Requesting Opinion on the Propriety of Issuing a Certificate of No Tax Liability to Sanac Philippines Corporation (SPC) Located Inside the First Cavite Industrial Estate, Dasmariñas City

March 29, 2016 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Mr. Ramon G. Llacer City Treasurer Office of the City Treasurer Dasmarias City SUBJECT : Requesting Opinion on the Propriety of Issuing a Certificate of No Tax Liability to Sanac Philippines Corporation (SPC) Located Inside the First Cavite Industrial Estate, Dasmarias City Sir : This refers to your letter dated March 1, 2016 seeking opinion on the propriety of issuing a Certificate of No Tax Liability to Sanac Philippines Corporation (SPC), a PEZA-registered enterprise operating inside the First Cavite Industrial Estate in Dasmarias City, Cavite. HTcADC It is our view that the issuance of such Certificate is discretionary on the part of a Local Government Unit (LGU) like Dasmarias City as there is no explicit or clear provision both in the Special Economic Zone Act of 1995 (R.A. No. 7916, as amended) and the Local Government Code (LGC) of 1991 (R.A. No. 7160) enjoining local government units (LGUs) to issue a Certificate of No Tax Liability to a PEZA locator. Rather, we consider the request of Sanac as more of a personal request as there is no information that would point that the enterprise is being required to produce or submit a Certificate issue by an LGU clearing Sanac from any liability. We hope that this will help clarify matters. Very truly yours, (SGD.) JOCELYN T. PENDON OIC-Executive Director