City to track down businesses that failed to pay taxes

CEBU, Philippines - The Cebu City Treasurer’s Office will conduct business tax mapping next week to track down business owners who have not paid their tax dues.

Based on CTO records, only 24,368 business establishment owners have paid dues out of the 25,294 business establishments assessed from January 5 to January 23.

This means that at least 926 business owners that were assessed by the city government have not paid yet.

City Treasurer Diwa Cuevas said there are 30,000 business establishments registered in the city.

Cuevas said that since the deadline for renewal and application of a business tax permit has concluded last January 23, CTO needs to undertake tax mapping to determine which business owners did not pay.

The city has collected at least P640 million at the one-stop shop at the SM City Trade Hall from January 5 to 23.

In the same period last year, the city government collected P594 million and assessed 24,340 business establishments.

Cuevas said the city will still accept business permit renewal applications, but the owner will be charged 25 percent of the payment as penalty.

Starting January 24, business owners will be asked to pay a two percent interest per month and 25 percent surcharge and late securing fees.

The result of the business tax mapping will be forwarded to the City Legal Office.

Cuevas said business establishment that failed to renew after three consecutive notices will be closed.

Rama earlier challenged CTO to collect P5 billion from renewal of business permits, real property taxes, business taxes, and regulatory fees this year, saying this year will be an active year in looking for funds to support the P13.4-billion annual budget of the city.

Cuevas says, however, that the city’s operations will not be affected by the result of the collection.  (FREEMAN)