PHILIPPINE TAXATION

Tax

• came from the Latin word Taxo .

Tax

• It is defined as the mandatory contribution to the state treasury to be used in various upkeeps, or services, of the state.

Tax

• The government is responsible for the collection of these contributions.

barter

it was the leading form of trade back then

the Contador de Resultas

During the 17th and 18th centuries, He served as the Chief Royal Accountant who functions were similar to the Commissioner of Internal Revenue.

the Contador de Resultas

• He was the Chief Arbitrator whose decision on financial matters were final except when revoked by the Council of Indies.

250,000 per annum,

the Spanish treasury has to subsidize the Philippines in the amount of

polo y servicio,

• Forced labor or was also a network for tax payments

Tributo,

which was originally between 8-10 reales.

 Encomieda System,

which is land ownership granted by the Crown to worthy peninsulares, was yet another form of tax income from Filipinos.

the sanctorum

was the tax paid to the local church.

Revenue

• Is the money collected by the government for their use. This the most common form of taxation in the country, as it is tax mostly associated with income tax.

Revenue

• It funds most of the national projects of the country, such as supplying a budget for public school improvement, budget for scientific research, and so on.

Redistribution

Is the money given to the poor as aid for their poverty. Although hardly felt, it provides leverage for the poor to uplift their economic struggles by donating money to those in need.

Redistribution

Most non-government organizations (NGOs) have donation drives to five to their beneficiaries.

Repricing

Is the money added to certain products to various uses.

Representation

s the money presented to the people in public. This comes in forms of projects sponsored by the government.

Repricing

The government controls the products’ prices in order to decrease consumption of products to debilitate, or weaken, the people’s health,

Sin Tax Law,

where tobaccoand liquour-based products have higher prices in order to reduce cases of lung and liver cancer to the general public.

• Income Tax

• Value-added Tax

• Excise Tax

• Documentary Stamp Tax

The Philippines has four main types of national taxes, namely:

Income tax

is a type of tax that the central government charges on the income earned during a financial year by the individuals and businesses.

VAT

is a common form of consumption tax that is due at every stage of a product's production from the sale of the raw materials to its final purchase by a consumer.

VAT

• The tax is based on the gross selling price of properties and goods sold, or gross receipts from the sale of services, and is equivalent to a uniform rate of 12%

Excise taxes

are specific taxes levied on certain goods or activities, often with the goal of discouraging their consumption or regulating their use.

The documentary stamp tax

is an excise tax levied on documents, instruments, loan agreements and papers evidencing the acceptance, assignment, sale or transfer of an obligation, rights, or property incident thereto.

Tax Reform for Acceleration and Inclusion (Train) Law

it exempts all taxpayers, whose annual income is less than or equal to Php 250,000.00, to pay their taxes.