated to the
municipal corporations which are the instrumentalities of the state for the better
administration of the government in matters of local concerns.
5. Limitation of exemption of government agency or instrumentality –The general
rule is that agencies and instrumentalities of the government is exempted from
taxation. So, properties owned by the Philippine government, any province, city,
municipality, or municipal districts are exempted from taxation. However,
government entities performing profit-making activities are not exempted from
taxation.
Basic Principles of Taxation
1. Fiscal adequacy –emphasizes the source of revenue as a whole must be
sufficient to meet the expanding governmental expenses regardless of business
conditions, export taxes, trade balances, and problems of economic adjustments.
2. Equality or theoretical justice –refers to the use of revenues which must be
believed based on the taxpayer’s ability to pay.
3. Administrative feasibility –means that the tax system must be clear to the
taxpayers, can be enforced and is convenient and not burdensome or discouraging
to a business activity.
Inherent Powers of the Government
1. Police Power –authority of the government to regulate the activities of an
individual even in the absence of law for the benefit and protection of public welfare.
2. Taxation –authority of the government to improve taxes, charges and fees
from its taxpayers under its sovereignty and/or territorial jurisdiction, to support
its necessary expenses.
3. Eminent Domain –authority of the government to expropriate private property
for public use upon payment of a just compensation. A tax may be defined then,
as a forced and involuntary burden assessed in accordance with some
reasonable rule of appointment by the authority of a sovereign government upon the
persons or properties within its jurisdiction, to provide public revenues for the
support of the government.It proceeds upon the theory that the existence of the
government is a necessity, that it cannot continue to operate without the means to
pay for its expenses, and for those means has the right to compel all citizens
and properties within its limit to contribute.
Essential Characteristics of Taxes
1. It is an enforced contribution
2. It is exacted pursuant to legislative authority
3. It is contribution in money
4. It is levied upon person, property and property rights
5. It is for the purpose of raising revenue
6. It must be for public purpose
7. It must be proportionate in character
Classification of Taxes
1.According to Purpose - a.Fiscal Taxes –designed to raise revenues for
governmental needs.Ex. Percentage tax on locally manufactured commodities
b.Regulatory Taxes –designed to achieve some social and economic goals
irrespective of whether revenue is actually raised or not.Ex. protective tariff or
custom duties
2.According to Object - a.Personal, Captivation or Poll Tax –imposed on individuals
within the jurisdiction of the taxing power, without regard to the amount of their
property or occupation in which they are engaged.Ex. residence tax b.Property
Taxes –computed upon the valuation of property and assessed at the owner’s
domicile, although privileges may be included in the valuations Ex. real state tax
c.Excise Tax –imposed directly by the legislature and the sum is measured by the
amount of business done or the extent to which the privilege has been enjoyed or
exercised.
3.According to Subject - a.Direct Tax –when the person on whom the tax is
imposed absorbs the tax or bears it.Ex. income tax b .Indirect Tax –charge paid by a
person other than the one on whom it is legally imposed.Ex. value-added tax
4.According to determination of amount - a.Specific Tax –of fixed amount by the
hear or member, or by some standards of weight and measurement, and requires
no assessment other than a listing or classification of the subjects to be taxed Ex.
excise taxes on wines and liquors b.Ad Valorem Tax –of fixed proportion, of the
value of the property with respect to which the taxes are assessed, and require the
intervention of assessors to appraise the value of such property before the amount
due from each taxpayer can be determined.Ex. real state tax, excise tax on cigars
and cigarettes
5.According to authority imposing the tax - a.National Taxes –levied and collected by
the national government Ex. income tax b.Municipal Tax –levied and collected by
the municipal government Ex. real state tax
6.According to rate - a.Proportional Tax –based on a fixed percentage
regardless of the amount of income, property or other bases to be taxed, a single
rate being applied to different objects with different values. b.Progressive Tax –the
tax rate increases as the tax base increases.Ex. income tax c. Regressive Tax –the
effective rate decreases as the base increases.Ex. value-added tax
Forms of Escape from Taxation
1. Shifting–transfer of the burden of a tax by the original payer on the one on whom
the tax was assesses or imposed to another or someone else.
2. Capitalization –special form of backward shifting. It occurs when the good is
durable good, the whole series of future taxes is to be shifted backward at the time
of purchase, and the future taxes must be capitalized and deducted in a lump sum
from the price offered.
