Levying an Annual Business Tax Within the Municipality of Parañaque

December 3, 1992 PARAAQUE ORDINANCE NO. 137-92 AN ORDINANCE LEVYING AN ANNUAL BUSINESS TAX WITHIN THE MUNICIPALITY OF PARAAQUE Proponent: Councilor Reynaldo C. Olivarez Co-Proponents: Councilor Gustavo S. Tambunting Councilor Alfredo S. Castro WHEREAS, the basis of the previous business tax was already repealed by Republic Act No. 7160, otherwise known as the Local Government Code of 1991; WHEREAS, in accordance with Section 129 of Republic Act No. 7160, each local government unit shall exercise its power to create its own sources of revenue and to levy taxes, fees and charges subject to the provisions of Code, consistent with the basic policy of local autonomy. Such taxes, fees and chargers shall accrue exclusively to the local government units. NOW THEREFORE: BE IT ORDAINED, as it is hereby ordained by the Municipal Council assembled that: SECTION 1. Definition of terms . (a) Agricultural Product includes the yield of the soil, such as corn, rice, wheat, rye, hay, coconuts, sugarcane, tobacco, root crops, vegetables, fruits, flowers, and their by-products, ordinary salt; all kinds of fish; poultry; and livestock and animal products, whether in their original form or not. The phrase " whether in their original form or not " refers to the transformation of said products by the farmer, fisherman, producer or owner through the application of processes to preserve or otherwise to prepare said products for the market such as freezing, drying, salting, smoking, or stripping for purposes of preserving or otherwise preparing said products for the market. The term " by-products " shall mean those materials which in the cultivation or processing of an article remain over, and which are still of value and marketable, like copra cake from copra or molasses from sugar cane; (b) Amusement is a pleasurable diversion and entertainment. It is synonymous to relaxation, avocation, pastime or fun; (c) Amusement Places include theaters, cinemas, concert halls, circuses and other places of amusement where one seeks admission to entertain oneself by seeing or viewing the show or performance. (d) Business means trade or commercial activity regularly engaged in as a means of livelihood or with a view to profit; (e) Banks and Other Financial Institutions include non-bank financial intermediaries, lending investors, finance and investment companies, pawnshops, money shops, insurance companies, stock markets, stock brokers and dealers in securities and foreign exchange, as defined under applicable law, or rules and regulations thereunder; (f) Capital Investment is the capital which a person employs in any undertaking, or which he contributes to the capital of a partnership, corporation, or any other juridical entity or association in a particular taxing jurisdiction; (g) Charges refers to pecuniary liability, as rents or fees against persons or property; (h) Contractor includes persons, natural or juridical, not subject to professional tax under Section 139 of the Local Government Code of 1991, whose activity consists essentially of the sale of all kinds of services for a fee, regardless of whether or not the performance of the service calls for the exercise or use of the physical or mental faculties of such contractor or his employees. The term contractor shall include general engineering, general building and specialty contractors as defined under applicable laws; filling, demolition and salvage works contractors; proprietors or operators of mine drilling apparatus; proprietors and operators of dockyards; persons engaged in the installation of water system, and gas or electric light, heat, or power; proprietors or operators of smelting plants; engraving, plating, and plastic lamination establishments; proprietors or operators of establishments for repairing, repainting, upholstering, washing or greasing of vehicles, heavy equipment, vulcanizing, recapping and battery charging; proprietors or operators of furniture shops and establishments for planning or surfacing and recutting of lumber, and sawmills under contract to saw or cut logs belonging to others; proprietors or operators of dry-cleaning or dyeing establishments, steam laundries, and laundries using washing machines; proprietors or owners of shops for the repair of any kind of mechanical and electrical devices, instruments, apparatus, or furniture and shoe repairing by machine or any mechanical contrivance; proprietors or operators of tailor shops, dress shops, milliners and hatters, beauty parlors, barbershops, message clinics, sauna, Turkish and Swedish baths, slenderizing and body building saloons and similar establishments; photographic studios; funeral parlors; proprietors or operators of hotels, motels, and lodging houses; proprietors or operators of arrastre and stevedoring, warehousing, or forwarding establishments, master plumbers, smiths, and house or sign painters; printers, bookbinders, lithographers; publishers except those engaged in the