February 24, 1954
Padilla, J.
FACTS
Three ordinances were adopted by the Municipal Council of Cordova in Cebu: (a) No. 10, s.1946 , which imposed an annual tax of P150 on occupation or the exercise of the privilege of installation manager; (b) No. 9, s.1947, which imposed an annual tax of P40 for local deposits in drums of combustible and inflammable materials and an annual tax of P200 for tin can factories; and (c) No. 11, s.1948, which imposed an annual tax of P150 on tin can factories having a maximum output capacity of 30,000 tin cans.
The Shell Co. of P.I. Ltd., a foreign corporation, filed suit for the refund of the taxes paid by it, on the ground that the ordinances imposing such taxes are ultra vires (violates equal protection clause).
RULING
The subject ordinances are valid because permits and fees may be required and charged by the Municipal Council of Cordova in the exercise of its regulative authority.
The SC also held that the same ordinances are not violative of the equal protection clause; the contention that they are discriminatory and hostile because there is no other person in the locality who exercises such "designation" or occupation does not make the ordinances discriminatory and hostile, inasmuch as they are and will be applicable to any person or firm who exercises such calling or occupation named or designated.
