Commercial and Taxation Laws — 2027 Bar syllabus

Commercial and Taxation Laws (20% of the 2027 Bar, Day 1 · Sunday, 5 September 2027 · Afternoon): the syllabus with review notes for 355 topics.

• i. Against Assessment
• ii. Against Valuation of Property
• e. Taxpayer Remedies in Real Property Taxation
• 7. Stockholders and Members
• 3. Requisites of a Valid Tax
• c. Court Action
• a. Electronic Documents, Data Messages, and Signatures
• D. Competition Law (RA 10667)
• a. Protest
• (a) National Taxes
• b. Rules to Determine Existence of a Partnership
• a. Concept
• E. Anti-Money Laundering (RA 9160, as amended by RA 9194, 10167, 10365, 10927, 11521, 11930, and 12312)
• 3. Collection Process
• (d) Income from Dealings in Property
• 3. Diligence Required of Banks
• d. Articles of Incorporation
• 5. Corporate Powers
• 9. Special Corporations
• a. Jurisdiction of the Court of Tax Appeals (CTA)
• i. Action for Collection of Taxes
• 1. Powers and Functions of the Monetary Board
• (b) Local Taxes
• 1. Capital vs. Ordinary Asset
• b. Review (RA 10667)
• e. Compensation
• b. Judicial Remedies
• 2. Registration of Securities
• iv. Sources
• h. Watered Stocks
• b. Prescriptive Period for Collection
• c. Pre-incorporation Subscription Agreements
• 3. Liquidation
• e. Classification of Shares
• a. Remedies of LGUs
• ii. Suspension and Waiver of Prescriptive Period
• 5. Authority of Congress, Secretary of Finance, and Commissioner of Internal Revenue (CIR)
• 4. Determining Control and Market Dominance
• 3. Economic and Moral Rights
• 2. Critical Infrastructure
• 1. Active vs. Passive Income
• i. Grounds, Requisites, and Period for Filing a Claim for Refund or Tax Credit Certificate
• b. Local Business Tax
• b. Determining Anticompetitive Agreement or Conduct
• i. Liability of Promoter
• ii. Criminal Action
• 1. Under the Civil Code
• 2. Deposit Insurance Coverage
• ii. Effect of Failure to File Protest
• 1. Definition and Classification of Banks
• A. Corporations (RA 11232)
• 8. Unfair Competition
• a. Definition and Separate Juridical Personality
• b. Educational Corporations
• D. Deposit Insurance (RA 3591, as amended mainly by RA 11840)
• a. Subscription Requirements
• A. General Banking Principles (RA 8791)
• b. Prescriptive Period
• 2. Extraordinary Diligence
• i. Shifting of Tax Burden
• (a) Compensation Income
• b. Exemptions
• b. Construction and Interpretation of Tax Laws and Tax Exemptions
• a. Deficiency Interest and Delinquency Interest
• 4. Ownership, Registration, and Duration
• ii. Remedies from CIR’s Denial or Failure to Act
• 4. Limitations on Copyright
• 6. Licensing
• a. “Doing Business” in the Philippines
• I. Double Insurance and Overinsurance
• 3. Estate Tax
• C. Electronic Commerce and Digital Trade
• a. Conservatorship
• e. Zero-Rated Transactions
• c. Prohibition on Compensation and Set-off
• 8. Cancellation of Patents
• d. Letter of Authority
• 3. Splitting of Deposits
• V. Intellectual Property Law (RA 8293, as amended by RA 9150, 9502, and 10372)
• v. Petition for Review on Certiorari to SC
• 2. Ownership of Copyright
• c. Injunction
• i. Criteria in Imposing Income Tax
• 1. Under the Civil Code
• e. Submission of Supporting Documents by Taxpayer
• 2. Inherent and Constitutional Limitations
• k. Sale of Delinquent Shares
• iii. Criminal Cases
• b. Subscription Contract
• 5. Taxpayer Remedies
• e. Corporate Name and Limitations on its Use
• i. De Facto Corporation
• (a) Who May Appeal, Mode of Appeal, Period to Appeal, and Effect of Appeal
• 3. Safe Harbor Provision
• i. Asset-only and Business Enterprise Transfers
• 1. Marks, Collective Marks, and Trade Names Distinguished
• 1. Purpose
• g. Input and Output VAT
• 4. Money Laundering
• i. VAT on Digital Services (RA 12023)
• G. Premium
• 11. Foreign Corporations (See also RA 7042, as amended by RA 8179 and 11647)
• b. Obligations of Partnership
• ii. Kinds of Taxpayers
• 5. Reciprocity
• 1. Electronic Commerce Act (RA 8792)
• ii. Administrative vs. Judicial Claim for Refund
• a. Exempt Securities and Exempt Transactions
• iv. Suspension of Business Operation
• K. Rescission of Insurance Contracts
• a. Per Se and Not Per Se Violations
• 6. Government Remedies
• d. Consideration for Stocks
