Village chiefs gripe over Cedula issuance policy

CEBU, Philippines - The barangay captains are up against the new policy implemented by the City Treasurer’s Office stripping them off the authority to collect community taxes from the business establishments in their respective barangay.

Association of Barangay Councils vice president Manuel Guanzon said some of his colleagues are complaining that City Treasurer Ofelia Oliva is not allowing the barangay to issue Community Tax Certificates to business establishments.

Guanzon, Captain of Barangay Capitol Site, shared the sentiments of the other barangay captains because his barangay was also affected by the new policy.

Guanzon pointed out that the issuance of CTC or cedula helps increase the income of the barangays.

Section 164 of the Local Government Code allows the barangay treasurers to issue community tax certificates. Cedula is a form of tax paid to the local government unit for being a member of the community. It is collectible by the city or municipality treasurer who can deputize the barangay treasurers in the collection thereof in their respective territorial jurisdiction.

But what happened, according to the barangay captains, Oliva deprived them from collecting taxes to business establishments.

Guanzon said Oliva deprived the barangays of their income. According to him, his barangay was even ordered by Oliva to explain for issuing cedula to the employees of Rajah Park Hotel, which belongs to the area of Capitol Site.

The cedula is required before a barangay clearance could be issued to a business owner.

Guanzon said they were forced by Oliva to sign an undertaking which serves as a waver of their right to collect community tax from the business establishments.

“The document for me appears to be self-incriminating in case we exercise full implementation mandated and granted by the Local Government Code. It should not be considered valid,” Guanzon said.

Under the undertaking, it was pointed out that barangay treasurers are not allowed to issue cedula to business establishments be it private or public office, schools and hospitals including its personnel and employees.

Oliva, however, said the law is very clear “only cities or municipalities are allowed to issue CTC as provided in Section 164 (b).”

Oliva agreed that the city treasurer may deputize barangay treasurers to collect community tax, provided that barangay treasurers are bonded as mandated under the existing law.

“The deputation is discretionary on the part of the city treasurer and the bond relative to his or her (barangay treasurer) deputation to collect is separate and distinct from whatever bond he or she has already posted as barangay treasurer,” Oliva said.

But the barangay captains refuse to believe Oliva. They want to meet Mayor Michael Rama today and seek the opinion of the Department of Interior and Local Government to find out whether the action of Oliva is legal. —  (FREEMAN)