Practice question
An LGU invokes Section 186 to levy a residual tax on an otherwise permissible untaxed subject. It conducts no prior public hearing and argues that unanimous sanggunian approval alone cures that omission. What is the correct response?
- Unanimity always substitutes for the statutory hearing
- The hearing is required only if one taxpayer is wealthy
- The residual-tax power expressly requires prior public hearing; a unanimous vote does not remove it
- Public hearing is constitutionally forbidden for revenue measures
- Any residual tax is automatically exempt from all procedure
Legal references
- 1987 Constitution, Article X, Section 5, local revenue and taxation powers: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/3/353
- Republic Act No. 7160, Local Government Code, Sections 129, 130, 132, 133, 186 and 187: https://lawphil.net/statutes/repacts/ra1991/ra_7160_1991.html
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