MANILA -- Malacanang urged the Metropolitan Manila and Development Authority (MMDA) and the Bureau of Internal Revenue (BIR) to meet and sort out how the MMDA could settle its P120 million tax obligation.

The BIR has garnished some bank accounts of the MMDA for failure of paying taxes. The MMDA is also in danger of losing its equipment and office if they continue to neglect its tax duties.

But Chief Presidential spokesperon Ricardo Saludo said on Wednesday that the Palace is positive that BIR would not undertake action that will adversely affect the duty of MMDA to public.