Introduction

Question 1

It may be defined as a State power, legislative process and a mode of government cost distribution.

Answer 1

Taxation

Question 2

Taxation is an inherent power of the State to enforce a proportional contribution from its subjects for public purpose.

Answer 2

States power

Question 3

Taxation is a process of levying taxes by the legislature of the State to enforce proportional contributions from its subjects for public purpose.

Answer 3

Legislative process/process

Question 4

Taxation is a mode by which the State allocates its costs or burden to its subjects who are benefited by its spending.

Answer 4

Mode of cost distribution

Question 5

The government provides a vast array of public services including defense, public order and safety, health, education and social protection among others.

Answer 5

Theory of taxation

Question 6

A government cannot exist without a system of funding. The government’s necessity for funding is the …

Answer 6

Theory of taxation

Question 7

The government provides benefits to the people in the form of public services, and the people provide the funds that finance the government.

Answer 7

Basis of taxation

Question 8

The mutuality of support between the people and the government is referred to as the …

Answer 8

Basis of taxation

Question 9

What are the Theories of cost allocation
?

Answer 9

1.Benefits received theory
2. Ability to pay theory

Question 10

The presupposes that the more the benefit one receives from the government, the more taxes he should pay.

Answer 10

benefit received theory

Question 11

presupposes that taxation should also consider the taxpayer’s ability to pay.

Answer 11

Ability to pay theory

Question 12

should be required to contribute based on their relative capacity to sacrifice for the support of the government.

Answer 12

Taxpayers

Question 13

What are the Aspects of ability to pay theory
?

Answer 13

1. Vertical equity
2. Horizontal equity

Question 14

It is proposes that the extent of one’s ability to pay is directly proportional to the level of his tax base.

Is a gross concept

Answer 14

Vertical equity

Question 15

requires consideration of the particular circumstance of the taxpayer.

Is a net concept.

Answer 15

Horizontal equity

Question 16

In the life of blood doctrine

It is the lifeblood of the government, and their prompt and certain availability are an imperious need.

Answer 16

Taxes

Question 17

In the life of blood doctrine

It is the essential and indispensable to the continued subsistence of the government.

Answer 17

Taxes

Question 18

is imposed in the absence of Constitutional grant.

Answer 18

Tax

Question 19

In income taxation

is preferred when the tax object has multiple tax bases.

Answer 19

Higher tax base

Question 20

In income taxation

is preferred when a claimable expense is subject to limit.

Answer 20

Lower amount of deduction

Question 21

In income taxation

is not allowed as effectively defers the collection of income tax.

Answer 21

Deduction for capital expenditures and prepayments

Question 22

In income taxation.

is taxable upon receipt

Answer 22

Income received in advance

Question 23

What are those implication of the lifeblood doctrine in taxation?

Answer 23

1. Tax is imposed in the absence of Constitutional grant.
2. Claims for tax exemption are construed against the taxpayers.

3.The government reserves the right to choose the objects of taxation.

4.The courts are not allowed to interfere with the collection of taxes.

5. In income taxation:

Question 24

A government has its basic needs and rights which co-exist with its creation.

Answer 24

Inherent powers of the state

Question 25

is the power of the State to enforce proportional contributions from its subjects to sustain itself.

Answer 25

Taxation power

Question 26

is the general power of the State to enact laws to protect the well-being of the people.

Answer 26

Police power

Question 27

is the power of the State to take private property for public use after paying just compensation.

Answer 27

Eminent domain

Question 28

What are the inherent powers of the state?

Answer 28

1. Taxation power
2. Police power
3. Eminent domain

Question 29

is widely regarded as comprehensive, plenary, unlimited and supreme.

Answer 29

Scope of taxation

Question 30

taxation is not absolutely unlimited. Taxation has its own inherent limitations and Constitutional limitations.

Answer 30

Scope of taxation power

Question 31

What are those inherent limitations?

Answer 31

1. Territoriality of taxation
2. Exception to the territoriality principle
3. International comity
4. Public purpose
5. Exemption of the Government
6. Non-delegation of the taxing power

Question 32

In territoriality of the taxation

this are normally provided within the boundaries of the State. Thus, the government can only demand tax obligations upon its subjects or residents within its territorial jurisdiction.

Answer 32

Public services

Question 33

In territoriality of taxation

What are The two fold obligations of taxpayers ?

Answer 33

1. Filing of returns and payment of taxes.
2. Withholding taxes on expenses and its remittance to the government.

Question 34

These obligations can only be demanded and enforced by the Philippine government upon its citizens and residents.

Answer 34

Territoriality of taxation

Question 35

resident citizens and domestic corporations are taxable on income derived within and outside the Philippines.

Answer 35

exception to the territoriality principle in Income taxation

Question 36

residents or citizens such as resident citizens, non-resident citizens and resident aliens are taxable on transfers of properties located within or outside the Philippines.

Answer 36

exception to the territoriality principle “in transfer taxation “

Question 37

countries of the world agreed to one fundamental concept of co-equal sovereignty wherein all nations are deemed equal with one another regardless of race, religion, culture, economic condition or military power.

Answer 37

International comity in the “UN convention”

Question 38

It is by this principle that each country observes international comity or mutual courtesy or reciprocity between them.

Answer 38

No country is powerful than the other.

Question 39

Tax is intended for the common good. Taxation must be exercised absolutely for public purpose. It cannot be exercised to further any private interest.

Answer 39

Public purpose

Question 40

The taxation power is broad. The government can exercise the power upon anything including itself.

Answer 40

Exemption of the government

Question 41

Under the NIRC, government properties and income from essential public functions are not subject to taxation.

Answer 41

Exemption of the government

Question 42

In Non-delegation of the taxing power

It is Vested exclusively in Congress and is non-delegable pursuant to the doctrine of separation of the branches of the government to ensure a system of checks and balances.

Answer 42

Legislative taxing power

Question 43

The power of lawmaking, including taxation, is delegated by the people to the legislature.

Answer 43

Non-delegation of the taxing power

Question 44

Under the Constitution, local government units are allowed to exercise the power to tax to enable them to exercise their fiscal autonomy.

Answer 44

Exception to the Rule of Non-delegation

Question 45

Under the Tariff and Customs Code, the President is empowered to fix the amount of tariffs to be flexible to trade conditions.

Answer 45

Exception to the Rule of Non-delegation

Question 46

Other cases that require expedient and effective administration and implementation of assessment and collection of taxes.

Answer 46

Exception to the Rule of Non-delegation