Topic 1: THE EVOLUTION OF THE PHILIPPINE Preamble

CONSTITUTION
• The separation of the Philippines from the
What is Constitution? Spanish monarchy and their formation into an
independent state with its own government
called the Philippine Republic has been the end
sought by the Revolution in the existing war,
begun on the 24th of August, 1896; people,
interpreting faithfully their desires and
ambitions, we the representatives of the
Revolution, in a meeting at Biak-na-Bato,
2 Types of Constitution November 1, 1897, unanimously adopted the
following articles for the Constitution of the
Written Unwritten State.
Systematically
Not codified Supreme Council
codified
Enacted Evolved • President
Constitution is • Vice-President
Parliament is supreme
supreme • Secretary of War
Ex. USA, Philippines Ex. UK, Saudi Arabia • Secretary of Treasury
The Truce

DEFINITION OF TERMS • Pedro A. Paterno mediated between the

Filipinos and the Spaniards.
 Ratification - To make (a treaty, agreement,
etc.) official by signing it or voting for it. • November 18, 1897-The Truce of Biyak-na-Bato
 Plebiscite - A vote by which the people of a was signed by Paterno and Primo de Rivera.
country or region express their opinion for or
against an important proposal. • December 14, 1897- The second document
 Amendment - A change in the words or known as “Programme” was signed by both
meaning of a law or document (such as a parties.
constitution.
December 15, the last document of the Truce was
Charter Change (Cha-Cha) signed. The Truce provided, among other things:

1. That Aguinaldo and his companions would go

into voluntary exile abroad;
2. That Primo de Rivera would pay the sum of
P800,000 to the rebels in three installments:
 P400,000 to Aguinaldo upon his
departure from Biyak-na-Bato
 P200,000 when the arms surrendered
by the revolutionists
 P200,000 when the Te Deum was sung
and general amnesty proclaimed by the
governor.
3. That Primo de Rivera would pay the additional
sum of P900,000 to the families of the Non-
combatant Filipinos who suffered during the
armed conflict.
1897 BIAC-NA-BATO CONSTITUTION
The Failure of the Truce
• Prepared by Felix Ferrer and Isabelo Artacho,
who copied, almost word for word, the Cuban • Suspicions aroused between the two parties.
constitution of Jimaguayu • The result was that Periodic clashes occurred
• It was signed on November 1, 1897 between the Filipinos and the Spaniards.
Started in mid-February and continued until
 Spanish power was destroyed by the combined  Served as the Philippine “Constitution” from
Filipino-American forces a few months later. 1902 to 1916

CONSTITUTION OF MAKABULOS

• General Francisco Makabulos of Tarlac,

established the Central Executive Committee.

• It provided an executive committee composed

of :

• The president
• Vice-President
• Secretary of Interior
• Secretary of War P.O.A 1902 created the Following:
• Secretary of Treasury
• Spencer Pratt persuaded Aguinaldo to  Bicameral Philippine Legislature
cooperate with George Dewey o The First Philippine Legislature was
inaugurated at the Manila Grand Opera
1899 MALOLOS CONSTITUTION House.
o It is consisted of an appointed
 November 29, 1898 - Approved by the Malolos Philippine Commission (Upper house)
Congress and the Philippine Assembly (Lower
 December 1, 1898 - Pres. Aguinaldo returned house)
the draft to the Congress for amendments
which they refused. Bicameral Philippine Legislature
 December 23, 1898 - Approved by Pres. Philippine
Philippine Assembly
Aguinaldo Commission
 January 20, 1899 - Adopted by the Malolos Elected officials (July
Congress Appointed by the 30, 1907 First
 January 21, 1899 - Promulgated by Pres. US President. Philippine Assembly
Aguinaldo. Nationwide election )
 It created a republican state- popular and Inaugurated on Oct. 16,
representative democracy composed of three 1907 with Sergio
distinct branches: the executive, the legislative Osmena as Speaker,
and the judicial. Governor General Manuel Quezon as
o LEGISLATIVE POWERS - Exercised by Majority leader and
the Assembly of Representatives Vicente Singson as
composed of elected delegates. Created minority leader
a permanent commission Schurman
Composed of 81
o EXECUTIVE POWERS - Vested in the Commission and
members
President of the Republic, elected by Taft Commission
the Assembly of Representatives
o JUDICIAL POWERS - Vested in the Chief
Schurman Commission (Jan. 20, 1899)
Justice of the Supreme Court to be
elected by the Assembly of  First Phil. Commission
Representatives with the concurrence  Appointed by US Pres. Mckinley
of the President and the Cabinet.
 A five-person group headed by Dr. Jacob
THE PHILIPPINE ORGANIC Schurman
ACT OF 1902 AKA PHILIPPINE BILL OF 1902 / COOPER  To investigate conditions in the islands and
ACT make recommendations.

