FORMALITIES OF ENTRY

The peoples constitution right to travel is inviolable . Accordingly, the government has the duty
to issue passport or any travel document to any citizen of the Philippine or individual who complies
with the requirement of the law. The right to travel may be impaired only when national security
,public safety, or right, only minimum requirements for application and issuance of passport and other
travel document shall be prescribed. Action such application and the issuance shall be expedited.

while the right to travel is guaranteed under our fundamental law, there is however, a regulatory
framework in place which one must comply with. One of the requirement necessary for travel,
specially it involves leaving the country are what we normally refer to as documents necessary for
complying with formalities of entry.

note that in one instance, Supreme Court had the occasion to define albeit briefly, the concept of
being a tourist.
 In Magat vs. Court of appeals, w/c involved robbery of cash and belongings of a tourist
, High court observed that the submission of the state that complaint is not a transient
visitor for his testimony shows clearly that he has been in Olongapo City in many times for
the past fifteen years is not well taken, the exact declaration of complainant having been a
number of times , that does not make him any less a transient , or one whose stay is of
uncertain duration or for a short time, or for a brief period only each time. There is no
question either that notwithstanding the number of times that he has been to this country ,
complaint is a tourist or one who travels from place to place for pleasure or culture.

in other case, the High Court , citing bernas, had again the opportunity to declare that
Article III, Section 6 of the 1987 constitution should be interpreted to mean that while the
liberty of travel may be impaired even without Court Order, the appropriate executive
officers or administrative authorities are not armed with arbitrary discretion to impose
limitations . They can impose limits only on the basis of national security , public safety, or
public health and as may be provided by law , a limitive phrase which did not appear in
the 1973 text. Apparently , the Supreme Court noted that the phraseology in the 1987
constitution was a reaction to the ban o international travel imposed under the previous
regime when there was a Travel Processing Center, which issued certificates of eligibility to
travel upon application or an interested party.
 It also stated in that same case that Article III, Section 6 of the 1987 constitution
should by no means be construed as delimiting the inherent power of the Courts to use all
means necessary to carry their orders into effect in criminal cases pending before them .
When by law jurisdiction is conferred on a Court or judicial officer, all auxiliary writs,
processes and other means necessary to carry it into effect may be employed by such Court
or officer.

Documentary Requirements for Travel

The Passport
document issued by ones country of origin that identifies the person as a citizen of the
issuing state. By Law , A passport means document issued by Philippine Government to its
citizen and Requesting other government to allow its citizen to pass safely and freely, and
give him/her all lawful aid and protection. It is issued only to person whose claim to
Philippine citizenship is doubtful.
Aside from being as a travel document, the Philippine passport is one of acceptable
means of identification, aside from drivers license from the LTO, as this issued by the DFA.
Upon the application of any qualified Filipino Citizen, the secretary of Foreign Affairs or
any of his authorized consular officer may issue passport in accordance with R.A. No. 8239.
 There are current types of passport The regular(maroon), the official(red) and the
diplomatic(blue).
General requirements in applying passport are as follow: a) Personal Appearance; b)
Confirmed appointment; c) for NCR based applicants, present your printed application
from downloaded from DFA Appointment System; d) Birth Certificate (BC) in Security
Paper (SECPA) issued by the Philippine Statistic Authority (PSA) or Certified True Copy
(CTC) of BC issued by the Local Civil Registrar (LCR) and duty authenticated by PSA.
Transcribed Birth Certificate from the LCR is required when entries in PSA Birth
Certificate are blurred or unreadable ; and e) Valid picture IDs and supporting documents to
prove identity.
Regular passport issued under R.A. No. 8239, shall be valid for a period of 5 years,
provided. The issuing authority may limit the period of validity to less than 5 years, in the
national economic interest or political stability of the country such restriction is necessary.
A new passport may be issued to replace one which validity has expired , the old passport
being returned to the holder after cancellation.
in lieu of passport , may be issued to the following , as prescribed under the R.A. No.
