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Question
Aurora City imposes local business tax on Zenith Components, Inc. The City Treasurer issues a demand for payment and, after Zenith fails to pay, proceeds with the LGU remedy of distraint and levy by seizing Zenith’s forklifts and pallets at Zenith’s production facility, and later sells them at a public auction to satisfy the tax. Zenith challenges the levy as invalid for lack of due process, claiming no prior notice was given before seizure. (a) Identify the controlling doctrine on remedies of local government units for collecting local taxes and name the remedy invoked in this case. (b) Distinguish the remedy of distraint and levy from a civil action for collection of local taxes. (c) Apply the doctrine to Zenith’s facts: is the levy valid or not, and why?