Davao City firms enjoying incentives still have to pay permits

THE proposed ordinance enacting the 2017 Davao City Revenue Code intends to include all establishments or entities enjoying tax incentives to pay mayor's permit fee and all regulatory fees.

The proposed ordinance, now being deliberated by the City Council, includes the provision, which intends to amend the 2005 Revenue Code that only states that "one line of business or trade does not become exempt by being conducted with some other business or trade for the permit has been obtained and the corresponding fee paid for" to define the coverage of the mayor's permit.

The proposed ordinance states that the imposition of mayor's permit and other regulatory fees is provided to regulate any business activity or undertaking conducted within the city.

"This power regulate emanates from police power of Davao," the provision in the bill read.

The proposed amendment of the revenue also stated that the annual fee at the rate provided for under the issuance of mayor's permit shall be collected from every person whether natural or juridical that shall conduct a business, trade, or activity.

This provision is proposed to amend the 2005 revenue code which states that "there shall be a collection of annual fee to operate a business, pursue an occupation or calling, or undertake an activity within the city."

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