publication or printing of any newspaper, magazine, review or bulletin which appears at regular intervals with fixed prices for subscription and sale and which is not devoted principally to the publication of advertisements; business agents, private detective or watchman agencies, commercial and immigration brokers, and cinematographic film owners, lessors and distributors; (i) Corporation includes partnerships, no matter how created or organized, joint-stock companies, joint accounts ( cuentas en participacion ), associations or insurance companies but does not include general professional partnerships and a joint venture or consortium formed for the purpose of undertaking construction projects or engaging in petroleum, coal, geothermal, and other energy operations or consortium agreement under a service contract with the government. General professional partnerships are partnerships formed by persons for the sole purpose of exercising their common profession, no part of the income of which is derived from engaging in any trade or business. The term resident foreign when applied to a corporation means a foreign corporation not otherwise organized under the laws of the Philippines but engaged in trade or business within the Philippines. (j) Countryside and Barangay Business Enterprise refers to any business entity, association, or cooperative registered under the provisions of RA 6810, otherwise known as Magna Carta For Countryside And Barangay Business Enterprises ; (k) Dealer means one whose business is to buy and sell merchandise, goods and chattels as a merchant. He stands immediately between the producer or manufacturer and the consumer and depends for his profit not upon the labor he bestows upon his commodities but upon the skill and foresight with which he watches the market. (l) Fee means a charge fixed by law or ordinance for the regulation or inspection of a business activity. It shall also include charges fixed by law or agency for the services of a public officer in the discharge of his official duties; (m) Franchise is a right or privilege, affected with the public interest which is conferred upon private persons or corporations, under such terms and conditions as the government and its political subdivisions may impose in the interest of public welfare, security, and safety; (n) Gross Sales or Receipts include the total amount of money or its equivalent representing the contract price, compensation or service fee, including the amount charged or materials supplied with the services and deposits or advance payments actually or constructively received during the taxable quarter for the services performed or to be performed for another person excluding discounts if determinable at the time of sales, sales return, excise tax, and value added tax (VAT); (o) Manufacturer includes every person who, by physical or chemical process, alters the exterior texture or form or inner substance of any raw material or manufactured or partially manufactured product in such manner as to prepare it for special use or uses to which it could not have been put in its original condition, or who by any such process, alters the quality of any such raw material or manufactured or partially manufactured products so as to reduce it to marketable shape or prepare it for any of the use of industry, or who by any such process, combines any such raw material or manufactured or partially manufactured products with other materials or products of the same or different kinds and in such manner that the finished products of such process or manufacture can be put to a special use or uses to which such raw material or manufactured or partially manufactured in their original condition could not have been put, and who in addition, alters such raw material or manufactured or partially manufactured products, or combines the same produce such finished products for the purpose of their sale or distribution to others and not for his own use or consumption. (p) Marginal Farmer or Fisherman refers to individual engaged in subsistence farming or fishing which shall be limited to the sale, barter or exchange of agricultural or marine products produced by himself and his immediate family, and whose annual net income from such farming or fishing does not exceed Fifty Thousand Pesos (P50,000) or the poverty line established by NEDA for the particular region or locality. (q) Motor Vehicle means any vehicle propelled by any power other than muscular power using the public roads, but excluding road rollers, trolley cars, street-sweepers, sprinklers, lawn mowers, bulldozers, graders, forklifts, amphibian trucks, and cranes if not used on public roads, vehicles which run only on rails or tracks, and tractors, trailers, and traction engines of all kinds used exclusively for agricultural purposes; (r) Municipal Waters include not only streams, lakes, and tidal waters within the municipality, not being the subject of private ownership and not comprised within national parks, public forest, timber lands, forest