Due process in taxation

Due process in taxation requires the following:

[1] The tax must be for a public purpose;

[2] It must be imposed within taxing authority’s territorial jurisdiction; and

[3] The assessment and/or collection is not arbitrary or oppressive.

The due process clause may be invoked where a taxing statute is so arbitrary that it finds no support in the Constitution, as where it can be shown to amount to the confiscation of property. (G.R. No. L-59431)

The following are examples of violations of the due process clause of the Constitution:

[1] If the tax amounts to confiscation of property;

[2] If the subject of confiscation is outside the jurisdiction of the taxing authority;

[3] If the tax is imposed for a purpose other than a public purpose;

[4] If the law which is applied retroactively imposes just and oppressive taxes; and

[5] If the law violates the inherent limitations on taxation.