Ram is the only practicing lung transplant specialist in Baguio city. The government of Baguio passed a local ordinance subjecting the practice of lung transplant to 2% tax based on receipts. Ram objected claiming that other transplant specialist in other regions of the country are not subjected to tax. Is Ram's contention valid? Mention any applicable theories in taxation to answer

SWFT Comprehensive Volume 2019
42nd Edition
ISBN:9780357233306
Author:Maloney
Publisher:Maloney
Chapter23: Exempt Entities
Section: Chapter Questions
Problem 13CE
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Ram is the only practicing
lung transplant specialist in
Baguio city. The government of
Baguio passed a local ordinance
subjecting the practice of lung
transplant to 2% tax based on
receipts. Ram objected claiming
that other transplant specialist in
other regions of the country are
not subjected to tax.
Is Ram's contention valid?
Mention any applicable theories in
taxation to answer
Transcribed Image Text:Ram is the only practicing lung transplant specialist in Baguio city. The government of Baguio passed a local ordinance subjecting the practice of lung transplant to 2% tax based on receipts. Ram objected claiming that other transplant specialist in other regions of the country are not subjected to tax. Is Ram's contention valid? Mention any applicable theories in taxation to answer
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