GE 1102: READINGS IN PHILIPPINE HISTORY LESSON 2 MODULE During President Manuel L.

g President Manuel L. Quezon’s administration, the government  Comprehensive Agrarian Reform Law (CARL) of 1988 (Republic Act No.
recognized the seriousness of land problems. 6657)
PHILIPPINE AGRARIAN REFORM  National Rice and Corn Corporation (NARIC) was established to help  Established the Comprehensive Agrarian Reform Program
 Agrarian Reform in the Philippines refers to the government’s effort to farmers. It was a government agency created to make sure there was (CARP).
redistribute agricultural land to landless farmers and farmworkers. Its enough rice and corn for everyone. It helped control the buying and selling  Covered all agricultural lands, regardless of crop.
main goal is social justice — giving farmers their fair share of land and of these crops to keep prices fair and prevent food shortages.  Benefited all agricultural workers and tenants.
opportunity to improve their lives.  Commonwealth Act No. 178 (1936) – This law was made to protect  Allowed landowners to retain up to 5 hectares.
farmers who worked on land owned by others. It set rules for share  Farmers received Certificates of Land Ownership Award (CLOA)
Historical Background tenancy (where farmers share harvests with landowners) and encouraged as proof of ownership.
A. PRE-SPANISH PERIOD the leasehold system (where farmers rent land for a fixed amount instead  Department of Agrarian Reform (DAR) – for private lands.
Before the Spaniards came, lands were owned communally by clans or of giving a part of their harvest).  Department of Environment and Natural Resources (DENR) – for public
families. Land was not yet a private property — people could farm wherever they However, the problem persisted — rich landlords still controlled large haciendas, lands.
wanted. and farmers continued to live in poverty.  Land Bank of the Philippines (LBP) – for compensation and financing.
 There was no concept of land titles or ownership.  CARP Extension with Reforms (CARPER or RA 9700, 2009) under
 The datu or chieftain only supervised land use but did not own all land. E. POST-WAR PERIOD AND EARLY REPUBLIC (1946–1965) President Gloria Macapagal-Arroyo
After World War II, land conflicts increased, especially in Central Luzon, due to  Extended the program for 5 more years.
B. SPANISH COLONIAL PERIOD (1565–1898) hunger and poverty.  Added provisions for support services, rural development, and
When the Spaniards arrived, the system of land ownership changed  President Manuel Roxas created the Tenancy Act of 1946 (RA 34) to women empowerment.
drastically. provide a fairer share between landlords and tenants (70–30 sharing).
 Spain introduced the encomienda system, where large tracts of land were  President Elpidio Quirino established the Land Settlement GOALS AND BENEFITS OF AGRARIAN REFORM
granted to Spanish officials, friars, and loyal subjects. Development Corporation (LASEDECO) to settle people in public lands.  To achieve social justice by reducing inequality between rich landlords
 Filipino farmers became “kasama” (share tenants) who worked on land  President Ramon Magsaysay (1953–1957) became the “Champion of the and poor farmers.
they did not own. Masses.”  To increase agricultural productivity and food security.
 The friar lands (lands owned by religious orders) covered vast areas of  Passed Republic Act No. 1199 (Agricultural Tenancy Act of 1954)  To improve farmers’ income and standard of living.
Luzon, especially in Central Luzon. – protected tenants and promoted land reform.  To empower rural communities and reduce poverty.
 Encomienda system – grant of land by the King of Spain to loyal subjects.  Created the Land Reform Administration (LRA) through RA 1400
 Hacienda – large agricultural estate owned by Spanish landlords or (1955) – aimed to acquire and distribute large estates. CHALLENGES AND ISSUES OF AGRARIAN REFORM
religious orders.  Despite these efforts, progress was slow due to resistance from  Slow implementation due to lack of funds and bureaucracy.
 Kasama – share tenant or farmer who works for a landlord and gives part landowners and lack of funds.  Resistance from landowners who delay or avoid distribution.
of his harvest as payment.  Fake beneficiaries or land conversion (turning farmlands into
Problem: This system created land inequality — a few owned the land, while F. MARCOS ERA (1965–1986) commercial or residential areas).
most Filipinos worked as tenants or laborers. President Ferdinand E. Marcos implemented the most ambitious land reform  Insufficient support services (credit, technology, training).
during his time.  Some farmers sell their awarded lands, going back to poverty.
