ChanRobles™ Virtual Law Library | chanrobles.com™  
Main Index Law Library Philippine Laws, Statutes & Codes Latest Legal Updates Philippine Legal Resources Significant Philippine Legal Resources Worldwide Legal Resources Philippine Supreme Court Decisions United States Jurisprudence
Prof. Joselito Guianan Chan's The Labor Code of the Philippines, Annotated Labor Standards & Social Legislation Volume I of a 3-Volume Series 2019 Edition (3rd Revised Edition)
 

 
Chan Robles Virtual Law Library
 









 

 
UNITED STATES SUPREME COURT JURISPRUDENCE
 

 
PHILIPPINE SUPREME COURT JURISPRUDENCE
 

   
May-1949 Jurisprudence                 

  • G.R. No. L-1674 May 9, 1949 - PEOPLE OF THE PHIL. v. PABLO SOMERA

    083 Phil 548

  • G.R. No. L-1765 May 9, 1949 - PEOPLE OF THE PHIL. v. MARIO TANDUG

    083 Phil 551

  • G.R. No. L-1881 May 9, 1949 - MANILA TERMINAL COMPANY v. LA CORTE DE RELACIONES INDUSTRIALES

    083 Phil 559

  • G.R. No. L-1512 May 12, 1949 - EL PUEBLO DE FILIPINAS v. FEDERICO

    083 Phil 569

  • G.R. No. L-1900 May 12, 1949 - PEOPLE OF THE PHIL. v. ALFREDO LACSON

    083 Phil 574

  • G.R. No. L-2064 May 12, 1949 - PEOPLE OF THE PHIL. v. ELIGIO TORRES

    083 Phil 595

  • G.R. No. L-1769 May 13, 1949 - PURITA PANAGUITON v. FLORENTINO PATUBO

    083 Phil 605

  • G.R. No. L-1833 May 13, 1949 - MEDARDO MUÑOZ v. EMILIO RILLORAZA

    083 Phil 609

  • G.R. No. L-792 May 14, 1949 - PEOPLE OF THE PHIL. v. E.C. CAÑADA

    083 Phil 612

  • G.R. No. L-1429 May 16, 1949 - PEOPLE OF THE PHIL. v. RICARDO AQUINO Y ABALOS

    083 Phil 614

  • G.R. No. L-1950 May 16, 1949 - LAO SENG HIAN v. NATIVIDAD ALMEDA LOPEZ

    083 Phil 617

  • G.R. No. L-2014 May 16, 1949 - PEOPLE OF THE PHIL. v. BENJAMIN Z. YELO

    083 Phil 618

  • G.R. No. L-1212 May 18, 1949 - EL PUEBLO DE FILIPINAS v. CELESTINO BASA Y OTROS

    083 Phil 622

  • G.R. No. L-1918 May 18, 1949 - PEDRO L. FLORES v. PERFECTO R. PALACIO

    083 Phil 626

  • G.R. No. L-2484 May 18, 1949 - LEE KO v. DIONISIO DE LEON

    083 Phil 628

  • G.R. No. L-2117 May 19, 1949 - PEOPLE OF THE PHIL. v. APOLONIO SOMBILON

    083 Phil 631

  • G.R. No. L-1471 May 20, 1949 - PEOPLE OF THE PHIL. v. JULIAN ORAZA

    083 Phil 633

  • G.R. No. L-1917 May 20, 1949 - CATALINO MAGLASANG v. CIRILO C. MACEREN

    083 Phil 637

  • G.R. No. L-2245 May 20, 1949 - AMBROSIO CARBUNGCO v. RAFAEL AMPARO

    083 Phil 638

  • G.R. No. L-2831 May 20, 1949 - BERNARDO TORRES v. MAMERTO S. RIBO

    083 Phil 642

  • G.R. No. L-432 May 23, 1949 - PEOPLE OF THE PHIL. v. IGNACIO CALINAWAN

    083 Phil 647

