TAX distinguished

from other EXACTIONS

PAGADUAN, JONATHAN & MANUEL, RUHIEL
TAXES v. TARRIF

TAXES
All embracing term to
include various kinds of TARIFF
enforced contributions A kind of tax imposed on articles
upon persons for the which are traded internationally
attainment of public (exported from or imported to a
purposes country). Custom duties are
actually taxes but the latter is
broader in scope
TAXES v. TOLL
TAXES
• Paid for the support of the
government
• Demand of sovereignty
• Generally, no limit on the
amount collected as long
as it is not excessive,
unreasonable or
confiscatory
• Imposed only by the
government
TOLL
• Paid for the use of another’s
property.
• Demand of proprietorship
• Amount paid depends upon the
cost of construction or
maintenance of the public
improvement used.
• Imposed by the government or by
private individuals or entities.
 TAXES v. LICENSE & REGULATORY FEE
TAXES
• Imposed under the taxing power of
the state for purposes of revenue.
• Forced contributions for the purpose
of maintaining government functions.
• Generally, unlimited as to amount
• Imposed on persons, property and to
exercise a privilege.
• Failure to pay does not necessarily
make the act or business illegal.
• Penalty for nonpayment: surcharges
or imprisonment (except poll tax).
License and Regulatory Fee
• Levied under the police power of the
state.
• Exacted primarily to regulate certain
businesses or occupations.
• Should not unreasonably exceed the
expenses of issuing the license and of
supervision.
• Imposed only on the right to exercise a
privilege
• Failure to pay makes the act or business
illegal.
TAXES v. ASSESSMENT

Taxes
• Levied not only on land.
• Imposed regardless of public
improvements
• Contribution of a taxpayer for
the support of the
government.
• It has general application
both as to time and place
Special Assessment
• Levied only on land.
• Imposed because of an increase in value of
land benefited by public improvement.
• Contribution of a person for the construction
of a public improvement
• Exceptional both as to time and locality.
 TAXES v. DEBT
TAXES
• Based on Laws
• Generally cannot be assigned
• Generally paid in money
• Cannot be a subject of set off or
compensation
• A person cannot be imprisoned for
non-payment of debt (except when
from a crime)
• Governed by the special prescriptive
periods provided for in the NIRC
• Does not draw interest except only
when delinquent
• Imposed only by public authority
DEBT
• Generally based on contract, express or
implied
• Assignable
• Maybe be paid in kind
• Can be a subject of set off or
compensation
• Imprisonment is a sanction for non-
payment of tax
• Governed by the ordinary periods of
prescription
• Draws interest when it is so stipulated or
where there is default
• Can be imposed by private individual
 TAXES v. PENALTY

TAXES
• Violation of tax laws may give rise to
imposition of penalty
• Generally intended to raise revenue
• May be imposed only by the
government
• Cannot be a subject of set off or
compensation
PENALTY
• Any sanction imposed as a punishment
for violation of law or acts deemed
injurious
• Designed to regulate conduct
• May be imposed by the government or
private individuals or entities
• Can be a subject of set off or
compensation (see Art. 1279, Civil Code)
THANK YOU.