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Saturday, June 12, 2004
City to pursue collection of P100M GOCCs' taxes By Abigail Tan
THE City Government this year will pursue the collection of franchise and real property taxes from government owned and controlled corporations (GOCCs) based in the city.
City Treasurer Soledad Li declared this as she cited provisions of the local government code and Supreme Court resolutions, legalizing the collection of the taxes.
City collectibles, representing franchise and real property taxes including the surcharges, will have an aggregate amount of more or less P100 million.
The GOCCs that have pending accounts with the city government include the Zamboanga City Electric Cooperating (Zamcelco), the Philippine Ports Authority (PPA), the Golf Beach and Country Club, the Sangali Fishing Port, the Air Transportation Office (ATO) and the Philippine Long Distance Telephone Company (PLDT), among others.
In the case of the PPA, Zamcelco and PLDT, the Supreme Court, in separate resolutions recently, has upheld the claim of the local government units that the agencies have to pay taxes.
Zamcelco has a pending request with the City Council to condone the taxes, saying that it will be forced to pass on the burden to the consumers, as it is not in the position to pay the over P80 million account representing taxes to the City Government.
On the other hand, Li said the billing for the Sangali Fishing Port is restrained by the Court by virtue of a Temporary Restraining Order (TRO) as a consequence of a case filed by the said corporation.
The Philippine Tourism Authority, which manages the Golf Beach and Country Club in Upper Calarian, has asked the City Council to condone the penalty, but the request is still pending.
Li said her office is set to communicate with the agencies concerned to bill them anew based on the recent Supreme Court ruling.
These GOCCs were billed since the time of former City Treasurer Edgardo Francisco, who stressed that city treasurers are liable to administrative and criminal charges if they do not comply with the provisions of the local government code of collecting all mandatory taxes.
Francisco then said that in case of failure to pay the taxes, levy proceedings will have to be undertaken.
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