Philippine Constitution Agrarian Reform Taxation
Philippine Constitution Agrarian Reform Taxation
Philippine Constitution Agrarian Reform Taxation
- Borrowed from Cuba, was written by Isabelo Artacho and Felix Ferrer
Organs of the government:
1. Supreme Council which was vested with the power of the Republic,
headed by the President and four department secretaries: the interior,
foreign affairs, treasury, and war
2. Supreme Council of Grace and Justice which was given the authority to
make decisions and affirm or disprove the sentences rendered by other
courts and to dictate rules for the administration of justice
Before the convention finished its work, Martial Law was declared.
1940 – a residence tax was imposed on every citizen aged 18 years old
and on every corporation
National Internal Revenue Code (1939)
1. The normal tax of three percent and the surtax on income was
replaced by a single tax at a progressive rate.
2. Personal exemptions were reduced.
3. Corporation income tax was slightly increased by introducing taxes
on inherited estates or gifts donated in the name of the dead
persons.
4. The cumulative sales tax was replaced by a single turnover tax of
10% on luxuries.
5. Taxes on liquors, cigarettes, forestry products, and mining were
increased.
6. Dividends were made taxable.
Fiscal Policy from 1946 to Present
Elpidio Quirino
- implemented the import and exchange controls that led to import
substitution development
- imposed higher corporate tax rates
Features:
1. uniform rate of 10% on sale of domestic and imported goods and
services and zero percent on exports and foreign-currency
denominated sales;
2. ten (10) percent in lieu of varied rates applicable to fixed rates (60
nominal rates), advance sales tax, tax on original sale, subsequent
sales tax, compensating tax, miller’s tax, contractor’s tax, broker’s
tax, film lessors and distributor’s tax, excise tax on solvents and
matches, and excise tax on processed videotype;
3. two percent tax on entities with annual sales or receipts of less than
5,200,000;