Bureau of Local Government Finance Opinion

August 14, 2001 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION 2nd Indorsement Respectfully returned thru the Regional Director for Local Government Finance, Region XI, Helen K. Lee Building, corner Juan Luna and Juan dela Cruz Streets, Davao City, to the City Treasurer, Davao City, her letter dated May 22, 2001, requesting opinion on the propriety of City Ordinance No. 114-01 s. of 2001, transferring some positions of collecting officers/clerks of the said office to the Office of the City Economic Enterprise and the function of collecting economic enterprise fees and charges to the same office. In effect, collections previously done by the City Treasurer's Office shall now be handled by the City Economic Enterprise. It is the view of the Regional Director that the above cited City Ordinance No. 114-01 is against the provision of Section 170 of the Local Government Code (LGC) of 1991 as implemented under Article 258 of the Implementing Rules and Regulations (IRR) of said Code, quoted hereunder: "Art. 258. Collection of Local Revenues by Treasurer . All taxes, fees and charges authorized under this rule to be imposed by LGUs may only be collected by the provincial, city, municipal, or barangay treasurer or their duly authorized deputies, if a tax ordinance or revenue measure embodying the same has been duly enacted by the local sanggunian after the conduct of mandatory public hearing thereon and approved in accordance with the provisions of this rule. acCTIS "Barangay treasurers may be deputized by the provincial, city or municipal treasurer to collect local taxes, fees, or charges, and in such event, the provincial, city or municipal government concerned shall pay the premiums of the additional bonding requirement." It is clear from the aforequoted provisions that only local treasurers or their deputies may collect local taxes, fees and charges. Consequently, unless deputized by the local treasurers concerned, the personnel of the offices of the City or Municipal Economic Enterprise may not collect the same. Be that as it may, it is emphasize that the foregoing views are expressed in line with the provisions of Article 287 of the IRR and not a declaration of the nullity or illegality of City Ordinance No. 114-01. That Office should therefore question the legality of said Ordinance before a court of competent jurisdiction. Be guided accordingly. (SGD.) BENJAMIN A. GERONIMO Executive Director <www.blgf.gov.ph/downloads/opinion/localtax/2001/a2001-0516.pdf> last visited January 13, 2014.