Program : Bachelor of Science in Business Administration

Course : Philippine Tax System and Income Taxation

_____________________________________________________________________________________

Research
Topics Covered:

 Taxes, Tax Laws and Tax Administration

 Income Taxation

Objectives:

At the end of this activity, the students are expected to:

 Describe the different types of taxation laws and provide examples for each type;
 Know the distinction among tax laws, revenue, regulations, and rulings
 Differentiate tax from similar items; and
 Discuss the powers of the Bureau of Internal Revenue and Commissioner of Internal
Revenue.

Instructions:

Each student is required to answer each of the following questions:

1. In order to raise revenue for the repair and maintenance of the newly constructed City
Hall of Makati, the City Mayor ordered the collection of P1.00, called “elevator tax”,
every time a person rides any of the high-tech elevators in the City Hall during the hours
of 8am to 10am and 4pm to 6pm. Is the elevator tax a valid imposition?

2. Is taxation subject to judicial review?

3. “X,” a lessor of a property, pays real estate tax on the premises, a real estate dealer’s tax
based on rental receipts and income tax on the rentals. He claims that this is double
taxation. Decide.

4. BB Municipality has an ordinance which requires that all stores, restaurants, and other
establishments selling liquor should pay an annual fee of P20,000.00. Subsequently, the
municipal board proposed an ordinance imposing a sales tax equivalent to 5% of the
amount paid for the purchase or consumption of liquor in stores, restaurants and other
establishments. The municipal mayor, CC, refused to sign the ordinance on the ground

_____________________________________________________________________________________

Prepared by: Glen Mark A. Ramos Noted by: Charmaine B. Nidoy Page 1 of 2
Program : Bachelor of Science in Business Administration
Course : Philippine Tax System and Income Taxation

_____________________________________________________________________________________
that it would constitute double taxation. Is the refusal of the mayor justified? Reason
briefly.

5. Upon the passage of the Local Autonomy Act (RA 2264), the City of Iloilo Board passed
an ordinance imposing municipal license tax on persons engaged in the business of
operating tenement houses. Is the ordinance unconstitutional on the ground of double
taxation since there is payment of both real estate tax and the tenement tax?

6. Can an assessment for a local tax be the subject of set-off or compensation against a
final judgment for a sum of money obtained by a taxpayer against the local government
that made the assessment?

7. Lutz assailed the constitutionality of Section 2 and 3, C.A. 567, which provided for an
increase of the existing tax on the manufacture of sugar, alleging such tax as
unconstitutional and void for not being levied for a public purpose but for the aid and
support of the sugar industry exclusively. Is the tax law increasing the existing tax on the
manufacture of sugar valid?

8. What are the powers of the Commissioner of Internal Revenue?

9. What are the non-delegated powers of the Commissioner of Internal Revenue?

10. What are the rules in assignment of revenue officers to other duties?

Use short bond paper. Font size is 12 and font style is Calibri. Margin is 1” (all sides).
Deadline of submission is August 14, 2018.

Desired Output: Research

Reference: Income Taxation by Rex Banggawan

_____________________________________________________________________________________

Prepared by: Glen Mark A. Ramos Noted by: Charmaine B. Nidoy Page 2 of 2