Rama wants ACT’s tax records checked

CEBU, Philippines - Cebu City Mayor Michael Rama yesterday ordered city administrator Jose Marie Poblete to verify from the records whether or not Councilor Rodrigo “Bebot” Abellanosa is paying correct taxes to the city for his private school.

Rama issued the order following the information revealed by south district congressional candidate Aristotle Batuhan that his opponent may not be paying correct taxes because he registered his school under a foundation.

Batuhan earlier claimed that Abellanosa did not only abuse the power of his office to favor his school in the city’s scholarship program, the councilor also avoided paying taxes to the government when he registered Asian College of Technology under ACT Foundation.

Abellanosa however said the ACT Foundation is paying regular taxes to the city government and to the Bureau of Internal Revenue (BIR).

According to Abellanosa, he did not seek tax exemption both for his school and foundation.

“When the city pays the ACT for the tuition of the scholars, it withholds taxes for the city and for the BIR,” he said.

Abellanosa described Batuhan’s accusation as “harassment, witch-hunting and no basis at all.”

“What is the worry of the city government over ACT’s taxes when in fact the city has not been paying ACT millions of pesos in payables for the tuition fees of the thousands of the city scholars enrolled at ACT for two years or three semesters already,” Abellanosa added.

According to Abellanosa, the city’s failure to promptly pay its obligation to ACT has compelled the school management to obtain loans and pay interest.

“Any other private school or even a government university would have given up on the city scholar if not paid even for just one semester,” he added.

Batuhan already filed administrative charges before the Office of the President against Abellanosa for taking advantage of his position. —/FPL (FREEMAN)