Cebu City Ranks Third in Tax Collection Efficiency

(Public Information Office) – The Queen City of the South emerged third among 16 cities all over Central Visayas in terms of tax collection efficiency for the year 2013.

The objective business tax collection for that year was P1.09 billion, and the city after the actual collection reached about P1.18 billion.

City Treasurer’s Office (Cto) chief Diwa Cuevas received an announcement from the Bureau of Local Government Finance (BLGF)-7 last August 26, 2014 notifying the city’s standing of its tax collection efficiency.

BLGF-7 said that the Cebu City Government through its Cto achieve in 2013 a collection efficiency of 107.77 percent. The actual fees and charges collection reached P415.44 million, which is greater than the target collection of P335.72 million, or a collection efficiency of 123.75.

In an interview with the BARUGG News, Cuevas pointed out that the increase in tax collection could be attributed to the growing number of business establishments in the city, adding that it was also due to their systematic tax collection campaign.

The Cebu City Government under Mayor Michael L Rama’s leadership has 45 percent higher collection compared to the collection in the past few years during the term of former mayor Tomas Osmena. During 2007-2009 under Osmena’s term the tax collection was only raised to P3.6 billion in real property tax while in Rama’s administration the city has collected P5.3 billion from 2011 to 2013.

Meanwhile, the BLGF-7 communication letter did not emphasize and reveal the ranking of the 16 cities in the region which emerged as efficient in their tax collection.

The city is yet to receive the communication from BLGF-7 for the ranking and status of tax collection efficiency for the year 2014. To date, the city is doing its best to maintain and still improve their collection this year to achieve a much better ranking.

Moreover, for the year 2015, the city is conducting the One-stop shop application and renewal of Mayor’s Business Permit at SM City Cebu Trade Hall 3 from January 5-23 with a target collection of P5 billion. For two days of its operation, the city has collected at least P8.8 million already. The city has a P13 billion annual budget for this year. (Greggy Jiggs P. Senados, PIO Staff)