Bureau of Local Government Finance Opinion

March 2, 1994 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Mr. Bienvenido M. Torres Vice President and General Manager Shi Designing & Manufacturing, Inc. 2C-Plaza Royale Bldg. 120 Alfaro Street, Salcedo Village Makati, Metro Manila S i r : This refers to your letter dated January 31, 1994 requesting that the last day of the tax exemption of your firm as embodied under a 2nd indorsement of this Department dated December 21, 1993 be corrected from February 3, 1994 to April 15, 1994 to reconcile with the date of commencement of your firm's commercial operation. cd In this connection, Section 133(g) of the Local Government Code of 1991 (RA 7160) as implemented by Article 221(g) of the Implementing Rules and Regulations (IRR) of the Code, provides as follows: "Sec. 133. Common Limitation on the Taxing Powers of Local Government Units . Unless otherwise provided herein, the exercise of the taxing powers of provinces, cities, and municipalities, and barangays shall not extend to the levy of the following: casia xxx xxx xxx "(g) Taxes on business enterprise certified to by the Board of Investments as pioneer and non-pioneer for a period of six (6) and four (4) years, respectively, from the date of registration; . . ." In view of the foregoing, and considering that company was issued a Certificate of Registration No. EP 89-808 by the Board of Investments as a non-pioneer enterprise on February 2, 1990, as appearing on said certificate, it follows that the period of its exemption shall start from said data of registration which is February 2, 1990 and shall expire four years thereafter, or on February 1, 1994. We trust that this will clarify matters. Very truly yours, (SGD.) LORINDA M. CARLOS Executive Director