8239.
 a) A Filipino citizen returning to the Philippines who for one reason or another has lost
his/her passport or cannot be issued a regular passport;
b) A Filipino citizen being sent back to the Philippines;
c) An Alien spouse of a Filipino and their dependents who have not yet been naturalized
as a Filipino and who are traveling to the Philippines or is a permanent resident of the
Philippines;
d) Aliens permanently residing in the Philippines who are not able to obtain foreign
passport and other travel documents; and
e) A stateless person who is likewise a permanent resident , or a refugee granted such
status or asylum in the Philippines.

The Visa
issued by the country one wishes to go to.
in our country, a Philippine Visa is an endorsement made on a travel document by a
consular officer at a Philippine Embassy Or Consulate Abroad denoting that the visa application
has been properly examined and permitted to proceed to the Philippines and request permission
from the Philippine Immigration authorities at the ports of entries to enter the country.
The Visa holder is not guaranteed to be automatically admitted into the country , because the
admission of foreign nationals into the Philippines is a function of the immigration authorities
to the port of entry
Note that under the Tourism Act of 2009, provides for certain incentives including the grant
of visas to foreign investors. Further that the same law directs the DOT, the DFA and the DOJ to
develop a system of granting visas that encourages the arrival and longer stay of tourist in the
Philippines.
Non-Immigrants
The Philippine Immigration Act of 1940 provides that aliens departing from any place
outside the Philippines, who are otherwise admissible and who quality within one of the
following categories, may be admitted as non immigrants:
Non immigrants must present for admission into the Philippines unexpired passports or
official documents in the nature of passport issued by the governments of the countries to which
they owe allegiance or other travel documents showing their origin and identity as prescribed
by regulations and valid passport visas granted by diplomatic or consular officers, except that
such documents shall not be required of the following aliens. A) a child qualifying a
nonimmigrant, born subsequent to the issuance of the passport visa of an accompanying
parent, the visa not having expired; and b) a seaman qualifying as under Section 9 (c) of the
law. The form and manner of applying for a passport visa and the form and validity of such
passport visa shall be established by regulation.
 a passport visa shall not granted an application who fails to established satisfactory
his nonimmigrant status or whose entry into the Philippines would be contrary to the public
safety.
the condition set under the Philippine Immigration Act, may be admitted into the
Philippines immigration, termed quota immigrants not in excess of 50 of any one
nationality or without nationality for any one calendar year, except the following
immigrants , termed non-quota immigrants may be admitted without regard to such
numerical limitations.
immigrants must present for admission into the Philippines unexpired passport or
official documents in the nature of passport issued by the government countries to which
they owe allegiance or other travel documents showing their origin and identity ax
prescribed by regulations, born subsequent to the issuance of the immigration visa or a
reentry permit in case of children abroad during the temporary visit abroad of their
mothers as provided for under the law, the immigration visa or reentry permit not having
expired and returning residents, subject to these documentary requirements .
No child shall, be exempt from these documentary requirements unless the alleged
mother shall have proved her state of pregnancy before the consular officer in the case of
children born subsequent to the issuance of a valid immigration visa, or before the
immigration authority prior to her departure from reentry permits.
Persons with Dual Nationality
The nationality of immigrant possessing dual nationality may be that of either the two
countries regarding him as a citizen or subject if he applies for a visa in a third country ,
but if he applies for such visa within one of the two countries regarding him as a national,
his nationality shall be that of the country in which he shall file his application.
Under R.A. No. 9225 declared it the policy of the state that all Philippine citizens of
another country shall be deemed not to have lost their Philippine citizenship. regards for
applying passport , DFA requires to present the FF. A) Identification Certificate of
Retention or Re-acquisition; b) Oath of Allegiance; and c) Order of approval.
Exclusion from Entry
the following classes of aliens shall be excluded from entry into the Philippines.