 Congressman Henry A. Cooper authored the

Philippine Bill of 1902.
Taft Commission (March 16, 1902)
 Enacted into law by the United States Congress
on July 1, 1902  2nd Phil. Commission
 Appointed by US Pres.
  Headed by William Howard Taft Executive – President and Vice President
 Granted legislative as well as limited executive
Legislative – National Assembly
powers.
Judiciary – Chief Justice and 10 associates Justices
THE JONES LAW OF 1916
1943 CONSTITUTION
• an act to declare the purpose of the people of
the united states as to the future political status
of the people of the Philippine islands, and to
provide a more autonomous government for
those islands.

• Also known as the Philippine Autonomy Act

• It replaced the P.O.A of 1902, acted as the

Philippine Constitution from its enactment until
1934

1973 CONSTITUTION

• September 25, 1972, the Constitutional

Convention convened to frame a new
constitution to replace that of 1935.

• The General Assembly or Kapulungan met on

January 10 to 10, 1973 to consider the
provisions of the new charter

3 questions were submitted to the Kapulungan

 “Do you approve of the Citizens Assembly as a

TYDINGS MCDUFFIE ACT way of Popular government to decide issues
affecting our people?”
• Also known as The Philippine Independence
Act, enacted March 24, 1934, is a US Federal  “Do you approve of the new Constitution?”
law that established the process for the  “Do you want a plebiscite to be called to ratify
Philippines to become an independent country the new Constitution?”
after a 10-year transition period. 1973 Constitution
1935 CONSTITUTION
 The taking into effect of the new Constitution
• July 10, 1934, The Filipinos elected 202 resulted in:
delegates to the Constitutional Convention. o The official abolition of the legislative
body
• July 30, 1934, the Convention was inaugurated o The exercised by President Marcos of
with Claro M. Recto as President the powers of the President and of the
Prime Minister
• January 31, 1935, the draft of the Constitution
o The change of the form of government
was approved with amendments. Written in
from Presidential to parliamentary
English and Spanish.
o The exercise by the President of the
• February , the CON-CON approved the power to call the interim Assembly.
Constitution by a vote of 177 in favor.
1986 CONSTITUTION
• March 23, 1935, President Franklin Roosevelt
• Freedom Constitution
approved the Constitution
• Corazon Aquino, issued Proclamation No. 3 on
• May 14, 1935, The Filipinos approved the
March 25, 1896 which abrogated many of the
Constitution.
 provisions of the then 1973 Constitution Topic 2: AGRARIAN REFORM AND LEGISLATION
adopted during the Marcos regime IN THE PHILIPPINES

• The Philippines is a republic with a presidential Agrarian reform

form of government.
 is the redistribution of the agricultural
Republic - a state in which supreme power is held by resources of a country
the people and their elected representatives, and which  Agrarian reform is also an act to improve and
has an elected or nominated president rather than a remedy the defects in the relations among men
monarch. with respect to their rights in land

