City treasurer admits P5B target impossible

CEBU, Philippines - Cebu City Treasurer’s Office has finally admitted that it is not possible to collect the P5 billion business tax revenue projected by Mayor Michael Rama in just a month.

As of January 21, Cebu City government was only able to collect P500 million at the one-stop shop in SM City Trade Hall.

“Dili na gyud makuha kay last day na namo and nakahibaw na si Mayor, ni-okay ra siya,” city treasurer Diwa Cuevas said.

The renewal of business permits, real property taxes, business taxes, and regulatory fees started on January 5 and will end today, January 23.

Cuevas, however, assured that the city government’s operation will not be affected with the result of the collection.

“Wala siya’y negative effect sa city kaya atong budget the whole year is P6-billion, and ang collection of business tax including sa real property tax is only P3-billion,” she said.

Rama, earlier, challenged the treasurer’s office to collect P5-billion from the renewal of business permits, real property taxes, business taxes, and regulatory fees this year, saying that this year will be an active year in looking for funds to support the P13.4-billion annual budget of the city.

Rama said there will be “no break policy” today since it is the last day of collection and it is anticipated that an influx of taxpayers will be coming in.

He said he will also try to request SM City Trade Hall to open until midnight to accommodate taxpayers beating the deadline.

Asked about Cuevas’ admission that it is already impossible to collect P5-billion, Rama remains optimistic, saying that the collection has not concluded yet.

No extensions of renewal of business permits will be implemented, said Cuevas.

“Wala na ta’y extension kay ang approved sa Council is up to January 23 ra man,” Cuevas said, adding that the one-stop shop will still be at SM City Trade Hall until January 31.

Cuevas said the city government will still be accepting renewal of business permits, but a 25-percent penalty will be charged.

Starting Saturday, January 24, business owners will be asked to pay two-percent interest per month and 25 percent surcharge and late securing fees.

Cuevas said business owners should be truthful and prompt in paying taxes. She warned that any business establishment that failed to renew after three consecutive notices will be closed.  (FREEMAN)