Which statement is WRONG? (2012 Bar Question)

The question

Which statement is WRONG? (2012 Bar Question)

1. A.The power of taxation may be exercised by the government, its political subdivisions, and public utilities;
2. B.Generally, there is no limit on the amount of tax that may be imposed;
3. C.The money contributed as tax becomes part of the public funds;
4. D.The power of tax is subject to certain constitutional limitations.

This question has not been answered yet.