reserves or fishery reserves, but also marine waters included between two lines drawn perpendicularly to the general coastline form points where the boundary lines of the municipality or city touch the sea at low tide and a third line parallel with the general coastline and fifteen (15) kilometers form it. Where two (2) municipalities are so situated on the opposite shores that there is less than fifteen (15) kilometers of marine waters between them, the third line shall be equally distant from opposite shores of the respective municipalities; (s) Operator includes the owner, manager, administrator, or any other person who operates or is responsible for the operation of a business establishment or undertaking; (t) Peddler means any person who, either for himself or on commission, travels from place to place and sells his goods or offers to sell and deliver the same. Whether a peddler is a wholesale peddler or retail peddler of a particular commodity shall be determined from the definition of wholesale dealer as retail dealer as provided in this Section; (u) Persons mean every natural or juridical being, susceptible of rights and obligations or of being the subject of legal relations; (v) Residents refer to natural persons who have their habitual residence in the province, city, or municipality where they exercise their civil rights and fulfill their civil obligations, and to juridical persons for which the law or any other provision creating or recognizing them fixes their residence in a particular province, city, or municipality. In the absence of such law, juridical persons are residents of the province, city, or municipality where they have their legal residence or principal place of business or where they conduct their principal business or occupation; (w) Retail means a sale where the purchaser buys the commodity for his own consumption, irrespective of the quantity of the commodity sold; (x) Vessel includes every type of boat, craft, or other artificial contrivance used, or capable of being used, as a means of transportation on water; (y) Wharfage means a fee assessed against the cargo of a vessel engaged in foreign or domestic trade based on quantity, weight, or measure received and/or discharged by vessel; and (z) Wholesale means a sale where the purchase buys or imports the commodities for resale to persons other than the end user regardless of the quantity of the transaction. ADETca SECTION 2. Tax on Business. there is hereby imposed on the following persons who establish, operate, conduct, or maintain their respective businesses within the Municipality of Paraaque, a graduated business tax in the amounts hereafter prescribed. (a) On manufacturers, assemblers, repackers, processors, brewers, distillers, rectifiers, and compounders of liquors, distilled spirits and wines or manufacturers of any article of commerce of whatever kind or nature, in accordance with the following schedule: With gross sales or receipts for the Amount of Tax preceding year in the amount of: Per Annum Less than P 10,000.00 165.00 P10,000.00 or more but less than 15,000.00 220.00 15,000.00 or more but less than 20,000.00 302.00 20,000.00 or more but less than 30,000.00 440.00 30,000.00 or more but less than 40,000.00 660.00 40,000.00 or more but less than 50,000.00 825.00 50,000.00 or more but less than 75,000.00 1,320.00 75,000.00 or more but less than 100,000.00 1,650.00 100,000.00 or more but less than 150,000.00 2,200.00 150,000.00 or more but less than 200,000.00 2,750.00 200,000.00 or more but less than 300,000.00 3,850.00 300,000.00 or more but less than 500,000.00 5,500.00 500,000.00 or more but less than 750,000.00 8,000.00 750,000.00 or more but less than 1,000,000.00 10,000.00 1,000,000.00 or more but less than 2,000,000.00 13,750.00 2,000,000.00 or more but less than 3,000,000.00 16,500.00 3,000,000.00 or more but less than 4,000,000.00 19,800.00 4,000,000.00 or more but less than 5,000,000.00 23,100.00 5,000,000.00 or more but less than 6,500,000.00 24,375.00 6,500,000.00 or more at the rate of thirty seven and a half percent (37 1/2%) of one percent (1%) (b) On wholesaler, distributor, or dealer in any article of commerce of whatever kind or nature in accordance with the following schedule: With gross sales or receipts for the preceding Amount of Tax calendar year in the amount of: Per Annum Less than P 1,000.00 18.00 P1,000.00 or more but less than 2,000.00 33.00 2,000.00 or more but less than 3,000.00 50.00 3,000.00 or more but less than 4,000.00 72.00 4,000.00 or more but less than 5,000.00 100.00 5,000.00 or more but less than 6,000.00 121.00 6,000.00 or more but less than 7,000.00 143.00 7,000.00 or more but less than 8,000.00 165.00 8,000.00 or more but less than 10,000.00 187.00 10,000.00 or more but less than 15,000.00 220.00 15,000.00 or more but less than 20,000.00 275.00 20,000.00 or more but less than 30,000.00 330.00 30,000.00 or more but less than 40,000.00 440.00 40,000.00 or more but less than 50,000.00 660.00 50,000.00 or more but less than 