  • G.R. No. L-1795-6 May 23, 1949 - PEOPLE OF THE PHIL. v. PEDRO VALDEZ

    083 Phil 650

  • G.R. No. L-1989 May 23, 1949 - JOSE REYES y RAMIREZ v. EL TRIBUNAL DE APELACION

    083 Phil 658

  • G.R. No. L-2203 May 23, 1949 - SAN MIGUEL BREWERY v. LA CORTE DE RELACIONES INDUSTRIALES

    083 Phil 663

  • G.R. No. L-2431 May 23, 1949 - CEFERINO TAVORA v. PEDRO OFIANA

    083 Phil 672

  • G.R. No. 213 May 24, 1949 - GENEROSA A. DIA v. FINANCE & MINING INVESTMENT CORP.

    083 Phil 675

  • G.R. No. L-1700 May 24, 1949 - PEOPLE OF THE PHIL. v. LORENZO MINTU

    083 Phil 678

  • G.R. No. L-2004 May 24, 1949 - PABLO COTAOCO v. RAFAEL DINGLASAN

    083 Phil 681

  • G.R. No. L-2251 May 24, 1949 - EL PUEBLO DE FILIPINAS v. ELISA TANDAG

    083 Phil 683

  • G.R. No. L-1980 May 25, 1949 - CIPRIANO SEVILLA v. CEFERINO DE LOS SANTOS

    083 Phil 686

  • G.R. No. L-944 May 26, 1949 - PEOPLE OF THE PHIL. v. FAUSTO AVILA

    083 Phil 687

  • G.R. No. L-1823 May 26, 1949 - GERONIMO DE LOS REYES v. ARTEMIO ELEPAÑO

    083 Phil 691

  • G.R. No. L-1825 May 26, 1949 - EL PUEBLO DE FILIPINAS v. EUGENIO BERSIDA

    083 Phil 696

  • G.R. No. L-2022 May 26, 1949 - GUIA S. J0SE DE BAYER v. ERNESTO OPPEN

    083 Phil 700

  • G.R. No. L-2161 May 26, 1949 - PEOPLE OF THE PHIL. v. JAMES YOUNG

    083 Phil 702

  • G.R. No. L-2323 May 26, 1949 - M. A. ZARCAL v. S. HERRERO

    083 Phil 711

  • G.R. Nos. L-675 & L-676 May 27, 1949 - PEOPLE OF THE PHIL. v. NEMESIO LASTIMOSO

    083 Phil 714

  • G.R. No. L-1274 May 27, 1949 - PHIL. TRANSIT ASSN. v. TREASURER OF MANILA

    083 Phil 722

  • G.R. No. L-1394 May 27, 1949 - RAFAEL ROA YROSTORZA v. REPUBLIC OF THE PHIL.

    083 Phil 727

  • G.R. No. L-1861 May 27, 1949 - RIZAL SURETY AND INSURANCE CO. v. BIENVENIDO A. TAN

    083 Phil 732

  • G.R. No. L-1869 May 27, 1949 - JOSE PIO BARRETTO v. N. ALMEDA LOPEZ

    083 Phil 734

  • G.R. No. L-2300 May 27, 1949 - PEOPLE OF THE PHIL. v. MARCELINO TUMAOB

    083 Phil 738

  • G.R. No. L-2382 May 27, 1949 - PABLO S. RIVERA v. FRANCISCO ARELLANO

    083 Phil 744

  • G.R. No. L-1606 May 28, 1949 - IN RE: YEE BO MANN v. REPUBLIC OF THE PHIL.

    083 Phil 749

  • G.R. No. L-2309 May 28, 1949 - LOPE SARREAL v. SOTERO RODAS

    083 Phil 751

  • G.R. No. L-2518 May 28, 1949 - DONATA OLIVEROS DE TAN v. ENGRACIO FABRE

    083 Phil 755

  • G.R. No. L-2539 May 28, 1949 - JOSE P. MONSALE v. PAULINO M. NICO

    083 Phil 758

  • G.R. No. L-1511 May 30, 1949 - MIGUEL OJO v. JOSE V. JAMITO

    083 Phil 764

  • G.R. No. L-1550 May 30, 1949 - IN RE: FREDERICK EDWARD GILBERT ZUELLIG v. REPUBLIC OF THE PHIL.

