Bureau of Local Government Finance Opinion

January 11, 2001 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION 2nd Indorsement Respectfully returned to the City Treasurer, Pasig City, the herein preceding indorsement. cDTSHE This refers to Memorandum Order Nos. 51-2000 and 49-2000 of the City Mayor of that City regarding the delineation of functions of the Business Permit and License Office (BPLO), License Division, Office of the City Treasurer, EDP and payment of taxes and fees. In the said Memorandum Order No. 51-2000, the following functions, among others, have been delineated to the BPLO: 1. Determination of gross sales of the taxpayers including deficiency tax base. 2. Recommend tax assessment to the City Treasurer through the License Division. In this connection, enclosed for your information and guidance is a copy of the 1st Indorsement dated June 14, 1996 to the City Treasurer, Kaloocan City, bearing on similar issues, the pertinent portion of which is quoted as follows: ". . ., the City Treasurer is the one responsible for the administration, assessment, collection and enforcement of all local taxes, fees and charges thereat, which includes the amusement tax. Therefore, the transfer of the administration, assessment, collection and enforcement of the amusement tax from that Office to the Business Permits and Licensing Office under the Office of the City Mayor is not founded on, or supported by, any provision of the Code." On the other hand Memorandum Order No. 49-2000, states among others that "No Letter of Confirmation in relation to the examination of the books of account of taxpayers shall be accepted unless an audited financial statements and results of confirmation are attached." It must be pointed out that the examination of books of accounts of businessmen pursuant to Section 171 of the Local Government Code of 1991 (LGC) is an inherent function of local treasurers. However, it is likewise pointed out that the City Mayor is clothed with the power of general supervision and control over local administrative affairs pursuant to Section 455 (1) of the same Code, and as such, shall, "Examine the books, records and other documents of all offices, officers, agents or employees of the city and, in aid of his executive powers and authority, require all national officers and employees stationed in or assigned to the city to make available to him such books, records, and other documents in their custody, except those clarified by law as confidential. Be guided accordingly. EIASDT (SGD.) BENJAMIN A. GERONIMO Executive Director <http://www.blgf.gov.ph/downloads/opinion/localtax/2001/a2000-1122.pdf> last visited October 23, 2013.