City needs to amend tax law to tax armored cars and hearses

The Cebu City government needs to amend its existing tax ordinance before it can impose delivery tax on bank's armored vans and hearses operating in the city.

Acting city attorney Rodolfo Golez said the plan of the city to impose the delivery tax could not be done because it was not stated in the city tax code. The plan was hatched during the recent meeting of the City Traffic Operations Management board.

In other local government units, delivery trucks are subjected to a delivery tax from P500 to P1,000 a year.

Land Transportation Franchising and Regulatory Board regional director Rogelio Osmeña, a member of the CITOM board, advised Councilor Sylvan Jakosalem to work for the amendment of the existing tax ordinance.

Jakosalem, chairman of the City Council committee on transportation, has already instructed his staff to prepare for the necessary documents in their bid to amend the Cebu City Tax Code, particularly the Section 58.

The plan to impose the delivery tax, however, is expected to meet resistance from the bankers' association and funeral parlor owners in the city.

There are at least 100 armored vans and hearses operating in the city. - Rene U. Borromeo/LPM