Republic of the Philippines

Municipality of Tarlac
Tarlac

EXCERPT FROM THE MINUTES OF THE REGULAR SESSION OF THE MUNICIPAL

COUNCIL, TARLAC, TARLAC, HELD ON DECEMBER 26, 1991

PRESENT:

Mr. Jose G. Macapinlac, Municipal Mayor

Mr. Nicholo P. Nisce, Councilor
Mr. Gelacio R. Manalang, Councilor
Mr. Lamberto C. Magcalas, Councilor
Mr. Alfonso T. Malig, Councilor
Mr. James L. Urquico, Councilor
Mr. Roy S. Pascual, Councilor
Mr. Paulino N. Rigor, Councilor

ABSENT:
Mr. Alberto G. Soliman, Vice-Mayor

RESOLUTION NO. 153

WHEREAS, with the implementation of Republic Act No. 7160, otherwise known as the
Local Government Code of 1991, there is a need to up-date the Revenue Code of the
Municipality:

NOW THEREFORE, on motion of Councilor Alfonso T. Malig, duly seconded,

RESOLVES, that in the interest of public service and welfare, the Sangguniang Bayan of
Tarlac, Tarlac, promulgates and enacts:

MUNICIPAL ORDINANCE NO. 3, S. 1991

AN ORDINANCE AMENDING CERTAIN PROVISION OF THE

MUNICIPAL TAX ORDINANCE NO. 3, SERIES OF 1990, AS
AMENDED AND OTHER PREVIOUSLY EXISTING AND
PERTINENT TAX ORDINANCE, INSOFAR AS APPLICABLE,
PURSUANT TO THE PROVISIONS OF REPUBLIC ACT NO.
7160, OTHERWISE KNOWN AS THE LOCAL GOVERNMENT
CODE OF 1991 AND OTHER RELATED MATTERS.

Section 1. Municipal Ordinance No. 3, series of 1990, is hereby amended so as to read as

follows :

The Municipality hereby imposes the following taxes on the business of:

a) Manufacturing, assembling, repacking, processing, brewing, distilling, rectifying, and

compounding of liquors, distilled spirits, and manufacturing of any article of
commerce of whatever kind of nature, in accordance with the following schedule:

Amount of
With gross sales or receipts for the proceeding calendar year in the
Tax per
amount of :
annum
Less than 10,000.00 P 165.00
10,000.00 or more but less than 15,000.00 P 220.00
15,000.00 or more but less than 20,000.00 P 302.00
20,000.00 or more but less than 30,000.00 P 440.00
30,000.00 or more but less than 40,000.00 P 660.00
40,000.00 or more but less than 50,000.00 P 825.00
50,000.00 or more but less than 75,000.00 P 1.320.00
75,000.00 or more but less than 100,000.00 P 1,650.00
100,000.00 or more but less than 150,000.00 P 2,200.00
150,000.00 or more but less than 200,000.00 P 2,750.00
200,000.00 or more but less than 300,000.00 P 3,850.00
300,000.00 or more but less than 500,000.00 P 5,500.00
500,000.00 or more but less than 750,000.00 P 8,000.00
750,000.00 or more but less than 1,000,000.00 P10,000.00
1,000,000.00 or more but less than 2,000,000.00 P13,750.00
2,000,000.00 or more but less than 3,000,000.00 P16,500.00
3,000,000.00 or more but less than 4,000,000.00 P19,800.00
4,000,000.00 or more but less than 5,000,000.00 P23,100.00
5,000,000.00 or more but less than 6,500,000.00 P24,375.00
6,500,000.00 or more 371/2% of 1%

b) Wholesaling, distributing, or dealing in any article of commerce of whatever kind of

nature, in accordance with the following schedule:

Amount of
With gross sales or receipts for the preceding calendar year in the
Tax per
amount of :
annum
Less than P 5,000.00 P 100.00
5,000.00 or more but less than 6,000.00 P 121.00
6,000.00 or more but less than 7,000.00 P 143.00
7,000.00 or more but less than 8,000.00 P 165.00
8,000.00 or more but less than 10,000.00 P 187.00
10,000.00 or more but less than 15,000.00 P 220.00
15,000.00 or more but less than 20,000.00 P 275.00
20,000.00 or more but less than 30,000.00 P 330.00
30,000.00 or more but less than 40,000.00 P 440.00
40,000.00 or more but less than 50,000.00 P 660.00
50,000.00 or more but less than 75,000.00 P 990.00
75,000.00 or more but less than 100,000.00 P 1,320.00
100,000.00 or more but less than 150,000.00 P 1,870.00
150,000.00 or more but less than 200,000.00 P 2,420.00
200,000.00 or more but less than 300,000.00 P 3,300.00
300,000.00 or more but less than 500,000.00 P 4,400.00
500,000.00 or more but less than 750, 000.00 P 6,600.00
750, 000.00 or more but less than 1,000,000.00 P 8,800.00
1,000,000.00 or more but less than 2,000,000.00 P10,000.00
2,000,000.00 or more but less than of 1%

c) On retails

With gross sales or receipts Amount of Tax

For the preceding calendar year of: Per annum

400, 000.00 or less 2%

More than P400,000.00 1%
 PROVIDED, however, that the tax imposed in (c) hereof shall not apply to sorters or
retailers with fixed business, establishments who have realized gross sales or receipts for the
preceding year of P30,000.00 or less;

