DAVAO CITY – Mayor Sara Z. Duterte has asked the City Council to approve a measure that seeks to grant incentives and relief to business establishments supporting the city government's response to the coronavirus disease 2019 pandemic.
In an interview, Mayor Sara said her office already submitted the proposal to the 18th City Council, asking the legislative body to craft an ordinance providing for incentives and relief to mitigate the adverse economic effect of Covid-19 in the city.
Under the proposal, lessors waiving the rental fees for their lessees can have a deduction of an amount to their gross sales receipt provided that there is a duly notarized certificate from the lessee as proof of the waiver.
Business establishments that are assigned as quarantine facilities are also covered in the proposed ordinance.
“If you are a lessor and waive the rental fee to your lessee we, in the city government deduct from your gross sales receipt. Also, those establishments that allowed to be used as a quarantine facility, the gross sales receipt less the aforementioned deductible amount shall be the basis of your business taxes,” Duterte said.
She said the monetary value of donations made to the city government as an aid to Covid-19 may also be deducted to the gross sales receipt of a business establishment to lessen payable business tax.
On the other hand, the City Council has passed an 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 under Ordinance 0257-20.