The Davao City government has offered more tax remedial measures to help the business sector cope with their losses during the coronavirus pandemic.
Councilor Danilo Dayanghirang, the Chairman of the City Council Committee on Finance, Ways and Means, said three remedial measures were approved by the 19th City Council to provide relief to local businesses in order for them to cope with the adverse economic effect of Covid-19.
“The City Council is ready and very open to helping the business owners by passing ordinances that would give them more time to settle their taxes considering the situation in the city,” Dayanghirang said on Tuesday.
First of the three ordinances passed on July 7 is the Ordinance No. 0304-20 or the ordinance granting a three-month extension on the deadline of payment for the third quarterly installment for Real Property Tax and additional levy on real property for the Special Education Fund (SEF).
With this ordinance, taxpayers are given until December 31 to pay the third quarterly installment of their RPT originally due on September 30.
“According to the Ordinance, both the 3rd and 4th installment of the RPT shall be due on December 31, 2020, and no interest shall be imposed for the 3rd installment if paid within the extended deadline. A discount of 10 percent for prompt payment to the taxpayer if one chose to pay on time will also be given,” said Lawyer Lawrence Bantiding, the Head of the City Treasurer’s Office (CTO).
The city government also gave tax amnesty or relief to delinquent RPT payers through Ordinance No. 0218-20.
“This shall apply to assessed penalties and interest on delinquent back taxes relating to real properties as of December 31, 2019, and prior years. All accrued penalties and interest shall be condoned only upon settlement of RPT within 6 months from the effectivity of Ordinance,” Bantiding said.
To also further assist vendors of city-owned public markets, the city council approved Ordinance no. 0305-20 or the Ordinance granting a 60 percent reduction on the rental fees of stalls or booths that are open from April 1 to June 30, 2020.
“If we remember, we waived the payment for the closed stalls inside government-owned spaces during the quarantine. For the open stalls but their incomes are reduced because of Covid-19, they were given a 60 percent reduction on their rental fees. For example, if they have rent due to the amount of 10,000 pesos per month, now they only pay the amount of 4,000,” Councilor Dayanghirang said.
Already, there are three ordinances that are passed to provide relief to business establishments that are affected by the adverse economic effects of Covid-19, namely the Ordinance No. 0243-20: An ordinance extending the deadlines of payment for the second quarterly installment of Business Tax; first quarterly installment of Real Property Tax and Additional Levy on Real Property for the Special Education Fund; and rental fees from March to June for public markets, Davao City Overland Transport Terminal (DCOTT), Sta. Ana Port, Magsaysay Park, and Pasalubong Center to June 30, 2020, in view of the coronavirus disease (Covid-19) threat in the Philippines; Ordinance No. 0257-20: An Ordinance waiving the Interest, Penalties, and Surcharges, incurred for non-payment of all local taxes, fees, charges, and fines which fall due during the period of Community Quarantine and Enhanced Community Quarantine in Davao City and; Ordinance No. 0278-20: An Ordinance Providing for relief to mitigate the adverse economic effects of coronavirus disease. CIO