Polybus ( 220-146BC) Pre-Spanish Era

 Greek Historian • No system of Land ownership

 Republica – Res(‘Thing or Affair’) and Publica
• The social system determined the land system.
(Pertains to the state or public)
• Population was generally sparse, located mainly
Monarcy – king/monarch, tyranny
on the coasts and rivers, and there is no report
Aristocracy – wealthiest class, oligarchy of large farms or production of crops for long
distance trade. (Fegan 1989)
Democracy – the people, ochlocracy
Spanish Era

DEVELOPMENT OF TENANCY UNDER SPAIN

 The initial Spanish policy was to recognize all

lands of the Philippines as part of the public
domain regardless of local customs.
 The crown was at liberty to parcel out huge
tracts of Philippine land(Incl. resources and
inhabitants) Given as rewards to loyal civilians
and military servants

ENCOMIENDA SYSYTEM
1987 CONSTITUTION
 Encomiendas were introduced to the
• A fifty-member Constitutional Commission was Philippines when Legaspi (in compliance with
appointed for the purpose of drafting a new the decree of King Philip II,1558), distribute the
Constitutition to replace the 1973 Constitution lands in Cebu to loyal subjects.
promulgated by Marcos.  It was the subdivision of the Philippines in order
to facilitate the pacification campaign.
• February 2, 1987, it was submitted to the
Filipinoeople in a Plebiscite. 17,059,495 Encomienda
approved the new Constitution versus the 5,
 from the word Encomendar(Spanish), "to
058, 714 who voted against it.
entrust"
 Another revenue-getting institution introduced
to the Philippines via Mexico.
 It was a grant from the Spanish crown to a
meritorious Spaniard to exercise control over a
specific place including its inhabitants.
 It is not a land grant, but a favor from the King
under a Spaniard called Encomendero.

Encomendero

 given the right to collect taxes or tributes.

 required to perform duties:
o Protection of natives
 o Convert of natives to Christianity Spanish Era
o Promote education
 Most Encomenderos committed abuses  Opening of the colony to exports of tropical
agricultural products toward the late 18th
(affected peace and order).
century.
RISE OF THE CACIQUE CLASS  This was induced by the decline of Galleon
trade, the opening of new shipping routes with
 In place of the Encomiendas, the Spaniards improved shipping, and the example of British
began to group several Barangays together into
and Dutch India companies.
administrative units, which they termed
"pueblos" and "municipios". Effects of foreign demands over tropical agricultural
 Barangay continued to be ruled be Datus, who products.
became known as "Cabeza de Barangay" or
"Barrio Tinientes".  Monastic orders lease their idle or pasture lands
to agricultural entrepreneurs/middlemen
 The pueblo or municipio is governed by the
(inquilino) who in turned sub-rented the lands
"gobernadorcillo"
to share tenants
 The "Cabezas" and "gobernadorcillo" makes up
 Thus by the end of the 19th century, most of
the Cacique class.
the basis of the present day elite in the
 Filipino cacique class intermarried with the
Philippines had been established, coming from
Spaniards, giving a mestizo class.
two original sources: educated Chinese and
 Cabezas and Gobernadorcillos gained more Spanish mestizos, on the one hand, and
stature in the spanish officialdom (civil and cacique, traditional elite who were descendants
ecclesiastical) of datu-turned-colonial administrators. (Putzel
 Cacique was given the perogative of collecting 1992)
taxes too, which gave them great power and did
American Era
not help to endear them to the people.
 As an early land reform attempt, the US
 Caciquism an institution became deep-rooted in
administration purchased about 90% of Friar
the Philippine soil and was the for runner of
Estates, for $7 million in 1905, intending to re-
many present day agricultural problems.
distribute the estate to 60,000 share tenants
Spanish Era  Most of these lands were purchased by the
landed oligarchy and inquilinos, rather than by
 Introduction of the notion of private property
landless tenants. (Hayami and Kikuchi
rights on land.
1982,Putzel 1992)
 All lands except those officially proved to be
 Land Titling introduced in 1902 created great
private or communal possessions belonged to
windows of opportunity for land-grabbing by
the Spanish crown.
the same group of elite.
Conflicts over land ownership  Finally, the access to the U. S. market under the
American colonial rule provided additional
 The Spanish government issued the Royal economic opportunities for the landowning
Decree of 1894 (The Maura Law) which granted Filipino elite.
land holders 1 year in which to secure legal title
to their land or suffer its forfeiture. Agrarian reform and Legislation
 The peasants were slow to respond while the
Under Spanish Rule
caciques reacted quickly and took advantage of
the peasants.