1) Idiots or insane person and persons who have been insane
2) Persons afflicted with a loathsome or dangerous contagious disease, or epilepsy;
3) Persons who have been convicted of a crime involving moral turpitude;
4) Prostitute , or procurers, or persons coming to any immoral purposes;
5) Persons likely to become, public charge;
6) Paupers, vagrants, and beggars;
7) Persons who practice polygamy or who believe in or advocate the practice of polygamy
8) Persons who believe in or advocate the overthrow by force and violence of the
Government of the Philippines, or of constituted lawful authority, or who disbelieve in or
are opposed to organized government, or who advocate the assault or assassination of public
officials because of their office, or who advocate or teach principles, theories, ideas contrary
Constitution of the Philippines or advocate or teach the unlawful destruction of property, or
who are members of or affiliated with any organization entertaining or teaching such
doctrines;
9) Persons over 50 years of age ,physically capable of reading , who cannot read printed
matter in ordinary use in any language selected by the alien, but this provision shall not
apply to the grandfather, grandmother, father, mother, wife, husband, or child of a Philippine
citizen or of an alien lawfully resident in the Philippines;
10) Person who are members of family accompanying an excluded alien, unless in the
opinion of the Commissioner of Immigration no hardship would result from their admission;
11) Persons accompanying an excluded person who is helpless from mental or physical
disability or infancy, when protection or guardianship of such accompanying person
required by the excluded person, shall be determined by the commissioner of Immigration;
12) Children under 15 years of age , unaccompanied by or not coming parent ,except that any
such children may be admitted in the direction of the Commissioner of Immigration , if
otherwise admissible;
13) Except that Stowaways may be admitted in the direction of the commissioner of
Immigration , if Otherwise admissible;
14) Persons coming to perform unskilled manual labor in pursuance of a promise or offer of
employment , express or implied but this provision shall not apply to person bearing passport
visa authorized by law;
15) Persons who have been excluded or deported from the Philippines, but this provision may
be waived in the direction of the Commissioner of Immigration shall not exercise his
discretion in favor of aliens excluded for departed on the ground of conviction for any crime
involving moral turpitude or for any crime penalize under Section 45-46 of CA No. 613, or on
the ground of having engage hoarding , black-marketing profiteering unless such alien have
previously resided in the Philippines immediately before his exclusion or deporting of a
period of 10 years or more or married to native Filipino women;
16) Persons who have been removed from the Philippines at the expense of the government of
the Philippines , has indigent aliens, under the provision of Section 43 CA No. 613 and who
have not obtained the consent of the board of commissioners to apply for readmission ;
and
17) Persons not properly documented for admission as may be required .
Notwithstanding the provision of the law, the Commissioner of the Immigration , in
his discretion may permit to enter any alien properly documented , who is subject to
exclusion under this section, but who is : a) an alien lawfully resident in the Philippines
who is returning to temporary visit abroad ; and b) an alien applying for temporary
admission .
the purpose of determining aliens arriving in the Philippines belong to any classes
excluded by Immigration law , the period examining immigration officers may order
aliens detained on board the vessels bringing them may designate, such detention for a
sufficient length of time to enable the officers to determine whether they belong to an
excluded class and their removal to such other place to be at expense of the vessel bringing
them.
Deportation
Is the physical removal of an alien from the territorial jurisdiction of a country .
Involves expulsion and return of alien to his country of origin.
Expulsion is a police measure, having for its object the purging not the state of
obnoxious foreigners. It is preventive , not a penal process, and it can be substituted for
criminal prosecution and punishment by juridical procedure.
 deportation may be affected under clauses 2, 7, 8, 11 and 12 of paragraph (a) of
Section 37 of CA No. 613 , at any time after entry , but shall not be affected under any
clauses unless the arrest in the deportation proceeding is made within 5 years after the
cause of deportation arises. Deportation clauses 3 and 4 shall not affected if the court , or
judge thereof, when sentencing the alien shall recommend to the Commissioner of
Immigration that alien not be deported.
in any deportation proceeding involving the entry of an alien the burden of proof shall
be upon the alien to show that he entered the Philippines lawfully, and the time, place, and
manner such entry and for the purpose shall entitled to a statement of facts in connection
with his arrival as shown by any record in the custody of the Bureau of Immigration .
if the Deportation proceedings are instituted within 5 years after entry , unless
deportation is made by reason of causes which arose subsequent to the aliens entry, the
cost of deportation from port of deportation shall be at expense of the owner of vessel by
which the alien came; that is not practicable , in such case and in all other cases, the cost of
deportation be payable from appropriations available in the purpose.
Guidelines on Departure Formalities for International-Bound Passengers
Below are the revised guidelines on departure formalities for international bound
passengers in all airports and seaports in the Philippines. Pursuant to R.A. No. 9208known
as the Anti-trafficking in person Act of 2003 and implementing Rules and Regulations,
R.A. No. 8042, Known as the Migrant Workers and Overseas Filipinos Act of 1995, amended by R.A.
