Cebu City exceeds 2019 tax collection target

By: Delta Dyrecka Letigio - CDN Digital | February 11,2020 - 02:08 PM

 

CEBU CITY, Philippines—The Cebu City Treasurer’s Office (CTO) exceeded its target collection for taxes in 2019 by half a million

In a document furnished to CDN Digital, the CTO revealed that it has collected P8,200,593,051.89, which is P590,000 more than its target collection of P8.2 billion. 

The bulk of the collection comes from business taxes amounting to P2.3 billion pesos followed by Miscellaneous and Other Fees amounting to P1.7 billion. 

Real Property Taxes (RPT) amounted to P1.4 billion, while other fees such as the amusement tax, Community Tax Certificate, and collection from the offices, make up the rest of the tax collection. 

Lawyer Jerone Castillo, the appointed city treasurer of Cebu City Mayor Edgardo Labella, attributed the increased collection to the efforts of his staff for working even during holidays to collect the taxes. 

“What people did not know is that even during holidays, the CTO keeps on working to collect taxes. They have done extended work,” said Castillo. 

Castillo also attributed the increase with the support of the tax paying public, especially the business community. 

He said the city appealed to the business organizations including Cebu Chamber of Commerce and Industry (CCCI), Filipino Chinese Chamber of Commerce, the contractors and developers organizations, to pay their taxes so the city can do its social services. 

“There is a symbiotic relationship between the business sector and the city. We should be friendly to them, ease the processes, but they also need to pay the taxes properly,” said Castillo. 

Despite collecting beyond the target, Castillo said the city can earn more through RPTs. 

He said the RPT collection is still lower than they hope to get, but this is also expected as RPTs would entail assessments of property. 

With this, the CTO plans to improve the collection of RPT so they can reach their goals of P9 billion for 2020. 

Castillo also revealed that Visayan Electric (formerly Visayan Electric Company) has paid the largest business tax, reaching  almost P100 million. 

Business processing and outsourcing company, Wipro BPO Philippines, paid the largest RPT with over P25 million. 

The top ten highest tax paying companies with the least-incurred tax violations or penalties will be awarded during the Cebu City Charter Day on February 24, 2020. /bmjo

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TAGS: Cebu City, collection, exceed, target, tax collection

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