Early rebellions

 Enforced labor,
 the relatively heavy tax
 the required contributions to the church and
officials were the principal
Under American Rule o Main loophole of the reform as it was
used by landlords to circumvent the
 Purchase of Friar Lands law.
 Homesteading
 Rice Share Tenancy Act of 1933 R.A 3844 amended R.A no. 6839

The Sakdalista Movement  Abolishion of personal cultivation and

conversion to residential subdivision as grounds
Japanese Occupation for the ejectments of tenants.
 Automatic conversion of all share-tenants in the
 The rise of Hukbong Magpapalaya sa Bayan
Philippines to leasehold tenants with some
(HUKBALAHAP)
exceptions and qualifications
Post-War Period  Creation of the Department of Agrarian Reform
(DAR)
President Manuel Roxas
 Right of the tenant on land converted to
 Rice Share Tenancy Act of 1933 residential subdivisions to demand a
 R.A no. 34 of 1946 (Providing a 70-30 crop DISTURBANCE COMPENSATION equivalent to
sharing arrangement and regulating share five times the average gross harvest for the past
tenancy contracts) three agricultural years.
 Increase financing for the land reform program
Ramon Magsaysay  Crediting of rentals in favor of the tenant
against the just compensation that he would
 Agricultural Tenancy Act of 1954 (R.A 1199,
have to pay in case the land was expropriated
amended by R.A no. 2263))
by the government for resale to the tenant.
 Under this agreement the tenant-farmer could
receive a maximum of 70% of the crop. (IF he President Ferdinand Marcos (Under Martial Law)
provided item 2-6)
 P.D No. 2 - He proclaimed the entire
Land 30% Philippines as land reform area.
Labor 30% Subsequently, he also decreed that tenants
Animals 5% should be given THREE HECTARES of
Implements 5% irrigated rice or corn lands and FIVE
Final Harrowing 5% HECTARES, if not irrigated.
Transplanting 25%  The DAR was created to expedite the
100% TRANSFER of land titles to the peasants.
 P.D No. 27 - Exactly one month after the
 Establishment of the Agricultural Tenancy Martial law, President Marcos signed P.D
Commission No. 27, “Emancipating the tenant-farmers
 Court of Agrarian Relations (Main function is to from the bondage of the soil” In one stroke,
settle satisfactorily and promptly all tenancy tenant-farmers in all private agricultural
disputes) lands primarily devoted to rice and corn
 National Resettlement and Rehabilitation were deemed owners of they were tilling.
Administration (NARRA)  Initiated a resettlement program by which
farmers without lands were resettled in
Diosdado Macapagal
agricultural settlements owned by the
 Agricultural Land Reform Code (R.A No. 3844) It government.
sought to abolish and outlaw share tenancy and
Corazon Aquino
put in place the agricultural LEASEHOLD system
 Proclamation No. 131 - Instituting a
Procedure:
Comprehensive Agrarian Reform Program
 Expropriation and subdivision of big landed (CARP)
estates and their resale at cost and on  E.O No. 229 - Providing mechanism needed
installment to landless tillers. initially to implement CARP
 Reduced the limit to 75 ha.  E.O No. 129-A - “Reorganizing and
 Operated only to declared land reform area strengthening the DAR and for other purposes
 E.O No. 228 - “declaring to full land ownership Topic 3: TAXATION IN THE PHILIPPINES
to qualified farmer beneficiaries covered by P.D
Pre-Hispanic Era
No. 27; determining the value of remaining
unvalued rice and corn lands subject to P.D No.  Buwis
27; and providing the manner of the payment
by the farmer beneficiary and mode of Spanish Era
compensation to the landowner.”
 Direct taxes
AT PRESENT o Personal tribute - May be paid in
cash/kind, partly or wholly, as palay or
 Republic Act No. 6657 - Comprehensive tobacco depending on the area and
Agrarian Reform Law (CARL) what especial produce they may have.
o Income tax
o Cedula Personales
 Indirect taxes
o Customs duties
o Bandala - From the Tagalog word
Mandala ( a round stack of rice stalks to
be threshed). Bandala assumed the
meaning of the annual enforced sale or
requisitioning of goods, particularly of
rice and coconut oil.
 Other special tax