C. AMERICAN PERIOD (1898–1946)  Presidential Decree No. 27 (PD 27, 1972) – declared that “the farmer
The Americans tried to correct the abuses of the Spanish land system. should own the land he tills.” PRESENT STATUS AND OUTLOOK OF AGRARIAN REFORM
They bought some friar lands and sold them to Filipino farmers under the:  Focused on rice and corn lands.  As of recent years, millions of hectares have been distributed to farmer-
 Friar Lands Act of 1902 - allowed Filipino farmers to buy and own the  Landowners were allowed to retain up to 7 hectares. beneficiaries under CARP and CARPER. However, there are still lands
lands that were once controlled by Spanish friars.  Farmers paid the government for the land in installments. undistributed, especially in Mindanao and big haciendas.
 Land Registration Act of 1902 (Act No. 496) – introduced the Torrens  Department of Agrarian Reform (DAR) – main agency in charge of  Modern agrarian reform now focuses on:
Title System to formalize ownership. Torrens Title System is a method implementing agrarian reform.  Sustainable rural development
of registering land that gives the owner a legal certificate of ownership  Land Bank of the Philippines (LBP) – financed land acquisition and  Farm mechanization
— called a Torrens Title. provided credit to farmers.  Cooperatives and agribusiness opportunities
 However, only wealthy Filipinos could afford to buy these lands, while  Although PD 27 helped some farmers, it covered only rice and corn
poor farmers remained tenants. lands and excluded other crops like sugarcane, coconut, and
 Public Land Act (1903) – This law allowed people to own and live on banana plantations.
public land (called homesteading). But only a few benefited because poor
farmers did not get enough help or support from the government.
G. POST-EDSA PERIOD (1986–PRESENT)
After the 1986 People Power Revolution, President Corazon Aquino
introduced a more comprehensive reform program.
D. COMMONWEALTH PERIOD (1935–1946)
 PHILIPPINE TAXATION  Purpose: Created the National Internal Revenue Code. This promotes fiscal autonomy, meaning local governments can raise their own
Taxation is the process by which the government collects money (taxes) from  1997 – Tax Reform Act of 1997 (RA 8424) funds for development.
its citizens and businesses to fund public services and national development.  President: Fidel V. Ramos
 Purpose: Modernized the tax system and adjusted income tax rates. MAJOR TAX AGENCIES
In simple words, taxes are the lifeblood of the government.  2017 – TRAIN Law (RA 10963)  Bureau of Internal Revenue (BIR) - Collects internal taxes (income tax,
Without taxes, the government cannot:  President: Rodrigo Duterte VAT, excise).
 Build roads, bridges, and schools  Purpose: Reduced corporate income tax to attract investments.  Bureau of Customs (BOC) - Collects taxes on imports and exports.
 Pay teachers, police, and soldiers  2021 – CREATE Act (RA 11534)  Department of Finance (DOF) - Supervises fiscal policies and all tax-
 Provide healthcare, education, and social services  President: Rodrigo Duterte related agencies.
 Purpose: Reduced corporate income tax to attract investments.  Local Government Units (LGUs) - Collect local taxes (real property tax,
Historical Background of Philippine Taxation  2024 - Ease of Paying Taxes Act (Republic Act No. 11976) business tax).
A. PRE-COLONIAL PERIOD (BEFORE 1521)  President: Ferdinand “Bongbong” Marcos Jr.
 Early Filipinos already had a simple form of taxation.  Purpose: Makes paying taxes simpler and faster for individuals and PURPOSES OF TAXATION
 They paid tribute or offerings to the datu or chieftain for protection, businesses by modernizing tax systems, allowing online filing and 1. Revenue Purpose (Fiscal Function)
security, and governance. payment, and protecting taxpayer rights.  To raise funds for government operations and services.
 Taxes were paid in kind (crops, animals, gold, or labor).  Example: Salaries of public workers, building of hospitals and
 This system was called “buwis” or “handog.” TYPES OF TAXES IN THE PHILIPPINES schools.
 Farmers offered part of their harvest to the datu as a form of respect and Taxes are classified into two main types: 2. Regulatory Purpose (Police Power)
allegiance. A. DIRECT TAXES - Paid directly by individuals or corporations to the  To regulate or control certain behaviors.
government.  Example: High taxes on alcohol and cigarettes to discourage
B. SPANISH PERIOD (1565–1898)  Income Tax - Paid by individuals and businesses based on earnings. consumption.
When the Spaniards colonized the Philippines, they introduced a more formal  Estate Tax - Paid when property is transferred upon death. 3. Redistributive Purpose (Social Justice)
taxation system.  Donor’s Tax - Paid when giving gifts or donations.  To reduce inequality by taxing the rich more and supporting the poor
 Community Tax (Residence Tax or Cedula) - Paid by every adult through government programs.