75,000.00 990.00 75,000.00 or more but less than 100,000.00 1,320.00 100,000.00 or more but less than 150,000.00 1,870.00 150,000.00 or more but less than 200,000.00 2,420.00 200,000.00 or more but less than 300,000.00 3,300.00 300,000.00 or more but less than 500,000.00 4,400.00 500,000.00 or more but less than 750,000.00 6,600.00 750,000.00 or more but less than 1,000,000.00 8,800.00 1,000,000.00 or more but less than 2,000,000.00 10,000.00 2,000,000.00 or more at the rate of fifty percent (50%) of one percent (1%) (c) On exporters, and manufacturers, millers, producers, wholesalers, distributors, dealers or retailers of essential commodities enumerated hereunder at the rate of one half (1/2) of the rates prescribed in paragraphs (a), (b) and (d) of this Section: (1) Rice and corn; (2) Wheat or cassava flour, meat, dairy products, locally manufactured, processed or preserved food, sugar, salt and other agricultural, marine, and fresh water products, whether in their original state or not; (3) Cooking oil and cooking gas; (4) Laundry soap, detergents, and medicine; (5) Agricultural implements, equipment and post-harvest facilities, fertilizers, pesticides, insecticides, herbicides, and other farm inputs; (6) Poultry feeds and other animal feeds; (7) School supplies; and (8) Cement. The term exporters shall refer to those who are particularly engaged in the business of exporting goods and merchandise, as well as manufacturers and producers whose goods or products are both sold domestically and abroad. The amount of export sales shall be excluded from the total sales and shall be subject to the rate of one half (1/2) of the rates prescribed under paragraphs (a), (b) and (d) of this Section. (d) On retailers, With gross sales or receipts for the Rate of Tax preceding calendar year: Per Annum P400,000.00 or less 2% More than P400,000.00 1% The rate of two percent (2%) per annum shall be imposed on sales not exceeding Four Hundred THOUSAND PESOS (P400,000.00), while the rate of one percent (1%) per annum shall be imposed on sales in excess of the first Four Hundred Thousand Pesos (P400,000.00). (e) On contractors and other independent contractors in accordance with the following schedule: With gross receipts for the preceding Amount of Tax calendar year in the amount of: Per Annum Less than P 5,000.00 27.50 P5,000.00 or more but less than 10,000.00 61.60 10,000.00 or more but less than 15,000.00 104.50 15,000.00 or more but less than 20,000.00 165.00 20,000.00 or more but less than 30,000.00 275.00 30,000.00 or more but less than 40,000.00 385.00 40,000.00 or more but less than 50,000.00 550.00 50,000.00 or more but less than 75,000.00 880.00 75,000.00 or more but less than 100,000.00 1,320.00 100,000.00 or more but less than 150,000.00 1,980.00 150,000.00 or more but less than 200,000.00 2,640.00 200,000.00 or more but less than 250,000.00 3,630.00 250,000.00 or more but less than 300,000.00 4,620.00 300,000.00 or more but less than 400,000.00 6,160.00 400,000.00 or more but less than 500,000.00 8,250.00 500,000.00 or more but less than 750,000.00 9,250.00 750,000.00 or more but less than 1,000,000.00 10,250.00 1,000,000.00 or more but less than 2,000,000.00 11,500.00 2,000,000.00 or more at the rate of fifty percent (50%) of one percent (1%) (f) On banks and other financial institutions, at a rate of fifty percent (50%) of one percent (1%) on the gross receipts of the preceding calendar year derived from interest, commissions and discounts from lending activities, income from financial leasing, dividends, rentals on property and profit from exchange or sale or property; insurance premium. (g) On peddlers engaged in the sale of any merchandise or article of commerce, at a rate of fifty pesos (P50.00) per peddler annually. (h) On any business, not otherwise specified in the preceding paragraphs, at the rate of two percent (2%) of gross sales or receipts of the preceding calendar year. SECTION 3. Newly Operated Business. For newly started business falling under Section 2 of this Ordinance, the tax shall be fixed by the quarter. The initial tax for the quarter in which the business starts to operate shall be three-eight (3/8) of one-tenth (1/10) of one percent (1%) of the capital investment, but in no case shall it be less than the minimum provided therefor by the pertinent schedule. However, in succeeding quarter of quarters, in case the business opens before the last quarter of the year, the tax shall be based on the gross sales/receipts for the preceding quarter at the rate of one-fourth (1/4) of the annual rates fixed in the pertinent schedule of Section 2, as the case may be. In the succeeding years, regardless of when the business started to operate, the tax shall be based on the gross sales/receipts for the preceding calendar year, or any fraction thereof, as provided in Section 2 of this Ordinance. SECTION 4. Retirement of Business. (a) Any person natural or juridical, subject to the tax on businesses under Section 2 of this Ordinance shall, upon