FACTS
In 1991, then President Fidel Ramos issued EO475 to reduce the rate of additional duty on all imported articles from 9 percent to 5 percent except in the cases of crude oil and other oil products, which remained 9% percent. Subsequently, the President issued EO 478, which levied (in addition to the 9% ad valorem and all other existing ad valorem duties) a special duty of P0.95 per liter or P151.05 per barrel of imported crude oil and P1.00 per liter of imported oil products.
Garcia filed a Petition for Certiorari, Prohibition and Mandamus to assail the validity of EOs 475 and 478, arguing that these were violative of Section 24, Article VI of the 1987 Constitution which provides that: “All appropriation, revenue or tariff bills, bills authorizing increase of the public debt, bills of local application, and private bills shall originate exclusively in the House of Representatives, but the Senate may propose or concur with amendments.”
RULING
The Supreme Court ruled in favor of the Government.
The enactment of appropriation, revenue, and tariff bills, like all other bills, is within the province of the Legislative rather than the Executive Department. However, such power may be delegated by explicit constitutional permission to the President subject to limitations and restrictions. Section 28(2) of Article VI of the Constitution provides that “The Congress may, by law, authorize the President to fix within specified limits, and subject to such limitations and restrictions as it may impose, tariff rates, import and export quotas, tonage and wharfage dues, and other duties or imposts within the framework of the national development program of the Government.”
There is thus explicit constitutional permission to Congress to authorize the President subject to such limitations and restrictions as Congress may impose to fix within specific limits tariff rates and other duties or imposts.