• j. Self-dealing by Directors with the Corporation
• a. Repository of Corporate Powers
• 4. Donor’s Tax
• ii. Registration
• 1. Patentable vs. Non-Patentable Inventions
• a. Administrative Remedies
• 8. Merger, Consolidation, and Acquisition
• ii. Corporation by Estoppel
• 10. Dissolution and Liquidation
• iv. Appeal to the CTA En Banc
• e. Escape from Taxation
• b. Requisites of a Valid Assessment
• a. Fundamental Principles
• b. Tenure, Qualifications, and Disqualifications
• B. Financial Rehabilitation and Insolvency (RA 10142)
• 1. Fundamental Principles
• c. Partnership by Estoppel
• I. Business Organizations
• c. Appraisal and Assessment (See also RA 12001)
• A. Common Carriers
• b. Promoters
• i. Rationale
• 4. Civil Penalties
• c. Situs of Income Taxation
• a. Rights of a Stockholder
• d. Kinds of Partnerships
• c. Receivership
• d. Election, Removal, and Filling of Vacancies
• (c) Effect of Payment of Taxes
• b. Rehabilitation Receiver and Rehabilitation Plan
• f. VAT Exempt Persons and Transactions
• a. Basic Principles and Concepts only
• f. Notice of Discrepancy
• c. Meetings
• VI. Special Commercial Laws
• c. Burden of Proof in Tax Assessments
• A. Securities Regulation (RA 8799)
• g. Business Judgment Rule
• a. General Principles
• g. Certificate of Stock
• (a) Institution and Prosecution of Criminal Action
• 2. Internet Transactions Act (RA 11967)
• h. Liabilities and Responsibilities
• ii. Prohibited Mergers and Acquisitions; Exemptions
• (b) Appeal to Central Board of Assessment Appeals
• 3. Determining the Relevant Market
• b. Extraterritorial Application
• 4. Foreign Government or State-Owned Enterprise Investments
• g. Preliminary Assessment Notice
• 2. Ownership of Patents
• d. Compromise and Abatement of Taxes
• iii. Duties of Withholding Agents
• i. Exclusive Original and Appellate Jurisdiction Over Civil Cases
• 5. Copyright Infringement
• i. Prescriptive Period for Assessment
• 6. Directors and Trustees
• 2. Covered Transactions; Suspicious Transactions
• c. Effects
• 3. Defenses Available to a Common Carrier
• 2. Under the Montreal Convention
• E. Policy
• 3. Under the Montreal Convention
• 2. Banks in Distress
• 3. Rights and Limitations of Patent Owner
• C. Bangko Sentral ng Pilipinas (RA 7653, as amended by RA 11211)
• ii. Grandfather Rule
• 3. Dissolution and Winding Up
• f. Disloyalty
• l. Transfer of Shares
• (c) Period to Appeal
• J. Reinsurance
• 2. Registrable and Non-Registrable Marks
• g. Bylaws
• 4. Capital Structure, Shares, and Capital Affairs
• (b) Compromise of Assessment
• 3. Validity of Local Tax Ordinance
• a. Definition; Howey Test
• (a) Appeal to Local Board of Assessment Appeals
• a. Close Corporations
• 2. Prohibited Acts
• ii. Tax Avoidance and Tax Evasion
• i. Special Fact Doctrine
• a. Protesting an Assessment
• iii. Nationalized Activities and the Negative List
• 4. Nature of Bank Deposits
• b. Surcharge
• 1. General Principles
• c. Compromise Penalty
• 4. Patent Infringement
• b. Submission of Supporting Documents by Taxpayer
• d. Liquidation
• 7. Other Selected Local Taxes
• e. Recovery of Tax Erroneously or Illegally Collected
• i. False vs. Fraudulent vs. Non-filed Return
• 5. Assignment and Transmission of Rights
• 4. Assessment and Collection of Local Taxes
• 1. General Principles
• 2. Under the Carriage of Goods by Sea Act
• 4. Doctrines in Taxation
• 1. Copyrightable and Non-Copyrightable Works
• a. Definition
• 1. Income Tax
• iii. Certiorari Jurisdiction in Aid of Appellate Jurisdiction in Local Tax Cases
• ii. Final vs. Creditable Withholding Tax
• i. Control Test
• ii. Distraint (Actual and Constructive) and Levy
• d. Stockholder Suits
• A. General Principles
• 3. Incorporation and Organization
• 3. Well-known Marks
• d. Double Taxation
• i. Compulsory Notification
• 5. Rights Conferred by Registration
• f. Registration, Incorporation, and Commencement of Corporate Existence
• iii. Forfeiture of Real Property
• B. Trademarks, Service Marks, and Trade Names
• 6. Real Property Taxation
• c. Destination Principle and Cross-Border Doctrine
• 2. Corporate Rehabilitation
• b. Doctrine of Piercing the Corporate Veil
• c. Decision of CIR on Protest
• ii. Realization and Recognition
• g. Taxpayer’s Suit
• a. Professional Tax