termination of the business, submit a sworn statement of the gross sales or receipts for the calendar year. For purposes hereof, termination shall mean that business operations are stopped completely. Any change in ownership, management and/or name of the business shall not constitute termination as contemplated in this section. Unless stated otherwise, assumption of the business by any new owner or manager of re-registration of the same business under a new name will only be considered by the Municipality of Paraaque for record purposes in the course of the renewal of the permit or license to operate the business. The Municipal Treasurer shall see to it that the payment of taxes of a business is not avoided by simulating the termination or retirement thereof. For this purposes, the following procedural guidelines shall be strictly observed: (1) The Municipal Treasurer shall assign every application for the termination or retirement of business to an inspector in his office who shall go to the address of the business on record to verify if it is really no longer operating. If the inspector finds that the business is simply placed under a new name, manager and/or new owner, the Municipal Treasurer shall recommend to the mayor the disapproval of the application for the termination or retirement of said business. Accordingly the business continues to become liable for the payment of all the taxes, fees & charges imposed thereon under this ordinance; and (b) If it is found that the retirement or termination of the business is legitimate, and the tax due therefrom be less than the tax due for the current year based on the gross sales on receipts the difference in the amount of the tax shall be paid before the business is considered officially retired or terminated. (c) The permit issued to a business retiring or terminating its operations shall be surrendered to the Municipal Treasurer who shall forthwith cancel the same and record such cancellation in his books. SECTION 5. Related or Combined Businesses . (a) The conduct or operation of two or more related businesses provided in Section 2 of this Ordinance by any one person, natural or juridical, shall require the issuance of a separate permit or license to each business. (b) If a person conducts or operates two (2) or more related businesses which are subject to the same rate of imposition, the tax shall be computed on the basis of the combined total gross sales or receipts of the said two (2) or more related businesses. (c) If, however, the businesses operated by one person are governed by separate tax schedules or the rates of the taxes are different, the taxable gross sales or receipts of each business shall be reported independently and the tax thereon shall be computed on the basis of the appropriate schedule. SECTION 6. Situs of the Tax . Definition of Terms: (1) Principal Office the head or main office of the business appearing in the pertinent documents submitted to the Securities and Exchange Commission, or the Department of Trade and Industry, or other appropriate agencies, as the case may be. The city or municipality specifically mentioned in the articles of incorporation or official registration papers as being the official address of said principal office shall be considered as the situs thereof. In case there is a transfer or relocation of the principal office to another city or municipality it shall be the duty of the owner, operator or manager of the business to give due notice of such transfer or relocation to the Municipal Mayor within fifteen (15) days after such transfer or relocation is effected. (2) Branch or Sales Office a fixed place in a locality which conduct operations of the business as an extension of the principal office. Offices used only as display areas of the products where no stocks or items are stored for sale, although orders for the products may be received thereat, are not branch or sales offices as herein contemplated. A warehouse which accepts orders and/or issues sales invoices independent of a branch with sales office shall be considered as a sales office. (3) Warehouse a building utilized for the storage of products for sale and from which goods or merchandise are withdrawn for delivery to customers or dealers, or by persons acting in behalf of the business. A warehouse that does not accept orders and/or issue sales invoices as aforementioned shall not be considered a branch or sales office. (4) Plantation a tract of agricultural land planted to trees or seedlings whether fruit bearing or not, uniformly spaced or seeded by broadcast methods or normally arranged to allow highest production. For purposes of this Section, inland fishing ground shall be considered as plantation. (5) Experimental Farms agricultural lands utilized by a business or corporation to conduct studies, tests, researches or experiments involving agricultural, agribusiness, marine, or aquatic, livestock, poultry, dairy and other similar products for the purpose of improving the quality and quantity of