Common Taxes during the Spanish Era: Filipino living or working in a city or municipality.
 Tributo - Basic tax paid by Filipinos aged 16–60.  Capital Gains Tax - Paid when earning profit from selling property or BASIC PRINCIPLES OF A SOUND TAX SYSTEM
 Cedula personal - A residence tax certificate (like an ID tax). shares of stock. According to Adam Smith and modern taxation principles, a good tax system
 Sanctorum tax - For the support of churches and priests.  Documentary Stamp Tax (DST) - Paid for legal documents that must have:
 Bandala system - Forced sale of crops to the government at low prices. show ownership or agreement. 1. Equity - Taxes should be fair — those with more income should pay more.
 Polo y Servicio - Forced labor (men aged 16–60 worked for 40 days a 2. Certainty - The taxpayer must know how much, when, and how to pay.
year). B. INDIRECT TAXES - These are taxes that can be passed on to another 3. Convenience - Tax collection should be easy and convenient.
These taxes funded Spanish officials, soldiers, and churches — but also caused person, usually added to the price of goods or services. The consumer 4. Economy - The cost of collecting taxes should be minimal.
resentment and uprisings among Filipinos. pays the tax indirectly when buying products. 5. Progressivity - Tax rates increase as income increases.
 Value-Added Tax (VAT) - 12% tax added to the price of most goods 6. Uniformity - Similar taxpayers should pay similar taxes.
C. AMERICAN PERIOD (1898–1946) and services.
The Americans reorganized the tax system to make it more systematic and  Excise Tax - Charged on specific goods considered harmful or COMMON PROBLEMS IN TAXATION
fair. luxurious. 1. Tax Evasion – Illegal avoidance of paying taxes (e.g., hiding income).
 Introduced income tax, customs duties, and excise taxes.  Tariff or Customs Duty - Tax on imported goods from other 2. Tax Avoidance – Legal but unethical way to minimize taxes using
 Established the Bureau of Internal Revenue (BIR) in 1904 to collect countries. loopholes.
taxes.  Percentage Tax - Paid by small businesses that are not covered by 3. Corruption and Misuse of Funds – When collected taxes are not properly
 Taxation was used to fund public education, health, and infrastructure. VAT (those earning below ₱3 million a year). spent.
 Travel Tax - Paid by Filipinos traveling abroad; used to fund tourism 4. Lack of Tax Education – Many citizens don’t understand how taxes work.
D. COMMONWEALTH AND POST-WAR PERIOD programs and airport projects.
 Under President Manuel L. Quezon, tax collection became more  Amusement Tax - Tax on entertainment places such as cinemas,
structured. theaters, and concert halls. THE PHILIPPINE CONSTITUTIONS
 After World War II, the government used taxes to rebuild the country.  A constitution is the supreme law of the land.
It serves as the foundation of government, defining the structure,
E. POST-INDEPENDENCE (1946–PRESENT) LOCAL TAXATION powers, and duties of each branch, as well as the rights and freedoms of
After gaining independence, taxation became the main source of government Under the Local Government Code of 1991 (RA 7160): the people.
revenue.  Cities, municipalities, and provinces can collect local taxes such as:  A constitution is a written document that contains the fundamental
 Real property tax (on land and buildings) principles and laws by which a nation is governed.
 Business permits and licenses
Modern Reforms:  Community tax (Cedula) Purposes of a Constitution:
 1977 – Presidential Decree No. 1158 (NIRC)  Barangay clearance fees 1. To establish the structure of government.
 President: Ferdinand Marcos 2. To limit the powers of those in authority.
3. To protect the rights and freedoms of the people.  Established a unicameral National Assembly (one-house legislature). STRUCTURE OF THE 1987 CONSTITUTION
4. To define the relationship between the government and its citizens.  The President served a single 6-year term and was chosen by the The 1987 Constitution is composed of a Preamble and 18 Articles:
Assembly.  Preamble: “We, the sovereign Filipino people…” - declares the purpose of
THE HISTORY AND EVOLUTION OF THE PHILIPPINE CONSTITUTIONS  Stressed social justice and Asian cooperation (“Greater East Asia Co- the Constitution: to build a just, humane, and democratic society.
