Amending Section 44 of City Tax Ordinance No. LXIX (Omnibus Tax Ordinance of the City of Cebu, as Amended)

June 16, 2004 Excerpt from the Minutes of the Regular Session Held by the Sangguniang Panlungsod of the City of Cebu in its Session Hall on June 16, 2004. PRESENT: Hon. Michael L. Rama Presiding Officer Hon. Gabriel V. Leyson Pres. Protempore Hon. Jocelyn G. Pesquera Majority Floor Leader Hon. Procopio E. Fernandez Asst. Maj. Flr. Leader Hon. Carmelita L. Piramide Asst. Min. Flr. Leader Hon. Rodrigo A. Abellanosa Member Hon. Christopher I. Alix Member Hon. Nestor D. Archival, Sr. Member Hon. Glena C. Bontuyan Member Hon. Gerardo A. Carillo Member Hon. Eugenio Faelnar Member Hon. Danilo M. Fernan Member Hon. Sylvan B. Jakosalem Member Hon. Vicente A. Kintanar, Jr. Member Hon. Manuel P. Legaspi Member Hon. Arsenio C. Pacaa Member Hon. George R. Rama Member Hon. Dana Ruiz Sesante Member ABSENT: Hon. Eugenio F. Gabuya, Jr. Minority Floor Leader (On Leave) RESOLUTION NO. 4371-04 The Sangguniang Panlungsod of the City of Cebu, on motion of Member Pesquera, seconded by Member Rama, RESOLVED, to approve the following ordinance: CITY TAX ORDINANCE NO. CIV AN ORDINANCE AMENDING SECTION 44 OF CITY TAX ORDINANCE NO. LXIX, OTHERWISE KNOWN AS THE OMNIBUS TAX ORDINANCE OF THE CITY OF CEBU, AS AMENDED WHEREAS, Section 102 of R.A. 7160, otherwise known as the Local Government Code, provides that the local government units may grant tax exemptions, incentives or reliefs; WHEREAS, Section 44 of City Tax Ordinance No. LXIX entitled: "The Omnibus Tax Ordinance of the City of Cebu, as Amended" provided for exemptions to the payments of amusement tax; WHEREAS, among those granted tax reduction are the holding of pop, folk, rock or similar concerts; WHEREAS, a number of promoters of the aforesaid concerts had decided to hold concerts outside Cebu City due to the amusement tax charged to them, which is higher than those charged by other local government units; WHEREAS, there is a need to reduce the amusement tax in order to encourage the holding of concerts in the City of Cebu; WHEREFORE, the Sangguniang Panlungsod of the City of Cebu, in a regular session assembled, hereby ordains that: SECTION 1. Section 44 of City Tax Ordinance No. LXIX, otherwise known as the OMNIBUS TAX ORDINANCE OF THE CITY OF CEBU, as amended, is hereby amended to read, as follows: "Section 44. Exemptions. The holding of operas, concerts, dramas, recitals, painting and art exhibitions, flower shows, musical programs, literary and oratorical presentations, shall be exempted from the payment of the amusement tax, subject to the approval of the Sangguniang Panlungsod of their duly filed application for exemption. Pop, folk, rock or similar concerts and all other presentations may be granted tax reduction or be exempted from the payment of the amusement tax, subject to the approval of the Sangguniang Panlungsod of their duly filed application for exemption; Provided, that the owners, operators or promoters of Pop, folk, rock or similar concerts and all other presentations shall donate an amount of not less than Ten Thousand (P10,000.00) Pesos to a Cebu based charitable institution(s) or foundation(s) or Non-Governmental Organization (NGO). Athletic games or meets and competitions such as basketball games, boxing exhibitions and bouts are taxable if such game, athletics, meets or exhibitions are held primarily for fund-raising purposes, unless they are held under the auspices of or sponsored by Educational Institutions, by the Philippine Amateur Athletic Federation (PAAF); by the Basketball Association of the Philippines (BAP); by the Philippine National Red Cross (PNRC); by the Cebu City Sports Commission (CCSC) by the Federation of the Association of Barangay Councils (FABC); and by the SK Federation: PROVIDED, HOWEVER, That all the Amusement taxes collected from the athletic games, meets or exhibition, which are held primarily for fund-raising purposes and are not exempted from payment of such tax shall inure exclusively for the benefit of the Cebu City Sports Commission. DSacAE The request for exemption or reduction of amusement tax must be supported by a Memorandum of Agreement (MOA) signed by the promoter/producer/sponsoring agent and the beneficiary. All other Athletic games, meets and/or competitions not sponsored by the entities/institutions mentioned above shall be entitled to the following rates based on their gross receipts: Over But Not Over The Tax Shall Be Plus Of the Excess Over P50,000.00 Exempt P50,000.00 100,000.00 P15,000.00 10% P50,000.00 100,000.00 200,000.00 15,000.00 15% 100,000.00 200,000.00 300,000.00 25,000.00 20% 200,000.00 300,000.00 400,000.00 35,000.00 25% 300,000.00 400,000.00 500,000.00 50,000.00 30% 400,000.00 500,000.00 Regular Rate PROVIDED, it is undertaken to promote and develop Cebuano athletes; PROVIDED, FURTHER, a request to that effect together with the list of the Cebuano athletes involved in the said activity is submitted to the Sangguniang Panlungsod or approval." SECTION 2. Repealing Clause. Any and all ordinances, orders, rules, regulations or parts thereof, which are inconsistent with the provisions of this ordinance are hereby repealed, amended, or deemed modified accordingly. SECTION 3. Effectivity Clause. This ordinance shall take effect fifteen (15) days from its publication. CARRIED UNANIMOUSLY. I hereby certify to the correctness of the aforequoted resolution/ordinance. (SGD.) ESTRELLA F. DE LOS REYES City Secretary ATTESTED: (SGD.) MICHAEL L. RAMA Presiding Officer APPROVED: July 5, 2004 (SGD.) TOMAS R. OSMEA Mayor