BAGUIO CITY September 18 – Members of the Philippine Chamber of Commerce and Industry –Baguio Benguet Chapter Incorporated were enlightened about the proposed tax hike of the city government of Baguio after the thorough explanation from the city treasurer’s office
Assistant city treasurer Alex Cabarrubias was invited by the group during the general membership meeting to clarify the new proposed tax ordinance of the city.
Cabarrubias told the group of businessmen that the proposed 10 percent business tax hike under Tax Ordinance No. 2000-01, including city market rental and fees and garbage charges, which were last adjusted in 2001 is not excessive and exorbitant as being projected by critics of the ordinance.
“We are carefully studying the provisions as regards to its benefits for both the city government and the tax payers.” Covarrubias added.
The fair market values of real properties in the city remained unchanged since 1996 making the city non-compliant with the New Local Government Code or the Republic Act 7160 provision mandating local government units to undertake a general revision of real property tax valuation every three years.
It can be recalled that under the proposed schedule of real property assessments, the fair market value of Baguio for the residential lands will increase from P70 to P2,000 per square meter to P5,000 to P22,500 per square meter depending on the location of the property.
He explained that it is not because they are allowed to increase but it is because the city government wants to improve its services for the welfare of the general public.
He said that one of the priorities that the city wants to improve is the health services considering the increasing health concern of the population.
Cabarrubias added that the tax increase is very minimal if the percentage increase is converted into its monetary value.
The PCCI-BBCI members were elated when Cabarrubias presented a proposal to downgrade the taxable amount from the capital investment of new businesses from the 50 percent of one percent to five percent of one percent of the capital investment.
“The purpose is not to add burden to these new investors but to help them to be successful in their business.” He added.
The city government of Baguio will implement next year the automation of tax assessment as part of the many reforms to be implemented soon for efficient and convenient tax collection process both for the government and tax payers.
Cabarrubias ended his presentation by urging the PCCI-BBCI members to partner with the city in terms of projects that will help in solving the problems like traffic, garbage disposal and among others that will help the city and its residents as a whole through public and private partnership endeavors.
PPCI-BBCI President Dr. Rhodora A. Ngolob in behalf of her group expressed their support to the city’s endeavors for the welfare of its constituents.
It can be recalled earlier that in its 3-page position paper, the business group expressed their opposition against some of the provisions stipulated in the proposed ordinances, more particularly on the proposed general revision of schedule of market values of the city.