    083 Phil 768

  • G.R. No. L-1609 May 30, 1949 - REMIGIO M. PEÑA v. FRANCISCO ARELLANO

    083 Phil 773

  • G.R. No. L-1686 May 30, 1949 - EL PUEBLO DE FILIPINAS v. SANTOS TOLEDO

    083 Phil 777

  • G.R. No. L-1723 May 30, 1949 - LUZ MARQUEZ DE SANDOVAL v. VICENTE SANTIAGO

    083 Phil 784

  • G.R. No. L-1978 May 30, 1949 - EL PUEBLO DE FILIPINAS v. ANTONIO ORCULLO Y OTROS

    083 Phil 787

  • G.R. No. L-1996 May 30, 1949 - PEOPLE OF THE PHIL. v. SALIP JULMAIN

    083 Phil 793

  • G.R. No. L-2031 May 30, 1949 - HERMOGENES C. LIM v. RESTITUTO L. CALAGUAS

    083 Phil 796

  • G.R. No. L-2069 May 30, 1949 - LUZON BROKERAGE CO. v. LUZON LABOR UNION

    083 Phil 801

  • G.R. No. L-2083 May 30, 1949 - PEOPLE OF THE PHIL. v. SALVADOR MALIG

    083 Phil 804

  • G.R. No. L-2098 May 30, 1949 - PIO MARQUEZ v. ARSENIO PRODIGALIDAD

    083 Phil 813

  • G.R. No. L-2099 May 30, 1949 - JOSE ONG v. BIENVENIDO A. TAN

    083 Phil 834

  • G.R. No. L-2130 May 30, 1949 - FRANCISCO SANCHEZ v. PEDRO SERRANO

    083 Phil 838

  • G.R. No. L-2132 May 30, 1949 - JUAN SAVINADA v. J. M. TUASON & CO.

