INHERENT POWERS OF THE STATE

1. Taxation (Money)
- The exercises of the sovereign power
- To raise revenues
- For the expenses of the government
- The lifeblood of the government
- Supreme
- Plenary - absolute
- Unlimited
- Comprehensive
- Subject to constitutional and inherent limitations

2. Police Power (Rights)

- To legislate for the protection of the health, general welfare, safety and morals of the public.
- Regulate both liberty and property for the promotion of the public good.

3. Eminent Domain
- To take private property for a public purpose.
- Private property shall not be taken for public use without just compensation

Taxation Police Power Eminent Domain

Purpose Raise revenues Promote general Facilitate state’s need
welfare thru of property for public
regulations use

Exaction No limit Limited to the cost of No exaction

regulation, license and
surveillance

Benefits Received The public received Healthy economic Just compensation

the general benefit of standard of society is
protection of person, attained
property and the
promotion of the
general welfare

Transfer of Property Become part of public No transfer but only Transfer is effected in
Rights funds restraint in the favour of the state
exercise of property
rights
Scope All persons All persons Only upon specific
Property Property property.
Rights Rights
Privileges Privileges
liberties
Authority Government and its Government and its May be exercised by
political subdivisions political subdivisions public service
corporations or
private entities
operating public
utilities if granted by
law.