BUSINESSES should help Cebu City Hall in its projects without asking for any tax credits in return, Cebu City Mayor Michael Rama said yesterday.
“I am never in favor of tax credits. If they want to help, it should be under their corporate social responsibility,” Rama said.
The City Council earlier encouraged SM Prime Holdings and Filinvest Land Inc. to help develop the road located near their development site at the South Road Properties (SRP) in exchange for tax credits.
The council said better developed roads are needed especially with plans of opening a new bus route that will serve people heading to and coming from the SRP.
“Taxes should be shared by all. Taxes is the lifeblood of the city,” Rama said.
He also reminded the council that they could not decide on their own to grant tax exemptions. If they insist, they could be subject to an investigation by the Office of the Visayas Ombudsman, he said.
While the grant of tax credits was practiced during the administration of Rama’s predecessor Tomas Osmeña, the mayor said there is no law that allows the grant of tax credits to businesses.
“If everybody will be asking for tax credits, what about the poor? Basic services should not be distinguished,” he said.