Prosperity Sphere”).  18 Main Articles:
A. THE 1899 MALOLOS CONSTITUTION (FIRST PHILIPPINE REPUBLIC) Significance: 1. National Territory
Historical Context:  It had limited effect because of wartime conditions. 2. Declaration of Principles and State Policies
 Written during the Philippine Revolution against Spain.  Considered invalid after the liberation of the Philippines. 3. Bill of Rights
 Drafted by the Malolos Congress in Barasoain Church, Malolos, 4. Citizenship
Bulacan. D. THE 1973 CONSTITUTION (MARCOS REGIME) 5. Suffrage (Right to Vote)
 Promulgated on January 21, 1899 under President Emilio Aguinaldo. Historical Context: 6. Legislative Department
 It was the first democratic constitution in Asia.  Drafted during President Ferdinand E. Marcos’s time. 7. Executive Department
Main Features:  Approved in a controversial plebiscite in 1973 during the declaration of 8. Judicial Department
 Established a Republican form of government (the President, Congress, Martial Law. 9. Constitutional Commissions (CSC, COMELEC, COA)
and Judiciary).  Marked a shift from Presidential to Parliamentary government. 10. Local Government
 Recognized civil rights and liberty of Filipinos (freedom of speech, Main Features: 11. Accountability of Public Officers
religion, and press).  Created a Parliamentary form of government. 12. National Economy and Patrimony
 Declared that sovereignty resides in the people.  Prime Minister as head of government. 13. Social Justice and Human Rights
Significance:  President as head of state (largely ceremonial). 14. Education, Science, Technology, Arts, Culture, and Sports
 First constitution written by Filipinos, for Filipinos.  Introduced the Batasang Pambansa (National Assembly). 15. The Family
 Symbolized the country’s independence and democratic ideals.  The President retained wide powers under Martial Law. 16. General Provisions
 Promoted national development and social justice (at least in theory). 17. Amendments or Revisions
B. THE 1935 CONSTITUTION (COMMONWEALTH PERIOD) Amendments: 18. Transitory Provisions
Historical Context:  1976, 1980, and 1981 – restored some presidential powers.
 Created when the Philippines was under American rule, as part of the  1984 – created a new National Assembly. HOW THE CONSTITUTION CAN BE CHANGED?
preparation for independence. Significance: The 1987 Constitution allows Amendments or Revisions through:
 Approved by the people on May 14, 1935.  Used to justify authoritarian rule under Martial Law. 1. Constitutional Convention (Con-Con) – Delegates elected to propose
 Took effect on November 15, 1935, during the Commonwealth of the  Criticized for giving too much power to the President. changes.
Philippines. 2. Constituent Assembly (Con-Ass) – Congress proposes amendments.
 Modeled after the U.S. Constitution. E. THE 1987 CONSTITUTION (CURRENT CONSTITUTION) 3. People’s Initiative (PI) – Citizens propose amendments through petition.
Main Features: Historical Context:
 Established a Presidential government with three branches:  Drafted after the 1986 EDSA People Power Revolution, which ended the All changes must be ratified by the people in a plebiscite.
 Executive (President) Marcos dictatorship.
 Legislative (National Assembly → later bicameral Congress)  Created by the 1986 Constitutional Commission (ConCom) appointed
 Judiciary (Supreme Court) by President Corazon Aquino.
 The President served a 6-year term, later changed to 4 years.  Ratified by the people in a plebiscite on February 2, 1987.
 Guaranteed Bill of Rights for all citizens.
 Allowed for eventual independence after 10 years (under the Tydings– Main Features:
McDuffie Act).  Restored Democracy and Presidential System.
 Divides government into three co-equal branches:
Significance:  Executive – President and Vice President
 Served as the blueprint for independence and modern democratic  Legislative – Congress (Senate and House of Representatives)
governance.  Judiciary – Supreme Court and lower courts
 Guided the Philippines until after World War II.  Contains a Bill of Rights ensuring civil liberties (freedom of speech,
Key People: religion, due process, etc.).
 President Manuel L. Quezon – First president under the Commonwealth.  Includes Social Justice and Human Rights provisions.
 Claro M. Recto – Head of the Constitutional Convention.  Provides for Autonomous Regions (ARMM → BARMM).
 Corazon C. Aquino – President who created the 1986 Constitutional
C. THE 1943 CONSTITUTION (JAPANESE OCCUPATION) Commission.
Historical Context: Significance:
 Drafted during the Japanese occupation (1942–1945).  Represents freedom, democracy, and human rights.
 Promulgated on October 14, 1943 under the Second Philippine Republic  Emphasizes sovereignty of the people and limits on government
led by President José P. Laurel. power.
 Considered a “puppet constitution” since it was influenced by Japan.  It is the current and supreme law of the Philippines.
Main Features: