COMMITTEE REPORT

COMMITTEE ON TAXATION, REVENUE AND PROPERTIES

SUBJECT:

Camalanuigan. Cagayan

RESOLUTION REQUESTING THE SANGGUNIANG PANLALAWIGAN THROUGH HON.

VICE GOVERNOR TO GRANT REAL PROPERTY TAX PENALTY AMNESTY IN THE
MUNICIPALITY OF

Before this committee is a Resolution approved by the Sangguniang Bayan of

requesting the Sangguniang Panlalawigan to grant real property tax amnesty in
said municipality.

The power of a local government unit to grant tax amnesty is provided under Sec.
192 of the Local Government Code, which provides thus:

“Section 192. Authority to Grant Tax Exemption Privileges. - Local government units
may, through ordinances duly approved, grant tax exemptions, incentives or
reliefs under such terms and conditions as they may deem necessary.”

While this provision of the local government code gives power to the local
government to grant tax exemptions, incentives, or reliefs, such power is not
absolute. It is a principle in taxation that the exception contained in the tax
statutes must be strictly construed against the one claiming the exemption.

Section 276. Condonation or Reduction of Real Property Tax and Interest. - In case of a general
failure of crops or substantial decrease in the price of agricultural or agribased products, or
calamity in any province, city or municipality, the sanggunian concerned, by ordinance passed
prior to the first (1st) day of January of any year and upon recommendation of the Local Disaster
Coordinating Council, may condone or reduce, wholly or partially, the taxes and interest thereon
for the succeeding year or years in the city or municipality affected by the calamity.

Section 5. (b) In case of doubt, any tax ordinance or revenue measure shall be construed strictly
against the local government unit enacting it, and liberally in favor of the taxpayer. Any tax
exemption, incentive or relief granted by any local government unit pursuant to the provisions of
this Code shall be construed strictly against the person claiming it.

Recommendation:

Taking into consideration the recommendation of the PCSO Representative

during the committee hearing held on January 11, 2018, this committee hereby
recommends the amendment of the herein subject ordinance. A draft of the

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amended ordinance is hereto attached which may be used as a basis of the
author of the ordinance.

COMMITTEE ON TAXATION, REVENUE AND PROPERTIES

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