    083 Phil 840

  • G.R. No. 49102 May 30, 1949 - W.C. OGAN v. BIBIANO L. MEER

    083 Phil 844

  • G.R. No. L-1104 May 31, 1949 - EASTERN THEATRICAL CO. v. VICTOR ALFONSO

    083 Phil 852

  • G.R. Nos. L-1264 & L-1265 May 31, 1949 - PEOPLE OF THE PHIL. v. TIMOTEO SAGARIO

    083 Phil 862

  • G.R. No. L-1271 May 31, 1949 - BENIGNO DEL RIO v. CARLOS PALANCA TANGUINLAY

    083 Phil 867

  • G.R. No. L-1281 May 31, 1949 - JOSEPH E. ICARD v. CITY COUNCIL OF BAGUIO

    083 Phil 870

  • G.R. No. L-1298 May 31, 1949 - PEOPLE OF THE PHIL. v. PEDRO SANTOS BALINGIT

    083 Phil 877

  • G.R. No. L-1299 May 31, 1949 - PEOPLE OF THE PHIL. v. JACOB J. LOEWINSOHN

    083 Phil 882

  • G.R. No. L-1827 May 31, 1949 - ALFREDO CATOLICO v. IRINEO RANJO

    083 Phil 885

  • G.R. No. L-1927 May 31, 1949 - CRISTOBAL ROÑO v. JOSE L. GOMEZ

    083 Phil 890

  • G.R. No. L-1952 May 31, 1949 - FRANCISCO R. VlLLAROMAN v. FLORENTINO J. TECHICO

    083 Phil 901

  • G.R. No. L-2108 May 31, 1949 - PAMPANGA BUS CO. v. LUIS G. ABLAZA

    083 Phil 905

  • G.R. No. L-2252 May 31, 1949 - PEOPLE OF THE PHIL. v. BARTOLOME BEDIA

    083 Phil 909

  • G.R. No. L-2253 May 31, 1949 - PEOPLE OF THE PHIL. v. SERVANDO MANIEGO

    083 Phil 916

  • G.R. No. L-2283 May 31, 1949 - MARINA TAYZON and FLORDELIZA G. ANGELES v. RAMON YCASIANO

    083 Phil 921

  • G.R. No. L-2326 May 31, 1949 - FERNANDO ALEJO v. MARIANO GARCHITORENA

    083 Phil 924

  • G.R. No. L-2351 May 31, 1949 - FRANCISCO ARGOS v. DOMINADOR VELOSO

    083 Phil 929

  • G.R. No. L-2377 May 31, 1949 - REPUBLIC OF THE PHIL. v. JUSTA G. VDA. DE GUIDO

    083 Phil 934

  • G.R. No. L-2450 May 31, 1949 - VERONICA RUPERTO v. CEFERINO FERNANDO

    083 Phil 943

  •  





     
     

    G.R. No. L-1274   May 27, 1949 - PHIL. TRANSIT ASSN. v. TREASURER OF MANILA<br /><br />083 Phil 722

     
    PHILIPPINE SUPREME COURT DECISIONS

    FIRST DIVISION

    [G.R. No. L-1274. May 27, 1949.]

    PHILIPPINE TRANSIT ASSOCIATION, Plaintiff-Appellant, v. THE TREASURER OF THE CITY OF MANILA and THE MUNICIPAL BOARD OF THE CITY OF MANILA, Defendants-Appellants.

    Gibbs, Gibbs & Chuidian, for Plaintiff-Appellant.

    City Fiscal Jose P. Bengzon and Assistant City Fiscal Julio Villamor, for Defendants-Appellants.

    SYLLABUS


    TAXATION; NAME GIVEN TO THE TAX BY LAW IS NOT CONTROLLING; RULE. — "The character of a tax as a property tax or a license or occupation tax must be determined by its incidents, and from the natural and legal effect of the language employed in the act or ordinance, and not by the name by which it is described, or by the mode adopted in fixing its amount. If it is clearly a property tax, it will be so regarded, even though nominally and in form it is a license or occupation tax; and, on the other hand, if the tax is levied upon persons on account of their business, will be construed as a license or occupation tax, even though it is graduated according to the property used in such business, or on the gross receipts of the business." (37 C. J., 172.)

    2. ID.; PROPERTY TAX AND LICENSE TAX, DISTINGUISHED. —." . . The differences between the license and the property tax are well established. The license represents the permission conceded to do an act, is not supposed to be imposed for revenue, and is in the main for police purposes. A property tax, on the other hand, is a tax in the ordinary sense, assessed according to the value of the property."cralaw virtua1aw library

    3. MUNICIPAL CORPORATION; TAXATION; CITY OF MANILA HAS NO POWER BY ORDINANCE TO IMPOSE LICENSE TAX ON MOTOR VEHICLES. — The tax sought to be levied in this case, though called a property tax, is in reality a license tax on motor vehicles and is, therefore, beyond the power of the municipal board of Manila to impose.


    D E C I S I O N


    REYES, J.:


    This is a petition for declaratory judgment to test the validity of an ordinance (No. 2939) enacted by the municipal board of the City of Manila on November 10. 1945, imposing a tax on motor vehicles.

    Plaintiff, an organization of public utility trucks operators, challenges the legality of the ordinance on the ground that it is beyond the power of the municipal board of the City of Manila to enact and offends against the rule on uniformity of taxation. The defendants reply that the ordinance imposes a property tax on motor vehicles which is expressly authorized by the city charter.

    Deciding the controversy, the Court of First Instance of Manila declared the ordinance illegal on the ground that the municipal board of the City of Manila is to authorized to impose a property tax on motor vehicles not regularly keep in said city. Not satisfied with this decision, both parties appealed to this Court. Plaintiff’s appeal merely takes exception to the finding that the tax imposed in he ordinance is a property tax.

