1. Introduction to Taxation
John V. Balanquit

2. Objectives After the presentation, students should be able to:
Identify and distinguish the objects of taxation
Explain the doctrines of taxation
Explain the “situs of taxation”

3. Objectives (continued)
Identify the nature of taxes and explain the characteristics of taxes
Determine the classification of taxes
Distinguish taxes from other fees

4. Objects of Taxation Persons (natural or juridical)
Properties (tangible or intangible, real or personal)
Excise objects (transactions, privilege, rights or interests)

5. Doctrines of Taxation Prospectivity of tax laws
Imprescriptibility of taxes
Double taxation (indirect and direct)
Escape from taxation (tax evasion vs tax avoidance)
Equitable recoupment

6. Doctrines of Taxation Set-off of taxes Taxpayer suit Compromise
Power to build and destroy

7. Situs of Taxation
It is the “place” of taxation. It may be based on the:
Nature of tax
Citizenship and residence of taxpayer
Source of income
Place of the item subject to tax

8. Nature of Taxes Taxes are: Obligations created by law
Generally personal to the taxpayer

9. Essential Characteristics of Taxes
Enforced contributions
Imposed by the legislative body
Proportionate in character
Payable in the form of money
Imposed for the purpose of raising revenue
Used for public purpose

10. Essential Characteristics of Taxes
Enforced on persons, properties or rights
Commonly required to be paid in regular intervals
Imposed by the sovereign state within its jurisdiction

11. Classifications of Taxes
As to Purpose
Revenue/Fiscal
Regulatory/Sumptuary

12. Classifications of Taxes
As to Object
Personal/ Poll/ Capitation
Property
Excise

13. Classifications of Taxes
As to Determination of Amount
Ad Valorem
Specific

14. Classifications of Taxes
As to Who Bears the Burden
Direct
Indirect

15. Classifications of Taxes
As to Authority or Scope
National (transfer taxes, income taxes, VAT, percentage taxes, excise taxes, documentary stamp tax)
Local (Community tax, municipal license tax, professional tax, real estate tax)

16. Classifications of Taxes
As to Rate or Graduation
Proportionate/ Flat Rate
Progressive/ Graduated
Mixed

17. Other Fees
Penalty
Revenue
Debt
Toll
License fee
Customs duties

18. Other Fees
Subsidy
Tariff
Margin fee
Special assessment

19. End of Lecture. Thank You!