3. Transformation –this is effected through the process of production. When
the producer pays the taxes himself and recovers the additional expenses by
improving his production thereby turning out units of his production at lower cost.
4. Evasion –illegal effort to avoid payment of tax
5. Avoidance –use of legally permissible means to reduce tax liability
6. Exemption –grant of immunity to a particular person or corporation from a
tax upon properties or exercise which they are obligated to pay.
7. Local Taxation
Since the power of taxation is an incidence of sovereignty that is absolutely
necessary to maintain government and therefore inherent in the state, local
government units (LGUs) such as provinces, municipalities, cities and
barangays can exercise the power not only if conferred on them. The
constitutional provisions as to taxation of LGUs are ordinarily not self-
executing because they require conferring the power to tax. The local power
of taxation is subject to such conditions and restrictions as may be prescribed,
and only such purposes as may be expressed.Local tax may be valid only for
the public purpose and yet invalid for private purposes. Except when allowed
by law, local funds shall be devoted exclusively to local purposes.
The policy of taxation in the Philippines is provided primarily by of the Philippines
and three Republic Acts. Constitution:Article VI, Section 28 of the Constitution
states that "the rule of taxation shall be uniform and equitable" and that
"Congress shall evolve a progressive system of taxation." National laws: National
Internal Revenue Code—enacted as Republic Act No. 8424 or the Tax Reform
Act of 1997,and subsequently amended by Republic Act No. 10963 or the Tax
Reform for Acceleration and Inclusion Act of 2017;[3]and, Local laws—major sources
of revenue for the local government units (LGUs) are the taxes collected by virtue of
Republic Act No. 7160 or the Local Government Code of 1991,[4]and those sourced
from the proceeds collected by virtue of a local ordinance.Taxes imposed at the
national level are collected by the Bureau of Internal Revenue(BIR), while those
imposed at the local government level,which are the provincial,city,municipal and
barangay, are collected by the local treasurer's office.
The following are some of the Salient Features of RA 10963 otherwise known
as the TAX REFORM ACCELERATION AND INCLUSION (TRAIN) Law. Example
given here is the income tax.Back ground On December 19, 2017, the
President signed in to l aw Package I of the Tax Reform f or Acceleration
and Inclusion (“TRAIN”) bill otherwise known as Republic Act No. 10963.The law
contains amendments to several provision s of the National Internal
Revenue Code of 1997.I t sh all take effect on January 1, 2018, following its
complete publication in the Official Gazette o r in at least one newspaper of
general circulation.The l aw was published in the Official Gazette o n December
27, 2017.
.Unit 5: EVALUATION AND PROMOTION OF
LOCAL AND ORAL HISTORY, MUSEUMS,
HISTORICAL SHRINES AND CULTURAL
PRESENTATIONSV.
Critical evaluation and promotion of local and oral history, museums, historical
shrines, cultural performances, indigenous practices, religious rites and rituals
Learning Outcome: Manifest interest in local history and show concern in promoting
and preserving the country’s historical and cultural heritage.
There are numerous museums, historical sites, art galleries, archeological sites and
other places where one could find history and cultural heritage which are
recognized by the National Historical Commission of the Philippines (NHCP). It is
most convenient if, as part of the activities of this course,that the tour or visit to a
museum, site or gallery be conduction in areas that are near the
school.Considering the proximity is a pragmatic approach to the activity since it
will not require to much expenses and will minimize the difficulty in reaching the
location on the part of the students. It is also a way in maximizing the student’s
ability to appreciate more the site and tour it for a longer period of time, and with
ease. However, it also must be of another consideration if the chosen place
would be significantly historical and cultural so as to create a greater benefit on the
education of the students.The value of the site is unbargainable. While proximity
may offer ease and time, the richness of a chosen site creates the meaningful
experience on the part of the student.Another matter to be taken into
consideration is that the choices of the sites should offer various areas of
learning for the student. In an educational tour, a student must be exposed to
a variety of interests as an appeal towards a greater appreciation of history and
culture. It is therefore most beneficial if a historical site will also be combined with an
art gallery, a museum, a park or an archeological site.Lastly, it would more
educational, comprehensive, and encompassing if the sites selected would
represent different time periods. Doing this would impose a continued curiosity
on the part of the historical tourist since different time periods offer changes
in historical events and an evolution to culture. Human development is greatly
appreciated in presentation that considers the aspect of chronology.