Ordinance Including Value-Added Tax and Other Taxes to the Rates and Charges of the Marikina Hotel and Convention Center in Accordance with Section 2.5 of Bureau of Internal Revenue Regulation No. 18-2012

March 29, 2017 MARIKINA CITY ORDINANCE NO. 015-17 ORDINANCE INCLUDING VALUE-ADDED TAX AND OTHER TAXES TO THE RATES AND CHARGES OF THE MARIKINA HOTEL AND CONVENTION CENTER IN ACCORDANCE WITH SECTION 2.5 OF BUREAU OF INTERNAL REVENUE REGULATION NO. 18-2012 Introduced by: Councilor Manuel E. Sarmiento WHEREAS , the Marikina Hotel and Convention Center, by virtue of Ordinance No. 119, Series of 2003 and Ordinance No. 26, Series of 2009, respectively, was created as the economic enterprise of the City Government of Marikina in the exercise of its proprietary functions in accordance with Section 22 of R.A. 7160 otherwise known as the Local Government Code of 1991; WHEREAS , the Bureau of Internal Revenue (BIR) Regulation No. 18-2012, in particular Section 2.5 on Government Proprietary Functions, prescribed that: "for purposes of these regulations, when x x x local government unit acts in its proprietary character, it is regarded as having the rights and obligations of a private corporation. For government entities to be taxable, the following requisites must concur: (1) the government entity concerned must not be performing an essential governmental function; (2) it must be engaged in similar business, industry or activity as performed by other taxable corporations. All income realized from or received in the exercise of its proprietary functions shall be subject to income tax and business taxes in the same manner as other private corporations similarly situated. x x x" WHEREAS , in compliance with the aforesaid Bureau of Internal Revenue Regulation, the Board of Trustees of Marikina Hotel and Convention Center passed Resolution No. 45, Series of 2017 recommending to the Sangguniang Panlungsod of Marikina the approval of the inclusion of value-added tax and other taxes to its rates and charges. NOW THEREFORE, BE IT ORDAINED AS IT IS HEREBY ORDAINED, BY THE SANGGUNIANG PANLUNGSOD OF MARIKINA, in session assembled that: SECTION 1. The City Government of Marikina hereby authorizes Marikina Hotel and Convention Center the inclusion of value-added tax and other taxes to its rates and charges. SECTION 2. All ordinances, resolutions, executive orders or regulations and other issuances inconsistent with the provisions and/or purposes of this Ordinance are hereby repealed, amended or modified accordingly. SECTION 3. This Ordinance shall take effect immediately upon approval. UNANIMOUSLY ENACTED by the City Council of Marikina, this 29th day of March, 2017. I HEREBY CERTIFY to the passage of the foregoing Ordinance which was duly enacted during the 12th Regular Session of the 8th City Council of Marikina on March 29, 2017. (SGD.) NORALYN R. TINGCUNGCO City Council Secretary ATTESTED AND CERTIFIED TO BE DULY ENACTED: (SGD.) THADDEUS ANTONIO M. SANTOS, JR. City Councilor/President Pro-Tempore Acting Presiding Officer APPROVED BY THE HONORABLE CITY MAYOR ON April 4, 2017 (SGD.) MARCELINO R. TEODORO City Mayor