PROVIDED, further, that the barangay where the fixed retail store is located shall have a
duly-enacted ordinance imposing the said limited tax pursuant to the pertinent provision of R.A.
No. 7160;

PROVIDED, furthermore, that, the municipality shall retain the authority to require,
issue, collect, and grant license and regulatory fees, service charges, surcharges and penalties
therefore, as the case maybe, and, in the absence of a duly enacted appropriate barangay tax
ordinance, to collect herein imposed municipal license tax; and

d) On exporters, and on manufacturers, millers, producers, wholesalers, distributors,

dealers or retailers of essential commodities enumerated hereunder at the rate one-
half (1/2) of the rates prescribed in subsections (a), (b) and (c) of their 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 sate or not;
3. Cooking oil and cooking gas;
4. Laundry soap, detergents and medicine;
5. Agricultural implements, equipment and post-harvest facilities, pesticides,
insecticides, herbicides and other farm inputs;
6. Poultry fees and other animal fees;
7. School supplies; and
8. Cement

e) On contractors and other independents contractors, in accordance with the following

schedule;

Amount of
With gross sales or receipts for the preceding calendar year in the
Tax per
amount of :
annum
Less than P5,000.00
5.000.00 or more but less than 10,000.00 P 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 of 1%
 f) On Banks, and other financial institutions including, but not limited to, non-bank
financial intermediaries such as lending investors, finance and investment companies,
pawnshop, money shops, insurance companies, stock markets, stock brokers and
dealers in securities and foreign exchange.

With Gross receipts for the preceding calendar Amount of Tax

year based on or derived from Per Annum

1. Interest
2. Commissions
3. Discounts from lending activities
4. Income from financial leasing of 1%
5. Dividends
6. Rentals or property
7. Profit form exchange or sale of property
8. Insurance Premiums

g) On peddlers engaged in the sale of any merchandise or articles or commerce, except

as otherwise specified in the other section of this ordinance, the tax shall be fifty
pesos (P50.00) per peddler per annum.

h) On any business, not otherwise specified in or amended by this ordinance, including

those subject to the excise, value-added or percentage taxes or exempted from the
National Internal Revenue Code, as amended, but except those whose tax or fee are
exclusively allotted to other local governments under RA 7160, the tax shall be at the
rate of 2% of the gross sales or receipts of the preceding year.

SITUS OF THE TAX

a) For purposes of collection of taxes under this Ordinance as authorized under RA 7160,
manufacturers, assemblers, repackers, brewers, distillers, rectifiers and compounders of
liquor, distilled spirits and wines, millers, producers, exporters, wholesalers, distributors,
dealers, contractors, banks and other business, maintaining or operating branch or sales in the
municipality, shall record their sales or transactions in the municipality. In case there is no
branch or sales outlets in maintained by any principal office or factory located elsewhere, but
only offices intended for display, receiving of order or forwarding of merchandise, said
principal office or factory shall record their sales or transactions made in the said display,
receiving or forwarding office in this municipality and the taxes due shall be paid to this
municipality.

b) The following sales allocations is hereby applied to manufacturers, assemblers, contractors,

producers, and exporters with factories, project offices, plants and plantation in permit of
their business, and taxable by this municipality:

1. 30% of all sales recorded in the principal office is located in this municipality;
2. 70% of all sales recorded in the principal office if the factory, project office,
plant, or plantation is located in this municipality;
3. In case the plantation is located at a place other than the place where the
principal office is located, said 70% mentioned in (b) (2) above shall be
divided as follows:

a) 60% if the factory is located in this municipality; and

b) 40% if the plantation is located in this municipality
c) The above sales allocations shall be applied irrespective of whether or not
sales are made by the factory, project/office, plant or plantation located in
this municipality
 WITHDRAWAL OF TAX EXEMPTION: PRIVILEGES Unless specifically provided
in the applicable and pertinent provision of RA 7160, TAX EXEMPTIONS OR
INCENTIVES GRANTED TO, OR PRESENTLY ENJOINED BY ALL PERSONS,
WHETHER NATURAL OR JUDICIAL, INCLUDING GOVERNMENT OWNED OR
CONTROLLED CORPORATIONS,, except local water districts, cooperatives duly-
registered under R.A. 6938, non-stock and non-profit hospitals and educational
institutions, ARE HEREBY WITHDRAWN. Provided however, that those deemed
exempted from payment of business taxes under this Ordinance shall continue to be
subject to and liable to pay the necessary license and regulatory fees, service charges, and
corresponding sub-charges, penalties or interest, if any as provided in this ordinance and
other applicable municipal tax ordinance, as amended.

