Cebu City Legislator Files Proposed Ordinance to Grant Amnesty on Real Property Tax

A Cebu City legislator has filed a proposed ordinance seeking to grant amnesty to taxpayers on the interests, penalties and surcharges from their failure to pay real property taxes (RPT).

Councilor Jocelyn Pesquera, who sponsored the proposed ordinance, said it will cover those who failed to pay their RPT from 1970 to 2012.

Pesquera said there are taxpayers, particularly those who inherited real estate properties, who have yet to pay their tax dues because of the huge amount incurred from the interests, penalties and surcharges.

Pesquera believes these taxpayers will pay if they are given discounts.

This will also generate more economic activities in the city, she said.

“The Cebu City government is willing to grant amnesty to all taxpayers with respect to the penalties, interests and surcharges arising from non-payment of real property taxes for the period of 1970-2012,” the proposed ordinance read.

Under the proposed legislation, a hundred percent discount on unpaid interests, surcharges and penalties will be granted from the year 1980 to 1995.

The unpaid taxes from 1996 to 2000 will be given 75 percent discount while those from 2001 to 2005 will be given 50 percent discount.

A 40 percent discount will be given to those with unpaid RPTs from 2006 to 2010, and 30 percent discount for dues incurred from 2011 to 2012.

All of these will be granted provided that the delinquent taxpayers will have to pay at least 20 percent of their total dues to the city.

The balance, the proposed ordinance added, should be paid within a maximum of three years from the signing of a compromise agreement between the two parties. (PNA) SCS/EB/SSC