    Taking notice of the fact that the City of Manila is expressly authorized by section 2444 (n) of the Revised Administrative Code, as amended, to levy a property tax on motor vehicles while on the other hand, it may not exact a license fee or tax for the operation or use of motor vehicles on public highways, since that is forbidden by section 70 b) of the Motor Vehicle Law, the vital question for determination is whether the tax imposed by the ordinance under consideration is a property tax or a license tax. Defendants maintain that it is a property tax authorized by the city charter. Plaintiff, on its part, contends that it is a license tax forbidden by section 70(b) of the Motor Vehicle Law. But plaintiff also adds that, even granting that the tax is a property tax, the ordinance imposing it would still be illegal, since it is repugnant to the principle of uniformity in taxation.

    The challenged ordinance calls the tax in question a property tax. But he name given to the tax by the law is, of course, not controlling where we have to determine what kind of a tax it really is. The rule is thus expressed in Corpus Juris:jgc:chanrobles.com.ph

    "The character of a tax as a property tax or a license or occupation tax must be determined by its incidents, and from the natural and legal effect of the language employed in the act or ordinance, and not by the name by which it is described, or by the mode adopted in fixing its amount. If it is clearly a property tax, it will be so regarded, even though nominally and in form it is a license or occupation tax; and, on the other hand, if the tax is levied upon persons on account of their business, it will be construed as a license or occupation tax, even though it is graduated according to the property used in such business, or on the gross receipts of the business." (37 C. J., 172.)

    There are various tests for determining the character of a tax. A tax not based on value is not a property tax, property taxes at present being invariably ad valorem (26 R. C. L., 38). A tax for the use of the streets is a privilege tax and not a property tax. (24 A. L. R. Anno., 937; Note a, 37 C. J. 172; Whaley v. Northern Road Impr. Dist., 240 S. W., 1, 24 A. L. R., 934; Terre Haute v. Kersey [1902] 159 Ind., 300; 64 N. E., 469; 95 Am. St. Rep., 296; 103 A. L. R. Anno., 98.) . A property tax is a direct burden on the rem. so an arbitrary tax on vehicles, where the burden is not laid upon the rem, but the license is exacted for the privilege of suing the vehicle upon the public highways, and thereby requiring the owner of the vehicle to contribute his just share of the expenses of upkeep, repair, and maintenance necessarily attendant upon the use of the highways, is held to be a license and not a property tax. (Windham v. State [1918], 16 Ala. App., 383; 77 So., 963; Writ of certiorari denied in [1918] 202 Ala., 677; 79 So., 877; 103 A. L. R., 99.)

    In the case of City of Manila v. Tanquintic, 58 Phil., 297, this Court had occasion to distinguish between property tax and license tax. The Court there said:jgc:chanrobles.com.ph

    ". . . The differences between the license and the property tax are well established. The license represents the permission conceded to do an act, is not supposed to be imposed for revenue, and is in the main for police purposes. A property tax, on the other hand, is a tax in the ordinary sense, assessed according to the value of the property."cralaw virtua1aw library

    With the above tests in mind, let us examine the provisions of the ordinance under consideration. Section 1 of the ordinance reads:jgc:chanrobles.com.ph

    "SECTION 1. No person shall regularly keep a motor vehicle in the City of Manila without first paying a property tax therefore. Such tax shall be paid to the City Treasurer who is authorized to collect the amounts indicated below:chanrob1es virtual 1aw library

