POSITION PAPER

THE FACTS AND THE CASE

The facts given in the hypothetical case are as follows;(1) The

legislature enacted Republic Act 20202, (2) The law increases the VAT rate
from 12% to 15% in 2023, and that (3) The law empowers the President to
increase the VAT rate to 15% if any of the following conditions are met: a.)
VAT collection over GDP in 2022 exceeds 3%; or b.) National government
deficit over GDP in 2022 exceeds 2%.

ISSUE
THE ISSUE TO RESOLVE HERE IS WHETHER THE DELEGATION
BY THE LEGISLATURE TO THE PRESIDENT VALID?

ARGUMENT / DISCUSSION
1. The aforementioned bill which was enacted by the legislature is
the Republic Act 20202 falls under and is governed by the Doctrine of
enrolled bill which as mentioned in the case of ABAKADA GURO Party list
VS Hon Ermita which provides that:

‘’The signing of a bill by the Speaker of the House and the Senate
President and the certification of the Secretaries of both Houses of
Congress that it was passed are conclusive of its due enactment.’’

2. The law increases the VAT rate from 12% to 15% in 2023

3. The law empowers the President to increase the VAT rate to 15%
if any of the following conditions are met:
a.) VAT collection over GDP in 2022 exceeds 3%
b.) National government deficit over GDP in 2022 exceeds 2%

4. Is the delegation of the legislature valid?

Yes, the delegation by the legislature to the President is valid.

We conducted the test of delegation to ensure its validity and it
resulted to a complete and sufficient standard test.

In the case of ABAKADA GURO Part list VS Hon. Ermita, the

Honorable Supreme Court has ruled that:
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 ‘’In every case of permissible delegation, there must be a showing
that the delegation itself is valid. It is valid only if the law (a) is
complete in itself, setting forth therein the policy to be executed,
carried out, or implemented by the delegate; and (b) fixes a standard '
the limits of which are sufficiently determinate and determinable to
which the delegate must conform in the performance of his functions.’’

On the other hand, the undue delegation of legislative power as

mentioned in the same case stated that;

“The powers which Congress is prohibited from delegating are

those which are strictly, or inherently and exclusively, legislative.
Purely legislative power, which can never be delegated, has been
described as the authority to make a complete law ' complete as to
the time when it shall take effect and as to whom it shall be
applicable ' and to determine the expediency of its enactment.”

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