The economic recovery of Cagayan de Oro is off to a robust start with a 36% increase in the collection of business taxes in January 2023.

The Office of the City Treasurer collected in January this year P704 million from businesses, which is P185 million more than the P519 million collected in the same period last year.

 

Mayor Rolando “Klarex” Uy thanked the business sector for supporting administration’s economic recovery efforts. “Salamat sa atong mga negosyante sa inyong suporta sa atong mga paningkamot nga mahibalik ang atong ekonomiya,” said Mayor Klarex Uy whose platform of governance is anchored on restarting the economy crippled by the Covid 19 pandemic.

 

According to City Treasurer Jasmin Maagad, “the 36% growth in business tax collection, the highest in at least the last five years, can be attributed to the increase in the gross sales of businesses in the city as businesses recover from the economic slump.”

 

Mayor Klarex Uy’s fiscal incentives package that included a 20% discount on advanced payers of real estate tax and condonation of fines for delinquent taxpayers “encouraged taxpayers to settle their obligations,” added Maagad.

The city’s financial managers are confident that 2023’s revenue collection is going to be at par or even surpass pre-pandemic levels. As one of the most highly competitive cities, Cagayan de Oro has registered an average of 10% year-on-year increase in revenue collection before the pandemic.

 

Data from the Office of the City Treasurer reveal that the business tax collection in the first month of 2019 was P600,047,438. Business tax collection increased by 21% at P724,461,480 in 2020, but decreased by 31% in 2021 with a collection of only P499,827,765 as the pandemic-induced economic crunch escalated.

 

To provide ease of doing business, the city government established the Business-One-Stop-Shop and online payment system to streamline the processing of business permits. Satellite offices have also been opened in barangay Puerto and at SM Cagayan de Oro City to provide convenience to business owners.

 

The City Council approved the extension of the renewal of business permits from January 20 to February 28. (Communications Group, City Mayor’s Office/BenCyrus G. Ellorin)