goods or products. (b) Sales Allocation (1) All sales made in a locality where there is a branch or sales office or warehouse shall be recorded in said branch or sales office or warehouse and the tax shall be payable to the city or municipality where the same is located. (2) In cases where there is no such branch, sales office, or warehouse in the locality where the sale is made, the sale shall be recorded in the principal office along with the sales made by said principal office and the tax shall accrue to the city or municipality where said principal office is located. (3) In cases where there is a factory, project office, plant or plantation in pursuit of business, thirty percent (30%) of all sales recorded in the principal office shall be taxable by the city or municipality where the principal office is located and seventy percent (70%) of all sales recorded in the principal office shall be taxable by the city or municipality where the factory, project office, plant or plantation is located. LGUs where only experimental farms are located shall not be entitled to the sales allocation provided in this subparagraph. (4) In case of plantation located in a locality other than that where the factory is located, the seventy percent (70%) sales allocation shall be divided as follows: (i) Sixty percent (60%) to the city or municipality where the factory is located; and (ii) Forty percent (40%) to the city or municipality where the plantation is located (5) In cases where there are two (2) or more factories, project offices, plants or plantations located in different localities, the seventy percent (70%) sales allocation shall be prorated among the localities where such factories, project offices, plants, and plantations are located in proportion to their respective volumes of production during the period which the tax is due. In the case of project offices of service and other independent contractors, the term production shall refer to the cost of projects actually undertaken during the tax period. (6) The sales allocation in paragraph (b) hereof shall be applied irrespective of whether or not sales are made in the locality where the factory, project office, plant or plantation is located. In case of sales made by the factory, project office, plant or plantation, the sale shall be covered by subparagraphs (1) or (2) abovementioned. (7) In case of manufacturers or procedures which engage the services of an independent contractor to produce or manufacture some of their products, these rules on situs of taxation shall apply except that the factory or plant and warehouse of the contractor utilized for the production and storage of the manufacturers' products shall be considered as the factory or plant and warehouse of the manufacturer. (c) Port of Loading The city or municipality where the port of loading is located shall not levy and collect the tax imposable in Section 2 of this Ordinance unless the exporter maintains in said city or municipality its principal office, a branch, sales office or warehouse, factory, plant, or plantation in which case, the rule on the matter shall apply accordingly. (d) Sales made by route trucks, vans, or vehicles (1) For route sales made in a locality where a manufacturer, producer, wholesaler, retailer, or dealer has a branch or sales office or warehouse, the sales are recorded in the branch, sales office or warehouse and the tax due on such sales is paid to the LGU where such branch, sales office or warehouse is located. (2) For route sales made in a locality where a manufacturer, producer, wholesaler, retailer or dealer has no branch, sales office or warehouse, the sales are recorded in the branch, sales office or warehouse form where the route trucks withdraw their products for sale, and the tax due on such sales paid to the LGU where such branch, sales office or warehouse is located. (3) Based on subparagraphs (1) and (2) above, LGUs where route trucks deliver merchandise cannot impose any tax on said trucks except the annual fixed tax authorized to be imposed by the province in Section 141 of the Local Government Code of 1991 on every delivery truck or van or any motor vehicle used by manufacturers, producers, wholesalers, dealers, or retailers in the delivery or distribution of distilled spirits, fermented liquors, soft drinks, cigars and cigarettes, and other products. SECTION 7. Tax Period and Manner of Payment. The tax period of all local taxes, fees and charges shall be the calendar year. Such taxes may be paid in quarterly installments as follows: 1st Quarter on or before January 20 of the licensed year 2nd Quarter on or before April 20 of the licensed year 3rd Quarter on or before July 20 of the licensed year 4th Quarter on or before October 20 of the licensed year SECTION 8. Accrual of Tax. Local taxes, fees, and charges shall accrue on the first (1st) day of January of each year as regards tax subjects then liable therefor, but an entirely new tax, fee, or charge, or changes in the rates of existing taxes, fees, or