DAVAO CITY — City Mayor Sara Duterte-Carpio has asked the City Council to approve an ordinance containing her proposal to grant incentives and relief to business establishments supporting the city government’s response to the coronavirus pandemic.
In a press statement issued by the City Information Office on Tuesday, it reported that Duterte-Carpio already submitted the proposal to the 18th City Council to craft an ordinance providing for incentives and relief to mitigate the adverse economic effect of Coronavirus Disease (Covid-19) in Davao City.
Under the proposal, lessors waiving the rental fees for their lessees can have a deduction of such amount to their gross sales receipt provided that there is a duly notarized certificate from the lessee as proof of the waiver.
The scheme includes property owners who waived the rental fee for their lessee, in which case, the city will deduct the rent from the gross sales receipts.
Business establishments that are assigned as quarantine facilities are also covered in the proposed ordinance.
“Katong mga establishment nga nagpahulam og quarantine facility, pwede nimo na siya ibutang (Those establishments that allowed to be used as quarantine facility may also avail of it). The gross sales receipt less the aforementioned deductible amount shall be the basis of your business taxes,” Mayor Sara added.
According to the Mayor, the monetary value of donations made to the City Government of Davao as an aid to Covid-19 may also be deducted from the gross sales receipt of a business establishment to lessen payable business tax.
The proposed ordinance is now up for second reading under the Committee on Finance, Ways and Means chaired by Second District Councilor Danilo Dayanghirang.
Other steps have also been taken by the city government to help business owners. The city government suspended the implementation of the final tranche of the increase in real property tax payment.
In order to give way for its taxpayers during this time of crisis, the local government has also passed Ordinance No. 0243-20 or “Ordinance Extending the deadlines of payment for the Second quarterly installment of business tax, First quarterly installment of real property tax and additional levy on real property for the Special Education Fund and rental fee for March to June 2020 for public markets, Davao City Overland Transport Terminal, Sta. Ana Port, Magsaysay, and Pasalubong center to June 30.”
The city also waived the interests, penalties, and surcharges incurred for nonpayment of all local taxes, fees, charges, and fines which fall due during the community quarantine and enhanced community quarantine by virtue of Ordinance No. 0257-20. –With CIO report
