ETHICS REVIEWER (FINALS)
BSN 2-YA-5
TAXATION
What is taxation?
 Imposes tax, involuntary levies: income,
capital gain
 Applies to all types of mandatory levies,
from income to capital gains to estate
taxes.
Tax
 From the Latin word ‘taxo’
 Mandatory payment or charge collected
by local, state, and national
governments from individuals or
businesses to cover the costs of general
government services, goods, and
activities.
PURPOSE:
 Taxation aims to maintain currency
stability, express public policy on wealth
distribution, subsidize industries or
population groups, or isolate costs of
benefits like highways or social security.
Fiscal Capacity
 A government’s ability to raise taxes
INCOME TAX
 Imposed on individuals or entities (tax
payers) that varies w/ respective income
or profits
 Corporate Law
- Tax imposed on companies
Samonte, Jean Crissia M.
TYPES OF TAXES
1. Income tax—A percentage of
generated income that is
relinquished to the state or federal
government (pay-as-you-earn)
2. Payroll tax—A percentage withheld
from an employee’s pay by an
employer, who pays it to the
government on the employee’s
behalf to fund Medicare and Social
Security programs
3. Corporate tax—A percentage of
corporate profits taken as tax by the
government to fund federal programs
4. Sales tax—Taxes levied on certain
goods and services; varies by
jurisdiction
5. Property tax—Based on the value of
land and property assets
6. Tariff—Taxes on imported goods;
imposed with the aim of strengthening
domestic businesses
7. Estate tax—Rate applied to the fair
market value (FMV) of property in a
person’s estate at the time of death;
the total estate must exceed
thresholds set by state and federal
governments
TAX POLICY
 Balancing act between efficiency and
equity
TAX EVASION
 Is the Use of the tax payer of illegal
means to avoid or minimize payment f
the tax
e.g.
- Underreporting income.
- Exaggerating tax deductions.
ETHICS REVIEWER (FINALS)
TAX AVOIDANCE
 Is the use of legal means to
reduce tax liability
BASIS FOR TAXATION
NECESSITY RECIPROCITY
- Government - Reciprocal duties
cannot exist and of protection and
function without support between
means of paying the state and its
its expenditures inhabitants
Essential Characteristics of Tax.
1. Enforced Contribution
2. Payable in the form of money
3. Laid by some rule of appointment which
is usually based on ability to pay
4. Levied by the State which has
jurisdiction or control over the subject to
be taxed
5. Levied on person, property, acts
privileges or transactions.
6. Levied by the law- making body of the
State
7. Levied for public purposes
Two aspects of Taxation
1. Levying the tax, act of imposing the tax,
exercised by the congress
2. Collection, administrative act of collecting
the tax, exercised by the
 Executive Branch with:
- BIR - national taxes
- BOC - custom duties
- LGU - local and real property
- Appropriate government
agencies, fees and charges
Samonte, Jean Crissia M.
BSN 2-YA-5
BASIC PRINCIPLE OF A SOUND TAX
SYSTEM
1. Fiscal Adequacy
 the sources of revenue must be
sufficient to meet government
expenditures and other public
needs.
2. Equality or theoretical justice
 The tax imposed should be
proportionate to the taxpayer’s
ability to pay
3. Administrative feasibility
 refers to the likelihood that a
department or agency can
implement the policy or deliver
the program well.
THE PROBLEMS WITH OUR TAX
SYSTEM ARE:
1. We have some of the highest income
tax rates in the region
2. Too many goods and service are not
being taxed
3. Too many people are evading the tax
system
4. Our tax system is too complicated
5. Rich Filipinos are not paying their fair
share of taxes
GLOBALIZATION
Globalization
 is a term used to describe how
trade and technology have made
the world into a more connected
and interdependent place.
Globalization also captures in its
scope the economic and social
changes that have come about
as a result.
ETHICS REVIEWER (FINALS)
Pluralism
 a situation in which people of
different social classes, religions,
races, etc., are together in a
society but continue to have their
different traditions and interests.
1. Pluralism is not diversity alone, but
the energetic engagement with diversity.
 Pluralism involves engaging with
diverse cultures, not just
recognizing them. It's not a given,
but an achievement, as mere
diversity without genuine
encounters can cause tension.
2. Pluralism is not just tolerance, but the
active seeking of understanding across
lines of difference.
 Pluralism involves understanding
differences across religious
lines, not just tolerance.
Tolerance is a necessary public
virtue, but it doesn't eliminate
ignorance and perpetuates
stereotypes. In today's world,
ignorance of one another is
increasingly costly, making
pluralism essential for a more
inclusive society.
3. Pluralism is not relativism, but the
encounter of commitments.
 Pluralism involves embracing
our identities and commitments,
holding our deepest differences,
even religious ones, in
relationship to one another,
rather than leaving them behind.
4. Pluralism is based on dialogue.
 Pluralism is rooted in dialogue,
involving encounter, criticism,
and self-criticism, revealing
common understandings and
Samonte, Jean Crissia M.
BSN 2-YA-5
differences, but not requiring
unanimous agreement.
Moral Pluralism
 Idea that there can be conflicting
moral views that are each worthy
of respect
 Moral pluralism acknowledges
the existence of diverse moral
perspectives, promoting open-
mindedness and recognizing
that no single philosophical
approach can provide all
answers to complex moral
issues.
MILLENIAL DILEMMA
Who are millennials, baby boomers
and Generazation Z?
Baby boomers
 Following WWII, a 'baby boom'
occurred, resulting in a large
portion of the population born
between 1940-1964. This period
saw increased affluence and
consumerism, leading to
increased spending on goods
and services.
Generation X
 Generation XX, born between
1960s-80s, experienced the rise
of musical genres like grunge,
hip-hop, indie films, and MTV
channels, following baby
boomers.
ETHICS REVIEWER (FINALS) Samonte, Jean Crissia M.
BSN 2-YA-5
Generation Z
 Generation Z, born between mid-
1990s-2000s, primarily children
of Generation X, may have
millennial parents, possessing
early internet knowledge and a
strong understanding of
technology and social media.

Millenials
 Millennials, born between 1980s-
2000s, are a generation impacted
by recession, unemployment,
and economic instability, often
associated with avocado on
toast and snowflake culture.