BUSINESS PERMIT AND BUSINESS TAXES

Documents required in applying for a Business Permit

For New and Renewal Application

• Current Community Tax Certificate
• Real Property Tax Clearance
• Lease Contract (if rented)
• Lessor’s Permit (owner of rented Bldg. or Lot)
• Certificate of Occupancy (Lessor Bldg.)
• SSS Clearance
• SEC Registration (for corporation and partnerships)
• DTI Registration (Business Trade Name)
• BFAD (Drug Dealers/Food Processors)

Steps in securing a business Permit/Licenses

Step 1:            Secure application form from the Business Permits and Licenses Division; City Mayor’s Office Fill up the Form and have it signed by authorized representatives of the following offices: (For NEW)

                        2.1 Zoning Officer
                        2.2 City Health Officer
                        2.3 Building Official
                        2.4 Bu. Of Fire Protection

                        (For RENEWAL: after filling up of application proceed directly to BPLD)

Step 2:            Proceed to BPLD (RENEWAL) for verification (NEW) for Transaction ID

Step 3:            Proceed to the Chief, Business Permits and  Licenses Division for  evaluation/ recommendation & signature of the City Mayor or City Administrator for approval for payment.

Step 4:            Proceed to Business Tax Division, City Treasurers office for assessment and payment of taxes due.

Step 5:            After payment, proceed to City Health Office to secure Sanitary Permit and Health Certificate.

Step 6:            Proceed to the Business Permit’s and Licenses Division, City Mayor’s Office & present all the documents and supporting papers for processing & issuance of business Mayor’s Permits.

Basis of the Business Taxes

Business Taxes are computed based on Gross Sales/Receipts derived by the Business during the preceding calendar year. The rates of taxes depend on the particular kind or nature of business conducted by the Taxpayer as prescribed in Ordinance no. 894-92, the “Code of Revenue Ordinances of the City of Butuan”. For new Businesses, the tax is based on the Capital Investment of the business establishment.

Regulatory fees

These are reasonable amounts imposed on and paid by taxpayers before engaging in business which are commensurate with the cost of regulation, inspection and licenses. These include Business Permit Fess, Garbage Fees, Sanitation Fees, and others.

Business taxes and fees shall be paid within the first twenty (20) days of January of each year. Business Taxes may however be paid on quarterly basis without penalty at the option of the taxpayer as follows:

                           January 20   - 1st quarter
                           April 20        - 2nd quarter
                           July 20         - 3rd quarter
                           October 20   - 4th quarter

Surcharges and Interest

These are additional amounts assessed against a taxpayer as a consequence of late or non-payment of taxes due. A surcharge of Twenty Five percent (25%) is imposed on Delinquent taxes and fees plus an interest of Fourteen percent (14%) per annum is imposed on the unpaid taxes and fees including the surcharge thereon until the tax liability is fully paid.