AMENDMENT TO THE GARBAGE COLLECTION SERVICE FEES.

Per establishment, for:

1. Manufacturers, repackers, exporters or importers, or producers of any anti of commerce:

For NEW BUSINESS, based on capital investment, the rate shall be of 1% with a
minimum of P150.00 and a maximum of P1,000.00 for a capital investment of
P500,000.00; plus an additional 1/5 of 1% in excess of P500,000.00 but not to exceed
P2,000.00.

For BUSINESS RENEWALS, based on gross receipts or sales for the preceding calendar
year, 1/3 of 1% and a maximum of P3,000.00 for gross receipts or sales not exceeding
P1,000,000.00; plus an additional of 1% in excess of P1,000,000.00 but to exceed
P1,000.00.

2. For Food Caterers:

For NEW BUSINESS, based on capital investment, the rate shall be of 1% with a
minimum of P200.00 and a maximum of P500.00 for a capital investment of
P200,000.00; plus an additional 1/5 of 1% in excess of P200,000.00 but not to exceed
P2,500.00.

For BUSINESS RENEWALS, based on gross receipts or sales for the preceding calendar
year, 1/3 of 1% and a maximum of P2,500.00 for gross receipts of sales not exceeding
P1,000,000.00; plus an additional of 1% in excess of P1,000,000.00 but not to exceed
P1,500.00

3. For Dealers of Wet Goods such as other marine products, meat and other livestock
produce:

For NEW BUSINESS, based on capital investment, the rate shall be of 1% with a
minimum of P150.00 and a maximum of P500.00 for a capital investment of
P200,000.00 but not to exceed P2,500.00

For BUSINESS RENEWALS, based on gross receipts or sales for the preceding calendar
year, of 1% and a maximum of P3,000.00 or gross receipts or sales not exceeding
P1,000.000.00; plus an additional 1/5 of 1% in excess of P1,000.00 but not to exceed
P1,000.00.

4. For dealers of Fruits and Vegetables, except coconut and other seasonal fruits dealers:

For NEW BUSINESS, based on capital investment, the rate shall be 1/3 of 1% with a
minimum of P200.00 and a maximum of P300.00 for a capital investment of
 P150,000.00; plus an additional of 1% in excess of P150,000.00 but not to exceed
P2,500.00

For BUSINESS RENEWALS, based gross receipts or sales for the preceding calendar
year, 1/3 of 1% and a maximum of P3,000.00 for gross receipts or sales not exceeding
P1,000,000.00 plus an additional or 1% in excess of P1,000.000.00 but not to exceed
P1,000.00.

5. For coconut and other Seasonal Fruits Dealers:

FOR NEW BUSINESSES, based on capital investment, the rate shall be 1/3 of 1%, with
a minimum of P300.00 ; plus an additional P300.00 per month for every month remaining
in the calendar year, payable before December 31, of the year applied for:

For BUSINESS RENEWALS, based on gross receipts or sales for the preceding calendar
year, 1% of the gross sales or receipts plus a additional P300.00 per month, payable on a
quarterly basis.

6. For service Establishments whose license tax/es is/are based on gross receipts or sales
/capital investment:

For NEW BUSINESS, if based on capital investment, 1/3 of 1% with a minimum of

P200.00 and a maximum of P1,500.00 for an investment not exceeding P500.00 plus an
additional of 1% in excess of P500,000.00 but not to exceed P2,500.00

For BUSINESS RENEWALS, based on gross receipts or sales for the preceding calendar
year 1/3 of 1% for gross receipts or sales not exceeding P500,000.00 plus an additional
of 1% in excess of P500,000.00 but not to exceed P3,000.00.

SEPARABILITY / APPLICABILITY CLAUSE:

In case of new business, except as otherwise specifically prescribed, if a new business is

commended after March 31, of the year applied for, the above service fee assessment thereof
shall be applied upon the remaining quarter/s of the calendar year. All other garbage fee rates not
affected by the above amendatory rates shall be considered as is, except the maximum amount of
service to be adjusted from P1,000.00 per establishment to P4,000.00 per establishment for
existing business or a maximum of P1,000.00 for new business. The above amendatory rates
shall be improved and in effect on January 1, 1992.

APPLICABILITY CLAUSE All other provisions of existing and applicable municipal tax
ordinances, insofar as they are not contrary to an amended by this ordinance, including their
administrative, penal and regulatory provisions, shall continue to remain in force and effect.

EFFECTIVITY This amendatory ordinance shall take effect on January 1, 1992

ATTESTED:

(SGD.) ALBERTO S. ESPINO JR.

S.B. Secretary

APPROVED:

(SGD) JOSE G. MACAPINLAC

Municipal Mayor