Suspension of Lgu Imposition and Collection of Illegal Fees and Taxes

June 26, 2006 DILG MEMORANDUM CIRCULAR NO. 070-06 TO : All Provincial Governors, City Mayors, Municipal Mayors, Punong Barangays, DILG Regional Directors and Others Concerned SUBJECT : Suspension of Lgu Imposition and Collection of Illegal Fees and Taxes Reports have reached this Department that some local government units are imposing various fees, taxes and other charges on transporting goods and passengers carried into or out of, or passing through, their respective territorial jurisdictions, which is beyond the scope of their taxing powers as embodied in Sections 134, 142, 151, and 152 of the Local Government Code. In view thereof, and pursuant to Section 133(e) of the Code, all local chief executives are hereby enjoined to: (1) refrain from enforcing any existing ordinance authorizing the levy of fees and taxes on inter-province transport of goods, regulatory fees from passengers in local ports, and other additional taxes, fees or charges in any form upon transporting goods and passengers; and CaDEAT (2) cause the immediate repeal of the ordinance imposing the abovecited fees and taxes. All DILG Regional Directors are likewise hereby enjoined to cause the immediate and widest dissemination of this Memorandum Circular within their regional assignments. (SGD.) RONALDO V. PUNO Secretary