• a. Commencement Order and Stay Order
• i. Definition
• c. Obligations of Partners Among Themselves
• 1. Covered Persons and Their Obligations
• a. Incorporators; Number and Qualifications
• 3. Suspensive and Prohibitory Powers of the President
• i. Tax Deductions vs. Tax Credits
• b. Participation in Management; Voting Requirements
• (c) Income from Business
• 2. Banks, Quasi-banks, and Trust Entities Distinguished
• D. Tax Remedies
• a. Basic Principles and Concepts only
• 1. Securities
• B. National Taxation (National Internal Revenue Code of 1997, as amended mainly by RA 10963, 11534, 11976, 12066, and 12214)
• a. Persons and Transactions Subject to VAT
• i. Compromise of Criminal Violations; Effect of Payment on Criminal Liability
• 7. Remedies of the True and Actual Inventor
• i. Liability of Directors
• C. Copyright
• c. Cram Down Effect
• i. Period to Act Upon or Decide
• 1. Common Carrier vs. Private Carrier
• i. Definition
• b. Predicate Offenses (Unlawful Activities) (See also RA 11930, Sec. 9(c), and RA 12312, Sec. 8)
• 3. Coverage and Exceptions
• a. Doctrine of Separate Juridical Personality
• C. Local Taxation (RA 7160, as amended)
• d. Transactions Deemed Sale Subject to VAT
• d. Obligations of Partners to Third Persons
• c. Community Tax
• ii. Optional Standard Deduction
• 6. Likelihood of Confusion (Dominancy Test)
• h. Formal Letter of Demand; Final Assessment Notice
• ii. Civil Cases
• 5. Taxpayer Remedies in Local Taxation
• F. Warranties
• 5. Authority to Inquire, Freeze, and Forfeit
• (b) Power of the CTA to Suspend Collection of Taxes
• a. How Committed
• f. Compromise and Tax Amnesty
• 1. Concept, Nature, Purpose, and Basis of Taxation
• D. Representation
• c. Nationality of Corporations
• A. General Principles
• i. Civil Action
• E. Public Services (CA 146, as amended by RA 11659)
• a. Digital Platforms, Online Consumers and Merchants
• a. Procedural Due Process in Tax Assessments
• a. Tax Deficiency vs. Tax Delinquency
• b. Classes of Corporations
• c. Religious Corporations
• 7. Trademark Infringement
• 1. Public Service as Public Utility
• 6. Transfer, Assignment, and Licensing
• d. Collection
• c. Corporate Term
• 1. Definition of Insured Deposit
• (c) Nonavailability of Injunction to Restrain Tax Collection
• 2. Rights and Obligations
• b. Classes of Securities
• 1. General Principles
• a. Lifeblood Doctrine
• B. Insurable Interest
• b. Procedure
• a. Requisites
• a. Fair Use
• B. Secrecy of Bank Deposits (RA 1405; RA 6426, as amended by PD 1035, 1246, and 1453)
• II. Insurance Law (PD 612, as amended by RA 10607)
• iii. Effect of Failure to Appeal
• b. Impact and Incidence of Tax
• C. Concealment
• (b) Institution of Civil Action in Criminal Action
• 7. Judicial Remedies
• 2. Assessment Process
• j. Payment of Balance of Subscription
• VII. Taxation Law
• c. Foreign Investments
• i. Trust Fund Doctrine
• iii. Proper Party to File Claim for Refund or Tax Credit
• 9. Cancellation of Registration
• e. Corporate Books and Records
• 5. Prohibited Transactions by Bank Directors, Officers, and Employees
• i. Tax Lien
• ii. Exclusive Original and Appellate Jurisdiction Over Criminal Cases
• b. Closure
• d. One Person Corporations
• (a) Payment Under Protest; Exceptions
• 1. Anticompetitive Agreements
• b. Lawful Access and Confidentiality
• h. Effects of Nonuse of Corporate Charter
• H. Loss; Notice and Proof
• III. Transportation Law
• 1. General Concepts
• f. Doctrine of Equality of Shares
• (b) Professional Income
• 2. Taxing Powers of Local Government Units (LGUs)
• b. Suability and Capacity to Sue
• A. Patents
• b. Refund or Credit
• IV. Banking Law
• d. Gross Income vs. Net Income vs. Taxable Income
• 2. Abuse of Dominant Position
• e. Withholding Taxes
• iii. Taxability
• k. Dealings Between Corporations with Interlocking Directors
• h. Tax Refund and Tax Credit
• B. Partnerships
• ii. Liability of Corporation for Promoter Contract
• c. Independent Directors
• a. Property Rights of Partners
• 4. Garnishment of Deposits, Including Foreign Deposits
• 2. Value-Added Tax (VAT)
• i. Period to File Protest
• 2. Corporate Personality
• b. Other Statutory Limitations
• C. Safety of Passengers
• 4. Suspension of Payments
• b. Income