o Diezmos prediales (Tithes) –one real

o Sanctorum – 3 reales

o Samboangan

o Vintas (Bulacan and Pampanga)

o Falua (Camarines Sur, Cebu, Misamis

and other littoral provinces)

Exempted from paying tax

• Descendants of the Filipino Chiefly class who

served in the pacification campaigns. (E.g.
Lakandula of Manila, Pedro Mojica of Cavite,
Rajah Tupas of Cebu.)

• Laborers of the arsenal and yard of Cavite

• Mediquillos

• Vaccinators

• College and university students of Santo Tomas,

San Jose, San Juan de Letran and San Carlos
(Cebu)

What will happen if you don’t pay tax?

• Those who escaped from the oppressive

taxation were regarded by Spaniards as
“Lawless” remontados or Tulisanes (bandits)

Resistance against Spanish

Imposed Taxation
Magalat British. Rise into revolt to free people
from Taxes and oppression.
 Who: Magalat, a datu and his brother  Result: FAILED (Miguel Vico, an ex-silanista
 When: 16th century fired a musket through Silang’s back
 Where: Tuguegarao Cagayan that cause his death)
 What: opposed the illicit tribute collections
 Result: Failed (He was assassinated by some Maria Josefa Gabriela de Silang
paid hirelings of Spaniards from his own
 Who: Gabriela Silang, and his uncle Nicolas
camp)
Carino
Luis Magtangaga and Tomas Sinaguingan  When: 1763
 Where: Ilocos Sur
 Who: Luis Magtangaga – Chief of Malaueg  What: Continued Diego’s Silang’s
(nowRizal, Cagayan)  Result: FAILED (Silanistas were hanged along
Tomas Sinaguingan – Chief of Tuao the Ilocos Sur coastline while Gabriela
 When: 1718 was watching them, she was executed
 Where: Cagayan area later on in Vigan)
 What: Led a revolt againts the authorities
mobilizing a force of some 3,000 men to American Era
oust the hated alcalde Mayor for his
• Reorganization act No. 1189
arbitrary exaction of tribute.
 Result : Failed o Created Bureau of Internal Revenue on
July 2, 1904 under the first Philippine
Juan Caragay
Civil Government.
 Who: Juan Caragay “of very low birth” Japanese Occupation
 When: 1719
 Where: Dagupan, Pangasinan • BIR was combined with the Customs Office and
was headed by a Director of Customs and
 What: He murdered the alcalde Mayor who
Internal Revenue
used force in the unlawful collection
of tribute and draft labor Post-war
 Result: Failed (the Igorot Chopped off his
head in just one stroke) • BIR was eventually reestablished separately
with the Customs Office.
Juan de la Cruz Palaris
• Decentralization
 Who: Juan de la Cruz, a principalia
o The Bureau created its first 2 regional
 When: 1762
Offices in Cebu and in Davao
 Where: Pangasinan reaching as far as Tarlac
 What: Spearheaded a rebellion against the • The position title of the Bureau was changed
Alcalde Mayor’s- Joaquin Gamboa from Collector to Commissioner
personal excesses
• Establishment of the Tax Census Division and
 Result: FAILED (He was betrayed by his own
corresponding Tax Census Unit for each
sister, captured and his body mutilated
Regional Office.
quartered, pig style and displayed to
the public. Marcos Administration