charges, shall accrue on the first day of the quarter next following the effectivity of this Ordinance. SECTION 9. Time of Payment. All local taxes, fees, and charges due and accruing to the LGUs shall be paid within the first twenty (20) days of January or of each subsequent quarter, as the case may be, the sanggunian may, for a justifiable reason or cause, extend the time for payment of such taxes, fees, or charges without surcharges or penalties, but only for a period not exceeding six (6) months. SECTION 10. Surcharges and Penalties on Unpaid Taxes, Fees, or Charges . There is hereby imposed a surcharge of twenty five percent (25%) of the amount of taxes, fees, or charges not paid on time and an interest at the rate of two percent (2%) per month of the unpaid taxes, fees, or charges including surcharges, until such amount is fully paid but in no case shall the total interest on the unpaid amount or portion thereof exceed thirty-six (36) months. SECTION 11. Interest on Other Unpaid Revenues. Where the amount of any other revenue due an LGU, except voluntary contributions or donations, is not paid on the date fixed in this Ordinance, or in the contract, expressed or implied, or upon the occurrence of the event which has given rise to its collection, there shall be collected as part of that amount an interest thereon at the rate of two percent (2%) per month from the date it is due until it is paid, but in no case shall the total interest on the unpaid amount or a portion thereof exceed thirty-six (36) months. SECTION 12. Collection of Local Revenues . All local taxes, fees, and charges shall be collected by the municipal treasurer, or his duly authorized deputies. The municipal treasurer may designate the barangay treasurer as his deputy to collect local taxes, fees or charges. In case a bond is required for the purpose, the municipal government shall pay the premium thereon in addition to the premiums of bonds that may be required. SECTION 13. Examination of Books of Accounts and Pertinent Records of Businessmen. (a) For the effective enforcement and collection of taxes, fees, and charges prescribed in this Ordinance, the Municipal Treasurer may examine the books of accounts and pertinent records of businessmen in order to ascertain, assess, and collect the correct amount of taxes, fees, and charges. (b) The Municipal Treasurer may, by himself or through any of his deputies duly authorized in writing, examine the books, accounts, and other pertinent records of any person, partnership, corporation, or association subject to local taxes, fees and charges. (c) The examination shall be made during regular business hours not oftener than once a year for every tax period, which shall be the year immediately preceding the examination, and shall be certified by the examining official. Such certification shall be made of record in the books of accounts of the taxpayer examined. (d) In case the examination is made by a duly authorized deputy of the Municipal Treasurer, the written authority of the deputy concerned shall specifically state the name, address and business of the taxpayer whose books, accounts, and pertinent records are to be examined, the date and place of such examination, and the procedure to be followed in conducting the same. (e) For this purpose, the records of the revenue district office of the BIR shall be made available to the Municipal Treasurer, his deputy or duly authorized representative. (f) The Secretary of Finance shall prescribe the necessary forms to be used and such guidelines which may be deemed necessary for the proper and effective implementation of this Ordinance. SECTION 14. Penalties for Violation of Tax Ordinances . There is hereby imposed an imprisonment of not less than one (1) month more than six (6) months or a fine of One Thousand Pesos (P1,000.00) nor more than Five Thousand Pesos (P5,000.00) or both, such imprisonment or fine, at the discretion of the court. SECTION 15. Repealing Clause. All Ordinances, Rules and Regulations, Orders or Portion, thereof which are contrary to or inconsistent with this Ordinance are hereby repealed, amended or modified accordingly. SECTION 16. Effectivity This Ordinance shall take effect on January 1, 1993. SECTION 17. Enacting Clause Enacted this 3rd day of December, 1992, at Paraaque, Metro Manila. IHcTDA CERTIFIED BY: (SGD.) GUSTAVO S. TAMBUNTING Presiding Officer Municipal Councilor SPONSORED BY: (SGD.) REYNALDO C. OLIVAREZ Chairman, Committee on Rules and Regulations CONCURRED BY: GD.) JAIME J. NERY, JR. ABE M. KING, JR. Councilor Councilor (SGD.) LORNA D. OCAMPO Councilor (SGD.) ALFREDO S. CASIRO (SGD.) FIDELINO G. BENZON Councilor Councilor (SGD.) AMADEO R. BOBADILLA (SGD.) ABUNDIO B. FERRER Councilor Councilor (SGD.) MANUEL T. DE GUIA (SGD.) GLORIA B. URBI Councilor Councilor (SGD.) WINNIE D. ESPLANA (SGD.) GODOFREDO B. DE LEON Councilor ABC Representative ATTESTED BY: (SGD.) ATTY. LINO C. SANDIL Municipal Council Secretary APPROVED BY: (SGD.) PABLO R. OLIVAREZ Local Chief Executive