No. 10022vand other related laws. These guidelines provides definite parameters in strict enforcement of
immigration departure formalities intended for prevention of the trafficking in persons , illegal recruitment,
and other related offenses, hereby promulgated for strict implementation/compliance by all concerned:
Tourist travelers
intending to go abroad with tourist/temporary visitors visa shall be subjected to :
1.Primary Inspection During this , the Following documents shall be required : a) Visa when required and
Roundtrip ticket;
2.Secondary Inspection BI shall conduct inspection of a traveler, when deemed necessary, for purpose of
protecting vulnerable victims of human trafficking and illegal recruitment and other related offenses
through the assessment of the following circumstances : a) Age; educational attainment; financial
capability to travel . If not financially capable to travel, an authenticated affidavit of support, indicating
there in the relationship[ within the 4 th Civil degree of consanguinity or affinity; and an affidavit of
undertaking may likewise be entertained. The following shall automatically be subjected to secondary
inspection.
a) travelers without financial capacity to travel escorted by a foreigner who is not related;
b) Minor Travelling alone or accompanied by either parent or legal guardian without required
travel clearance from the Department of Social Worker and Development DSWD .
c) Repatriated irregular workers , in which case , travel may no allowed without clearance from
the IACAT (generate data);
d) Partners and spouses of foreign nationals intending to depart to meet and/or marry his/her
fianc without the CFO Guidance and Counselling certificate;
 e) passengers traveling to countries with existing deployment bans, alert levels and
travel advisories and those in possession of visa to the said countries; and
f) Passengers who stayed abroad for than 1 year during a previous departure from the
country as a tourist/temporary visitor , intending to depart for the second or
subsequent time .
Also , clarificatory question may be propounded relating to the above-mentioned
documents/ purpose by the Bureau of Immigration . Found to be misinterpreting the
purpose of his/her travel as tourist shall not be cleared for departure

Overseas Filipino Workers

Travelers under this classification shall present the following documents as validated
by the Labor Assistance Center (LAC): a) Passport; b) Visa; c)Airline/sea craft Tickets; d)
Overseas Employment Certificate (OEC). Should there be any discrepancy in the actual job
position/job title in the visa and in the Overseas Employment Certificate, travel may
nevertheless be allowed provided that the POEA through its LAC, has validated and
approved the variance based on the principals nature of the business, b) the recruitment
agency executes an Undertaking in Visa Usage; and c) The worker is aware of the Visa
discrepancy situation and has executed a Declaration of Awareness and Consent.
 The Visa Usage Undertaking (VUU), do strictly for household-based positions , otherwise ,
a traveler will not be cleared or departure and the aforementioned does not, and never apply to
Household Service workers (HSW). The visa category shall be confiscated for further
investigation and appropriate action.
Balik-Manggagawa/ Returning Workers
the following OFW fall under the category of Returning workers:
a) Worker on leave a worker who is on vacation or on leave from employment under a valid
and existing employment contract and who is returning to the same employer , regardless of any
change in jobsite, to finish the remaining unexpired portion of the contract.
b) Rehire a worker who was rehired by the same employer after finishing his/her contract and
who is returning to the same employer , regardless of a change in jobsite.
c)POLO registered worker a returning working whose employment contract was not processed
with the POEA but was subsequently verified and registered with the Philippine Overseas Labor
Office (POLO) in the Jobsite. Balik-manggagawa OFWs shall required to present the following :
a) Passport ; b) valid visa; c) airline/sea Craft ticket; d) OEC issued onsite by the POLO or
POEA.
In case of incomplete or questionable requirements the OFW shall be referred to the
POEA-LAC for further investigation and appropriate action. A OFW with a valid visa and
existing work contact who intends to go to other countries while on vacation need not get a
POEA travel exit clearance /OEC. Hence, he/she is considered a tourist and is not exempt from
travel tax and terminal fee but shall be allowed to travel.
