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VOLUME XXVIII No. 30
Tagbilaran City, Bohol, Philippines
February 2, 2014 issue
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Compromise payment  of  tax liability “open to corruption”, councilor warns

 

City Councilor Alexander H. Lim has warned that the city ordinance approved last week by the city council granting a compromise payment to delinquent taxpayers is “open to corruption.”  This surfaced when the Sangguniang Panlungsod finally approved Ordinance No. 18-13, that authorizes Mayor John Geesnell “Baba” Yap II “to grant a compromise payment of tax liability for taxpayers with past due tax liability under certain circumstances.”  Lim, who opposed the measure, told a radio interview that why the haste of passing the measure when there still are a lot of kinks need to be ironed out., like no data as to number of delinquent taxpayers or businessmen and how much these people owe the city government.  Earlier, City Councilor Oscar Glovasa was quick to prevent the measure from passing the legislative wringer. Kagawad Bebiano Inting, proposed the tax measure. Glovasa said that the city council cannot just pass the measure without data. He said how much the estimated amount of tax liability and who are the tax delinquents that Kag. Inting failed to produce during the last regular session last year. Lim minced no words of doubting on the motive of the sponsor Kag. Joseph Bompat when he was the only one who signed the committee report containing the proposed measure when presented last week's session.

The younger Bompat is the chairman of the ways and means committee that reported the said measure.   Lim said that the measure opens the possibility of corruption since it would be hard to check since the ordinance provides no safety nets on how to deal with the delinquents.  The proposed measure has bared that the city government “has accumulated a huge tax collectible” but without exact figures or how much. It said that “doubtful validity of tax assessment by the city government” and financial position of the tax payers demonstrate a clear inability of the taxpayers to pay the tax and the administrative and collection fees exceeds the amount to be collected and refusal of the city government to accept payment of tax,” the proposed ordinance said. Under the proposed relief measure apparently in favor of the taxpayers, the taxpayers whose financial position demonstrates a clear inability or has no capacity to pay the tax may be relieved from such liability. The city mayor, the measure pointed out, upon the recommendation of the city treasurer, is authorized to deal with the said measure in granting the compromise with the taxpayers concerned. The taxpayers who are qualified with this measure, if approved, “may avail of this program not later than March 31, 2014 and compromised tax liabilities exceeding Php500,000 may settle it in installment basis for a period not more than one year, the proposed ordinance provides.

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