MANILA LAW COLLEGE
Course Title : Taxation Law Review
Course Credit : Two (2) Units
Prerequisites : Taxation Law 1 and 2
Faculty : Atty. Marvin P. Cañero, CPA
Course Description: This subject is an integration of the principles in Taxation Law relating to general
principles of taxation, income taxation, organization and functions of the Bureau of Internal Revenue, income
taxation, transfer taxes (donor’s tax and estate tax), value-added tax, remedies under the National Internal
Revenue Code and related laws and revenue issuances, local government taxation, and judicial remedies
(RA 1125, as amended, and the Revised Rules of the Court of Tax Appeals)
Course Objectives:
1. Understand the nature and characteristics of taxation.
2. Identify and understand the concepts, policies, and imposition of the different internal revenue taxes,
including the application to actual business transactions.
3. Understand the basic principles and policies of local government taxation.
4. Identify and appreciate administrative and judicial remedies that may be availed of by the government
and the taxpayers on matters relating to taxes.
5. Encourage the observance of honesty and fair dealing on matters relating to the payment and
collection of taxes.
Method of Teaching: Live discussion/lecture via canvas and/or zoom with recitations using socratic method.
COURSE OUTLINE
A. GENERAL PRINCIPLES OF TAXATION
a. Definition, Concept and Purpose of Taxation
i. Southern Luzon Drug Corporation Vs. DSWD, GR No. 199669, 25 April 2017
ii. Drugstores Association Of The Philippines, Inc., et al vs. National Council On
Disability Affairs, G.R. No. 194561, September 14, 2016
b. Nature and Characteristics of Taxation
c. Power of Taxation VS. Police Power and Power of Eminent Domain
d. Theory and Basis of Taxation
e. Principles of a Sound Tax System
i. Diaz vs. Secretary of Finance, G.R. No. 193007, 19 July 2011
f. Scope and Limitations of Taxation
i. Planters Products, Inc. vs. Fertiphil Corporation, G.R. No. 66006, 14 March
2008)
ii. ABAKADA Guro Party List vs. Ermita, GR No. 168056, 1 September 2005
iii. Gerochi vs. Department of Energy, G.R. No. 159796, 17 July 2007
iv. PAGCOR vs. BIR, GR No. 172087, 15 March 2011
v. Tolentino vs. Sec. of Finance, GR No. 115455, 25 Aug 1994
vi. CIR vs. CA,YMCA Gr NO. 123043
vii. CIR VS. DLSU, GR NO,196596, 9 Nov 2016
viii. La Sallian Eduational Innovators Foundation vs. CIR,GR No. 202792, 27 Feb
2019
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ix. Abra Valley College Inc. vs. Aquino, GR No. L-39086, June 15, 1988;
x. Lung Center of the Philippines vs. QC, G.R. No. 144104. June 29, 2004
xi. Mandanas, et al. v. Executive Secretary, et al., GR Nos. 199802 and 208488, 3
July 2018; MR: 10 April 2019
g. Stages or Aspects of Taxation
h. Definition, Nature and Characteristics of Taxes
i. Requisites of a Valid Tax
j. Tax vs. Other Forms of Exactions
i. Chevron Philippines, Inc. vs. BCDA, G.R. No. 173863, 15 September 2010
ii. Angeles University Foundation vs. Angeles City, G.R. No. 189999, 27 June 2012
k. Kinds of Taxes
l. Situs of Taxation
m. Construction and Interpretation
i. CIR vs. Puregold Duty Free, Inc. G.R. No. 202789, June 22, 2015
n. Sources of Tax Laws
o. Doctrines in Taxation
i. CIR vs. Solidbank Corporation, GR No. 148191, 25 Nov. 2003;
ii. Swedish Match Philippines, Inc. vs. Manila, GR NO. 181277, 3 July 2013
iii. Nursery Care Corporation et al vs. Acevedo, G.R. No. 180651, July 30, 2014
iv. CIR v. S.C. Johnson and Son, Inc., GR No. 127105, 25 June 2009
v. CBK Power Company Limited vs. CIR, G.R. Nos. 193383-84, January 14, 2015;
CIR vs. CBK Power Company Limited, G.R. Nos. 193407-08
vi. CIR vs. Estate of Toda, GR No. 147188, 14 Sept 2004)
vii. Domingo vs. Carlitos (8 SCRA 443)
viii. South African Airways vs. CIR, GR No. 180356, 16 February 2010).
ix. Air Canada vs. CIR, January 11, 2016, G.R. No. 169507
x. CIR v. Toledo Power Company, G.R. No. 196451, 2 December 2015
xi. CS Garment, Inc., vs. CIR, G.R. No. 182399. March 12, 2014
p. Taxpayer’s Suit
i. Remulla vs Maliksi, G.R. No. 171633, Sept. 18, 2013
ii. SOF, et al vs. Lazatin, et al, G.R. No. 210588, November 29, 2016
B. ORGANIZATION AND FUNCTIONS OF THE BUREAU OF INTERNAL REVENUE
a. Rule-making authority of the Secretary of Finance
i. Authority to promulgate rules and regulations
ii. Specific provisions to be contained in rules and regulations
b. Jurisdiction, Power and Functions of the CIR
i. Powers and duties of the CIR
ii. Power of the CIR to interpret tax laws and decide tax cases
c. Cases:
i. Philamlife vs. DOF, G.R. No. 210987, November 24, 2014, J. Velasco
ii. Banco De Oro vs. RP, 2015
iii. Clark Investors And Locators Association, Inc. vs SOF, G.R. No. 200670, July
06, 2015