 Special Travel Exit Clearance
pursuant to a memorandum of Agreement between POEA and BI, the following are
required to secure Special Travel Exit Clearance from the POEA.
a) PEZA registered companies sending their employees to South Korea for training
program with worker trainee visa ;
b) Seafarers who under employment of a Philippine shipping company who are assigned to
accompany conduct a vessel that is being imported by the said shipping company from a
foreign port to the Philippines, also referred to as conduction crew since they remain to
be under the employ of their local companies;
c) Filipino Seafarers who are required to undergo special training abroad as prescribed by
the prospective foreign employer .
d) Filipino workers and spouses who are covered by the work to Residence Policy , and
who applied for immigration to New Zealand with no prearranged employment with an
employer prior to their departure ; and
e) Filipino workers required to undergo final interview or qualifying examination abroad as
prescribed by the prospective foreign employer.
Immigrant or Permanent visa
1.Filipino immigrants/residence visa or permit holders/ permanent resident card holders-
Travelers falling under the visa category shall present the following document for primary
inspection ; a) Passport; b)Permanent residence visa/ permanent residence card; c) CFO
Emigrant registration sticker; d) Airline/Sea Craft ticket.
2.Filipino Spouses and other partner of foreign nationals - Travelers falling under the visa
category shall present the following document for primary inspection; a) Passport;
b)Permanent residence permit/immigrant visa/ permanent residence card; c) Guidance and
Counseling certificate ; d) Airline/Sea Craft ticket.
3.Filipino J1 Visa Holders or Exchange visitor Program Participants Departing for the USA-
Travelers falling under this visa category shall present the following documents for primary
inspection: a) Valid Passport; b) Valid J1 visa for USA
Special Cases
The following requirements are required by the Guidance for special cases in travelling
abroad as follows:
a) Final Interview- Workers to undergo final interview / qualifying exam as required by their
prospective employers shall present the Philippines Overseas Employment Administrations
(POEA) Special Exit Clearance. In the absence of thereof, passengers shall not be cleared for
departure;
b)OJT- Travelers intending to depart another country for the purpose of on-the-job training
shall present the following additional documents: i. School certification on the need for on-
the-job training, ii. Acceptance by the host company and, iii. Certificate of Overseas
Training by the Commission on Higher Education (CHED)
c). Compassionate Visits- For relative requesting for compassionate visit to an irregular
worker abroad, certification from Dept. of Foreign Affairs (DFA-OUMWA) must be
secured.
d). Immediate Family Members of Overseas Filipino Workers- Those travelling with a
tourist/ temporary visitors shall allowed without need further inspection, they stablish
relationship within the first civil degree of consanguinity or affinity with the OFW and
provided they present photo copies of the following documents of OFW: a). Passport; b).
Visa: c). Overseas Employment Certification; d).NSO Authenticated Birth/ marriage
certificate, as the case may be ;
e). Trainings- Passengers who intended to depart for intra-company trainings abroad for
less than 3 months shall present an invitation in the host company reflecting the duration,
entitlements, travel and other incidental expenses; while those exceeding 3 moths present
corresponding Trainorship Agreement containing all data .
General Guidelines
The guidelines provide that travelers presenting fake/fraudulent passport, documents,
immigration stamp shall be confiscated by the BI without prejudice to any other action may be
taken against said passenger. It shall turn-over the confiscated passport and other fake/fraudulent
documents to the DOJ-IACAT for appropriate action. As to passenger who were not cleared for
departure by reason of vulnerability to trafficking, illegal recruitment, or other related crimes,
they shall be immediately turned over by the BI to the IACAT Task Force or to designated
agencies for mandatory services.
Note that the Guidelines emphasize that immigration Officers, in the performance of their
functions and duties, shall adhere to the principles of Courtesy, Accountability, Responsibility,
Efficiency and Service (BI C.A.R.E.S.). The Bureau shall, likewise, institute a mechanism for
immediate feedback and redress of grievances of passengers. Finally, all agencies and Task
Force designated for the purpose of combating trafficking persons, illegal recruitment, an other
related crimes are hereby directed to revise existing procedures and systems to complements
these guidelines to be submitted to the IACAT and PTFAIR for review and evaluation
Trafficking in Persons
finally this also the opportune time to discuss the problem of human trafficking , the purpose of
exploitation such as being subjected to forced slavery.
criminal act necessitates the physical movement of the people across the borders, more then
not , dis guised as tourist. It is legally defined as the recruitment , obtaining, hiring, providing,
offering ,transportation, transfer, maintaining , harboring, , or receipt of person with or without
the victims consent or knowledge across national borders by means of threat , or use force,
Or other forms of coercion, abduction, fraud, deception, abuse of power , taking advantage
of vulnerability of the person , giving , receiving of payments , benefits to achieve the
consent of a person having control over another person for purpose of exploitation which
includes at a minimum, the exploitation or prostitution of other forms of sexual
exploitation, forced labor or services, slavery , servitude or the removal or sale of organs.
