Council okays hike in amelioration tax

CEBU - After postponing approval to iron out some kinks, the Cebu City Council finally approved yesterday the proposal of three councillors to raise to P10 the city’s amelioration tax.

The newly approved ordinance amends an existing law that imposes P1 amelioration tax to each customer of night spots, beer joints, gambling establishments, cockpits, massage parlors, beer houses, motels and other similar establishments.

However, the newly-approved ordinance will be implemented only after approval of the mayor. The mayor also has the prerogative to veto an ordinance or return the same to the council for possible improvements.

The higher amelioration tax aims to balance the low collected tax rate reportedly brought about by the seeming ineffective collection at the level of the establishments.

The proponents of the ordinance, Councilors Joey Daluz III, Hilario Davide III and Roberto Cabarrubias, also said a bigger amelioration tax could generate more funds that can be used for poverty reduction and fund social amelioration projects for women and children in the city.

Of the city’s 80 barangays, 39 are reportedly experiencing malnutrition.

If necessary, the ordinance also allows the city treasurer to designate barangay treasurers to help collect amelioration tax from different barangays.

The council approved the creation of a social amelioration board ensure proper implementation of the ordinance. The board is also tasked submit regular collection reports to the City Council.

The council also noted the proposal of Councilor Rodrigo Abellanosa to assign City Hall personnel in selected establishments to effectively implement the ordinance. — Rene U. Borromeo/JMO (THE FREEMAN)