Taxes revision vowed

By April 21, 2007Business, News

THE Lakas-Christian Muslim Democrats team in Dagupan, led by the tandem of former Immigration Commissioner Alipio Fernandez Jr. and former Councilor Belen Fernandez, vowed in their campaigns to review and rationalize the city’s taxation in order to institute better management of the local government’s resources.

The increase in the city’s taxes during the term of incumbent Mayor Benjamin Lim is one of the pressing issues in the coming mid-term election.

Lim is running for the 4th district congressional seat while his son, Brian, is seeking to take over his father’s current post.

The escalation of taxes, including the rise in the minimum cost of the community tax certificate (sedula) from P5 to P50 as well as business and property taxes, has been the subject of complaints by the city’s businessmen.

Fernandez who was mayor of Dagupan for three terms, from 1992 to 2001, said that under his reign, the city government never increased taxes and also never resorted to borrowing.

On top of that, he claimed his administration was able to register cash surpluses each year that were unprecedented in the history of the city and left a cash surplus of P143 million in the city’s coffer.

His running mate, Councilor Belen Fernandez, president and general manager of the local retail giant CSI Group of Companies, said taxes were  unjustly increased  in an  obvious  move by officials to plug lost grounds   due to the demotion of Dagupan’s level from  first class  to second class city.

But even with the increased taxes, the city did not bounce back to its old classification after being hamstrung by huge amortization of its about P400 million loan from the Land Bank of the Philippines, she pointed out. 

The loan was used for the purchase of the dredging machine and to finance the construction of the high-rise Malimgas Public Market with a fully-air-conditioned second floor, which has remained partially occupied after three years of operation.

Belen Fernandez said that since the projected income from the Malimgas Public Market was not realized, some vital social services had to be scrapped.

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