One of the criminal acts under this activity is termed by the law as sex tourism,
referring to a program organized by travel and tourism-related establishment and
individuals which consist of tourism packages or activities, utilizing and offers escort and
sexual service offered during rest and recreation periods for members of the military .
The enactment of R.A. No. 9208 and its expansion by R.A. No. 10364 is the
government way of addressing this problem premised on the policy values the dignity of
every human person and guarantees the respect of individual rights.
In pursuit of the policy, the law mandates that the government shall give highest
priority to enactment of measures and development of programs that will promote human
dignity , protect the people from any threat violence and exploitation, eliminate trafficking,
and mitigate pressures for involuntary migration and servitude , not only support trafficked
person importantly , to ensure their recovery, rehabilitation and reintegration into the
mainstream of society.
Moreover the la, as amended, declared it national policy to recognize the equal rights
and inherent human dignity of women and men enshrined in the United Nation Universal
Declaration on Human Rights . United Nations Convention on the Elimination of all Forms
Of Discrimination against Women , United Nation Convention on the Rights of the Child ,
United Nations Convention Against Transnational Organized Crime including its Protocol
to Prevent , Suppress and Punish Trafficking in Persons, Especially Women and Children
and all other relevant universally accepted human rights and other international
conventions to which the Philippines is a signatory.
TAXATION AND CUSTOMS
Plato once remarked that when there is an income tax, the just man will pay more
and the unjust less on the same amount of income. In the domestic front , our Supreme
Court through the lyrical eloquence of Justice Isagani Cruz declared that taxes are the life
blood of the government and so should be collected without unnecessary hindrance.
Needles to say, there must be an efficient mechanism to ensure that the right amount of tax
is collected from the people for the continued operation of government.
Tax burdens are not to be imposed , nor presumed to be imposed beyond what the
statute expressly and clearly imports, tax statutes being construed strictissimi juris against
the government. For some, especially for common man on the street- a tax is something we
pay, be it willingly or grudgingly, good or bad government and taxation is simply the
mechanism or the means by which government collects it.
A tax, according to one Philippine authority , is the money paid to the government in
return for its service and protection. It also defined as a sum of money or, in the case of
taxes in kind , a demand for other forms of contribution , made by the government on those
subject to its authority. In an early case , the Supreme Court defined tax as a forced charge;
Imposition or contribution in no way dependent upon the will or contractual assent, express
or implied , the person taxed.

Kinds of Taxes
Travel Tax
Presidential Decree No. 1183, as amended by PD No. 1205, Batas Pambansa Blg. 38
and the Executive Order No. 283 , requires Filipinos and other nationals traveling to other
countries to pay travel tax before departure from the Philippines , irrespective of where the
air ticket was issued . The following persons, are exempted from paying said travel tax :
a) Overseas Filipino Workers;
b) Filipino Permanent Residents abroad with less than a year stay in the country;
c) Infants;
d) Foreign diplomatic representatives;
e) UN employees or its agent;
f) American military personnel;
g) International carrier crew;
h) Philippine Foreign service personnel assigned abroad and their dependents;
i) Philippine government officials and employees on official travel;
j) Grantees of foreign government funded trips;
k) Students with approve scholarships;
l) Personnel of Philippine officer of multinational companies not engaged in business in
the Philippines and their dependents ; and
m) Those authorized by the President for reason of national interest.
The TIEZA the principal agency responsible for the timely collection of travel taxes .
Amounts to be collected by the TIEZA shall be distributed in the manner provided for the
under the tourism Act of 2009, provided, that the National Government look alternative
funding sources for programs funded by the travel tax in the event of phase out of travel
tax collection following international agreements.
