1.

There is no constitutional prohibition against double taxation in the

Philippines. It is something not favored but nevertheless permissible.
Response: TRUE
2. Revenue derived from taxes cannot be used for the exclusive use of
private persons.
Response: TRUE
3. Sovereign equality dictates that a nation cannot impose taxes in the
property of another country.
Response: TRUE
4. There is no imposition of amount in police power.
Response: FALSE
5. In cases of deductions and exemptions, doubts shall be resolved liberally
in favor of the government.
Response: TRUE
6. Special assessment is imposed on persons, property and property rights.
(Special assessment is imposed or tax is only charged to the owners of property in the
neighborhood that will benefit from the project.)

Response: FALSE
7. All government entities regardless of their functions are exempted from
taxes because it would be impractical for the government to be taxed itself.
(Depends on its status and if accepted by the law.)

Response: FALSE
8. No law granting any tax exemption shall be passed without the
concurrence of 2/3 of all members of Congress. (majority)
Response: FALSE
9. Tax is generally unlimited because it is based on the needs of the State.
Response: TRUE
10. One the schemes of shifting the incidence of tax burden is by
transferring the sales tax of a manufacturer to the distributor, then in turn to
the wholesaler, to the retailer and finally the consumer.
Response: TRUE
11. In the exercise of the power of taxation, the State can tax anything at
any time.
Response: TRUE
12. Tax assessment refers to the fiscal policy of the government. (Tax
assessment determines the value, and sometimes determines the use, of property, and usually
calculates property tax.)

Response: FALSE
13. Tax exemptions applies only to government entities that exercise
proprietary functions. (Agencies performing proprietary functions are subject to tax
unless expressly exempted)

Response: FALSE
14. The Philippine Government may subject the land where embassies of
foreign governments are located to real property taxes.
Response: FALSE
15. "Global system of income taxation" means separate graduated rates
are imposed on different types of income. (A global income tax is one in which a
single tax is imposed on all income, whatever its nature)

Response: FALSE
16. Taxation is the government's legitimate means of interfering with the
private properties of its subjects.
Response: TRUE
17. The primary requisite of equity principle is that each taxpayer should be
required to contribute equal amounts in the form of taxes taxes.
Response: FALSE
18. The Constitution is the source of the State's taxing power. (It’s the
Congress)
Response: FALSE
19. An aspect of the power that could be delegated to the President covers
both legislative and administrative discretion.
Response: FALSE
20. Taxation is considered as the lifeblood of the government and every
government unit must exercise this. (LGU - But the moment of power to impose a
particular tax is granted, they also have the power to grant exemption therefrom unless
forbidden by some provision of the Constitution of the law.)

Response: FALSE
21. There is direct double taxation by taxing corporate income and
corporate stockholders' dividends from the same corporation.
Response: FALSE
22. Police power regulates both liberty and property.
Response: TRUE
23. The three fundamental powers of the State may be exercise only by the
government. (Eminent domain may be granted to public service/utility companies)
Response: FALSE
24. The amount of taxes may be increase to curve spending power and
minimize inflation.
Response: TRUE
25. A tax evader sidesteps the law, while the tax avoider breaks it. (Tax
avoidance - the use of legal methods to minimize the amount of income tax owed by an
individual or a business)

Response: FALSE
26. In case of ambiguity, tax laws shall be interpreted liberally in favor of
the Government. (In every case of doubt, tax statutes are construed strictly against the
government and liberally in favor of the taxpayer)

Response: FALSE
27. Real estate tax and income tax collected on the same real estate
property is not a form of double taxation.
Response: TRUE
28. The State can still exercise its taxing powers over its citizen, even if he
resides outside the taxing State's authority.
Response: TRUE
29. Toll is one of the taxes collected by the government. (A tax may be imposed
by the government only, while the toll is enforced by the government or a private individual or
entity)

Response: FALSE
30. Taxes are raised to cover the cost of governance.
Response: TRUE
31. Local tax ordinances must be uniformly and equally applied throughout
the country. (Different taxes on different places or regions)
RESPONSE: FALSE
32.  Eminent domain may be exercise even by public service corporations
and public entities.
RESPONSE: TRUE
33.  License fee is imposed to raise revenue. (License fee is for regulation only)
RESPONSE: FALSE
34. A person may refuse to pay on the ground that he will not receive a
benefit from the tax.
RESPONSE: FALSE
35. A tax may be levied for the support of religious activities as long as all
churches benefit from it.
RESPONSE: FALSE
36.  One the schemes of shifting the incidence of tax burden is by
transferring the sales tax of a manufacturer to the distributor, then in turn to
the wholesaler, to the retailer and finally the consumer.
RESPONSE: TRUE
37.  The amount imposed in the exercise of police power depends on
whether the activity is useful or not.
RESPONSE: TRUE
38. The distinction of a tax from permit or license fee is that a tax is one in
which there is generally no limit on the amount that may be imposed.
RESPONSE: TRUE
39. Levying of local government taxes should be exercise only by the
legislative branch of the local government.
RESPONSE: TRUE
40. A revenue bill may originate from the Senate and on which same bill
the House of Representatives may propose amendments. (Article I, Section 7,
Clause 1: All Bills for raising Revenue shall originate in the House of Representatives; but the
Senate may propose or concur with Amendments as on other Bills.)

RESPONSE: FALSE
41. License fees are imposed in the exercise of police power.
RESPONSE: TRUE
42. Debt, as distinguished from tax, may be paid in kind.
RESPONSE: TRUE
43. Taxation is the primary source of government revenue. Hence, all
government funds come from taxes.
RESPONSE: FALSE
44. Taxation is a process or means by which the sovereign, through its law-
making body raises income to defray the expenses of the government.
RESPONSE: TRUE
45. Under the equal protection clause of the Constitution, all persons
subject to legislation shall be treated alike under dissimilar circumstances
and conditions, both in the privileges conferred and liabilities imposed.
RESPONSE: FALSE
46. The taxing power of provinces, municipalities and cities precede from
constitutional grant.
RESPONSE: TRUE
47. Taxation is regressive when their rate goes up depending on the
resources of the person affected. (Regressive - tax with rate that decreases as the tax
base or bracket increases)

RESPONSE: FALSE
48. Tax laws are civil and penal in nature because there are penalties
provided in the case of tax violation.
RESPONSE: FALSE
49. Special assessment is a tax. (Surtax - an additional tax on incomes higher than the
level at which ordinary tax is paid)

RESPONSE: FALSE
50. Transformation is a method by which the manufacturer or producer
upon whom the tax is imposed pays the tax and strives to recover such
expense through lower production cost without sacrificing the quality of his
product.
RESPONSE: TRUE
51.  When the power to tax is delegated to the local government, only the
legislative branch of the local government can exercise the power.
RESPONSE: TRUE