Diego Silang 2 programs were implemented

 Who: Diego Silang, a principalia • “Blue Master Program” - This was adopted to
curb the abuses both the taxpayers and BIR
 When: 1762
personnel.
 Where: Two Ilocos: Abra and Cagayan
• “Voluntary Tax Compliance Program” - It was
 What: Vemently oppesed the exaction of the
designed to encourage professionals in the
comun (annual tribute) drafting of
private and government sectors to report their
Polistas, and other unscrupulous
true income and to pay the correct amount of
practices of the new Alcalde Mayor-
taxes.
Antonio Zabala . Joined forces with the
 • Provided each taxpayer with a Permanent tax • RATE program or Run after Tax Evaders
account number (TAN) in 1970 Program

• Implemented the payment of taxes through • Established a BIR Contact Center in the National
banks. office and eLounges in Regional Offices.

• Implementation of the package audit • New payment methods through

investigation by industry.
o Service Machines
• Promulgated the National Internal Revenue o G-Cash
Code of 1977, which updated the 1934 Tax code o Smart Money

C. Aquino Administration • Bureau’s e-complaint system

• “Operation: Walang Lagay” - Was launched to • Linkages with various agencies (i.e LTO, SEC,
promote the efficient and honest collection of BLGF, PHALTRA, etc) - Were established though
taxes. the signing of several MOA to improve specific
areas of tax administration.
• Advent of the value-added tax (VAT) in 1988.
• e- VAT or the Expanded value added tax law -
• Adoption of the Taxpayer Identification Number Was implemented in Nov. 2005, aiming to
(TIN) complement revenue-raising efforts that could
Ramos Administration plug the country’s large budget deficit

• Tax Computerization Project (TCP) in 1994 - This Pnoy Administration

involved the establishment of a modern and • “sin” taxes
computerized Integrated Tax System and
Internal Administration System. For cigarettes and alcohol products.

Estrada Administration A sin tax is a tax levied on goods or services that

are considered to be harmful or costly to the society.
• Economic Recovery Assistance Payment (ERAP) The goods and services commonly include tobacco,
Program - It granted immunity from audit and alcohol, sugar-added drinks, and gambling. The main
investigation to taxpayers who have paid 20% purposes of imposing sin taxes are to reduce the
more than the tax paid in 1997 for income tax, consumption of the harmful goods and to increase
VAT and/or percentage taxes.
government revenue. The consumption reduction is
• “Humingi ng Resibo, Manalo ng Libo-Libo” raffle achieved by making the goods less affordable to
promo in 1999 - This was institutionalized in consumers.
order to encourage and educate
Duterte Administration
consumers/taxpayers to demand sales invoices
and receipts. • TRAIN Law
• The Large Taxpayers Monitoring System was • The Tax Reform for Acceleration and Inclusion
established. (TRAIN) Act, officially cited as Republic Act No.
10963, is the initial package of the
Arroyo Administration
Comprehensive Tax Reform Program (CTRP)
• Electronic Filing and Payment System (eFPS) - A signed into law by President Rodrigo Duterte on
technology-based system that promotes the December 19, 2017. The TRAIN Act is the first of
paperless filing of tax and returns and payment four packages of tax reforms to the National
of taxes. Internal Revenue Code of 1997, or the Tax
Code, as amended. This package introduced
• Voluntary Assessment and Abatement Program
changes in personal income tax (PIT), estate tax,
(VAAP) - Offered to taxpayers with under-
donor's tax, value added tax (VAT),
declared sales/receipts/income.
documentary stamp tax (DST) and the excise tax
• RELIEF system, broadcasting system - To detect of tobacco products, petroleum products,
under declarations of taxable income by mineral products, automobiles, sweetened
taxpayers and to enhance the security of tax beverages, and cosmetic procedures.
payments.

• Web-based TIN application and processing