Income Tax
income is the flow of services rendered by a fund of capital in relation to such fund
through a period of time.
In terms of taxation , the NIRC defines in income tax as a imposed upon the net
income received during each taxable year from all sources by an individual or a
corporation . In earlier case decided by the Supreme Court , it held that an income tax was
a tax on the yearly profits arising from property , professions, trades and offices. Under the
R.A. No. 8424, known as the Tax Reform Act of 1997. income defined as the amount of
money coming to a person or corporation within a specified time , whether as payment for
 of a person or corporation in no sense constitutes the income specified in the revenue
law .
Donors Tax
Donation in an act of liberality whereby a person dispose gratuitously of a thing or right
in favor of another who accepts it. As a mode of acquiring ownership, donation from the
donor result in an effective transfer of tittle over the property from the donor to the donee ,
and is perfected from the moment the donor knows of the acceptance by the done, provided
the donee is not disqualified or prohibited by law from accepting the donation .
thus, the donors tax is an imposition on a gift anchored on the gratuitous transfers of
property between 2 or more persons who are living at the time of the transfer in trust or
otherwise , direct or indirect , real or personal, tangible or intangible . This is based on Sec.
98 to Sec. 104 of the National Internal Revenue Code as the further implemented by BIR RR
No. 2-2003 and RMO No. 1-98.
Excise Tax
the current definition of an excise tax is levied on a specific article rather than one upon
the performance , carrying on, or the exercise of an activity. Starting in 1986 , excise taxes in
this jurisdiction refer exclusively to specific or ad valorem taxes , imposed under the
National Internal revenue Code (NIRC).
these are the taxes imposed on certain specific goods or articles manufactured or
produced in the Philippines for domestic sale consumption or for any other disposition and
to things imported into the Philippines .
 Value Added-Tax
VAT is a form of sales tax. In other words, it is an imposition on consumption levied
on the sale .barter , exchange or lease of goods or properties and services and on
importation of goods.
It is a tax on consumption expressed as a percentage of the value added to goods or
services purchased by the producer or taxpayer .
Percentage Tax
is a business tax imposed on persons who sell or lease goods, properties or services in
the course of trade or business who are not VAT- registered. The VAT is an indirect tax and
can be passed on the buyer. The franchise tax , is a percentage tax imposed only on
franchise holders. It is imposed under Section 199 of the Tax Code and is a direct liability
of the franchise grantee .
Documentary Stamp Tax
is an taxon documents, instruments, loan agreements, and papers evidencing the
acceptance , assignment, sale or transfer of an obligation, right or property incident thereto.
The documentary stamp taxes must be paid upon the issuance of such instruments, without
regard to whether the contracts which gave rise to them are rescissible , void, voidable, or
unenforceable.
This based on Sec. 17 to Sec. 201 of the National Internal Revenue Code. That the Sec. 173
of the NIRC provides that upon documents , instruments, loan agreements and papers,
and upon acceptances, assignments, sales and transfers of the obligation , right or property
incident thereto, there shall be levied, collected and paid for, and in respect of the
transaction so had or accomplished, the corresponding documentary stamp taxes
prescribed in the following sections of this tittle , by the person making , signing , issuing,
accepting , or transferring the same wherever the document is made , when the obligation
or right arises from Philippine sources or the property is situated in the Philippines, and
the same time such act is done or transaction had. This provision provides that one party to
the taxable document enjoys exemption from the tax herein imposed , the other party who
is not exempt shall be the one directly liable for the tax.
Tariffs and Customs
While the Constitution indeed mandates a bias in favor of Filipino goods, services, labor
and enterprises, at the same time, it recognizes the need for business exchange with the rate
of the world on the bias of equality and reciprocity and limits protection of Filipino
enterprises only against foreign competition and trade practices that are unfair. In other
words, the Constitution did not intend to pursue an isolationist policy. It did not shut out
foreign investments, good and services in the development of the Philippine economy.
While the Constitution does not encourage the unlimited entry of foreign goods, services
and investments into the country., it does not prohibit then either. In fact, it allows an
exchange on the basis of equality and reciprocity, frowning only on foreign competition
that is unfair.
In our jurisdiction, customs laws regulate the important of any goods,
merchandise or product to be use in any tourism-related activity.
