Practice question
A business pays income tax on earnings and a separate authorized VAT on taxable sales. It argues that two payments relating to the business necessarily establish direct duplicate taxation. Assume no independent defect. Which is sound?
- The different taxable subjects and tax character must be distinguished; two payments alone do not establish direct duplication
- Every pair of national taxes is automatically void
- All taxes on a business are legally one tax
- Only the accountant chooses the legal character
- Any invoice mentioning both proves duplication
Legal references
- City of Manila v. Coca-Cola Bottlers Philippines, Inc., G.R. No. 181845, August 4, 2009, main decision: https://lawphil.net/judjuris/juri2009/aug2009/gr_181845_2009.html
- Villanueva v. City of Iloilo, G.R. No. L-26521, December 28, 1968, main decision: https://lawphil.net/judjuris/juri1968/dec1968/gr_26521_1968.html
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