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October 13, 2020
Consider the following Revenue = 1000, implicit cost = 200, explicit cost = 800. Bases on this information, Which of the statements is true?
October 13, 2020
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INCOME TAXATION IN THE PHILIPPINES (Preliminary) _______ meaning that tax laws are not applicable to the property of foreign government.


  1. _______ meaning that tax laws are not applicable to the property of foreign government.
  2. _______ It is the courteous recognition, friendly agreement, interaction and respect accorded by one nation to the laws and institutions of another.
  3. _______ The producer absorbs payment of tax to reduce prices and to maintain market share.
  4. _______ Grant of immunity to particular persons or corporation from a particular class of tax.
  5. _______ The state cannot be taxed without its consent.
  6. _______ Limit the exercise of taxation as prescribed in the constitution.
  7. _______ Exists where the state can still exercise its taxing power over its citizens outside of its territory.
  8. _______ Means that tax laws and their implementation must be fair, just, reasonable, and proportionate to one’s ability to pay.


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1) Enumerate the two reasons that justify the importance of taxation

2) Enumerate at least 5 Inherent characteristics of a tax.

3) Enumerate and describe the two ways to escape taxation


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