    Annual Property

    Tax

    "Automobiles for private use:jgc:chanrobles.com.ph

    "Class A-From 1 to 5 passengers P 10.00

    "Class B-From 6 to 8 passengers 15.00

    "Automobiles for hire:jgc:chanrobles.com.ph

    "Class A-from 1 to 5 passengers 15.00

    "Class B-from 6 to 8 passengers 20.00

    "Trucks for private use:jgc:chanrobles.com.ph

    "Class A-from 1 to 2 tons 20.00

    "Class B-from 2 1/2 to 3 1/2 tons 25.00

    "Class C-from 4 to 5 tons 30.00

    "Trucks for hire:jgc:chanrobles.com.ph

    "Class A-from 1 to 2 tons 30.00

    "Class B-from from 2 1/2 to 3 1/2 tons 35.00

    "Class C-from 4 to 5 tons 40.00

    "Passengers buses:jgc:chanrobles.com.ph

    "Class A-from 1 to 20 passengers 40.00

    "Class B-from 21 to 30 passengers 45.00

    "Class C-from 31 or more 50.00

    "Auto Calesa 15.00

    "Trailers 5.00

    "Motorcycles 2.00

    "Provided, however, That all motor vehicles registered in the City of Manila shall be deemed motor vehicles regularly kept in said city; Provided, further, That motor vehicles regularly used by persons residing in the City of Manila, or by persons who have their permanent business or employment in said City, and those belonging to transportation cargoes and/or passengers from the province to this City and vice-versa with or without offices in Manila, shall be deemed regularly kept therein, even if such motor vehicles are not registered in said city: Provided, finally, That motor vehicles belonging to the Commonwealth of the Philippines, or to any of its political subdivision, U. S. High Commissioner and members of his staff, U. S. Army and Navy, diplomatic and consular representatives and officers of foreign powers and tourists during the first 90 days stay in Manila, shall be exempt from the tax herein provided."cralaw virtua1aw library

    It is to be noted from the above provisions that the tax imposed on motor vehicles is not fixed according to their value. The tax rate is based exclusively on the nature of their use (private or for hire) and on their passenger capacity. When it is recollected that the value of a motor vehicle does not depend upon those factors alone but also upon its make, age, and condition or state of preservation, the claim that this tax is an ad valorem tax, or a tax on property assessed according to its value, would be hard to accept. On the other hand, the factors taken into account in fixing the rate of the tax are those that would naturally be material in fixing a license fee for the use of the highways, for the tax rate appears to be based on the size or passenger capacity of the vehicle and the nature of the use to which it is devoted. It is, therefore, our opinion that the tax in question is not a property tax but a license on the streets of the City of Manila. We are strengthened in this conclusion by the fact that motor vehicles registered and kept out of the city are made subject to the tax if they are regularly used inside the city, and by the further fact that, under section 3 of the ordinance, the proceeds of the tax are set aside "exclusively for the repair, maintenance, and construction of streets and bridges of the City of Manila."cralaw virtua1aw library

    The tax in question being a license tax and not a property tax, the same is beyond the power of the municipal board of Manila to impose, so that the ordinance creating it must be declared illegal on that ground.

    But even supposing that the said tax is a property tax, the same would still be illegal, being in violation of section 2444(n) of the Revised Administrative Code, as amended, which expressly provides that automobiles and trucks not regularly kept in the City of Manila shall be exempt from the tax which the municipal board of said city may impose on motor vehicles. This prohibition may not be circumvented by merely declaring that motor vehicles used or apt to be used regularly in the City of Manila are to be considered as regularly kept therein even though in reality they are kept elsewhere. This the ordinance has sought to do by making the tax applicable to (1) motor vehicles not registered in the City of Manila but regularly used by persons residing therein, (2) motor vehicles not registered in Manila but regularly used by persons having their permanent business or employment in said city, and (3) motor vehicles belonging to public service operators engaged in transporting passengers and cargo between Manila and the provinces whether such public utilities have offices in Manila or not. It is not hard to conceive that in any of those cases, the motor vehicle taxed does not have to be kept regularly in Manila. The measure is a clear evasion of the prohibition imposed by the legislature and should, therefore, not be sanctioned.

    In view of the foregoing, the decision appealed from in so far as it declares ordinance No. 2939 of the municipal board of Manila illegal is affirmed, without special pronouncement as to costs.

    Moran, C.J., Paras, Feria, Pablo, Perfecto, Bengzon, Tuason and Montemayor;, JJ., concur.

    G.R. No. L-1274   May 27, 1949 - PHIL. TRANSIT ASSN. v. TREASURER OF MANILA<br /><br />083 Phil 722


    Back to Home | Back to Main

     

    QUICK SEARCH

    cralaw

       

    cralaw



     
      Copyright © ChanRobles Publishing Company Disclaimer | E-mail Restrictions
    ChanRobles™ Virtual Law Library | chanrobles.com™
     
    RED