Note that the term customs laws includes not only provision of the Tariff and
Customs Code but also all other law and any regulation made pursuant thereto
that is subject to enforcement by the Bureau of Customs or otherwise subject to
its jurisdiction and articles im-ported in violation of Bangko Sentral circulars
have the status of merchandise of prohibited importation
In Pacis vs Pamaran, the High Court held that The Code authorizes persons
having police authority under Section 2203 of the Tariff and Customs Code to
enter, pass through or search any land, enclosure, warehouse, store or building,
not being a dwelling house; and also to inspect, search and examine any vessel
or aircraft and any trunk, package, box or envelope or any person on board, or
stop and search and examine any vehicle, beast or person suspected of holding
or conveying any dutiable or prohibited article introduced into the Philippines
contrary to law, without mentioning the need of a search warrant in said case
According to the Teriff
Exemption
Taxes are the lifeblood of the nation, therefore statutes that allow exemptions are construed
strictly against the grantee and liberally in favor of the government.
Note that there are several entries that have been granted tax exemptions or the power to
grant exemptions. Some of the entries that enjoy such privilege, are as follows:

a) The Intramuros Administration in consultation with the Secretary of Finance, may

extend discounts on real property assessments situated within Intramuros, so as to encourage
the private sector to engage into construction of duly approved facilities. Such incentives of
existing building that conform to the Administrations architectural specification.
b) The Duty Free Philippines Consistent with the nature if its operations and primary
function to operate as a tax and duty free merchandising system, and to enable it to complete
in the international tax and duty free market, DFPC shall be entitled to exemption from the
following: Duties and Taxes, including excise and VAT, relative to the importation of
merchandise for sale; Local taxes and fees imposed by the LGUs; and Corporate income
taxation.
c) ECOZONES as regards fiscal incentives, the law provides that business establishments
operating within the ECOZONES shall be entitled to those provided for under PD NO. 66, the
law creating the Export Processing Zone Authority, or those provided under Book VI of EO
No. 226. otherwise known as the Omnibus Investments Code of 1987.
Furthermore, tax credits for exporters using local materials as Inputs shall enjoy the same
benefits provided for in the Export Development Act of 1994. the law provides that except
for real property taxes on land owned by developers, no taxes, local and national, shall be
imposed on business establishments operating within the ECOZONE. In lieu thereof, 5% of
the gross income earned by all business enterprises within the ECOZONE shall be paid and
remitted as follows: a) 3% to the national government; b) 2% which shall be directly
remitted by the business establishments to the treasurers office of the municipality or city
where the enterprise is located.
d) The National Parks Development Committee and the Nayong Pilipino Foundation Any
restoration activity undertaken by the NPDC or the NPF may be entitled to a tax deduction
equivalent to the full cost of the restoration activity directly incurred in accordance with
the provision of the National Internal Revenue Code, as a amended.
e) Tourism Promotion Board Notwithstanding any provision of existing laws, decrees,
executive orders to the contrary, it shall be exempt from the payment of corporate income
tax, as provide under the National Internal Revenue Code (NIRC) of 1997, as amended
f) The TIEZA Notwithstanding nay provision od existing laws, decrees, executive orders
to contrary, shall be exempt from the payment of corporate income tax, as provided under
the NIRC.
g) The National Historical Commission- The provision of any general or special law to the
contrary notwithstanding: it shall be exempt from all taxes on its income; All donations in
any form to the NHCP shall be exempt from the donors tax and the same shall be
considered as allowable deduction from the gross income in the computation of the income
tax of the donor; in accordance with the provision of Republic Act No. 8424, otherwise
known as the National Internal Revenue Code of 1997, as amended; and Importation of
scientific and materials for the use in the conservation or preservation work of the NHCP
and duly certified by the Board, shall be exempt from customs.
Taxes are what we pay for civilized society, or are the lifeblood of the nation.
The law frowns against exemption fro taxation and statutes granting tax exemption are thus
construed strictissimi juris against the taxpayer and liberally in favor of the taxing
authority.
The law does not look with favor on tax exemption and that he who would seek to be thus
privileged must justify it by words too plain to be mistaken and too categorical to be
misinterpreted.