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Secure permits, pay tax - Gov to Cebu mineral crushers
By: Mylen Manto | Published Thursday, October 15, 2020
Gov. Gwen Garcia met with sand and gravel crushing plant operators and processors in Cebu Province to remind them of the appropriate taxes and permits needed to comply for their businesses. (Junjie Mendoza)

Cebu Governor Gwendolyn Garcia urged sand and gravel crushing plant operators and processors in the Province to pay appropriate taxes and secure necessary accreditation documents to be able to continue their businesses.

In a meeting Wednesday, October 14, she reminded them of the existing provincial ordinance that imposes a 10-percent tax on ordinary stones, sand, gravel, earth and other quarry resources extracted on public lands within the Province, as well as the need to secure governor’s accreditation.

“Kamo, nag-negosyo man mo dinhi, kinahanglan sad nga duna mo’y tulubagon sa Probinsya kay dili man pud ni nako aku-on, di man ni nako i-sulod sa bulsa. I-translate man ni into services ug infrastructure,” the governor said.

“Daghan kaayo ta’g infrastructure projects. Mao na nga gi-ingnan nato ang treasurer nga i-maximize nato ang atong revenues, kinahanglan maningkamot ta nga masaka nato ang atong collection kay ubay-ubay ang gastuanan sa Probinsya,” she added.

Garcia said that aside from the 250-kilometer provincial road projects set this year, she is targeting to improve 350 to 400 kilometers of provincial roads and  hundreds of kilometers more for barangay road projects. 

The tax collected will also be used to fund the installation of water systems as well as other programs for the indigents, youth, women, senior citizens, students, barangay health workers, barangay tanods, day care workers, and barangay animal health aides, she added.

Under the amended Section 124 of the Revenue Code of Cebu, the Capitol collects tax equivalent to 10 percent of the local fair market value per cubic meter of all ordinary stones, sand, gravel, earth and other quarry resources extracted on public lands within its territorial jurisdiction, including holders of permits, licenses, contracts or agreements issued by entities other than the Province of Cebu.

“For a long time wa ni na-implement ang maong section. We are serving notice ninyo nga kinahanglan mo mubayad og 10 percent of the local fair market value per cubic meter sa unsa nga produkto inyong gi-crush or gi-process ug gibaligya,” Garcia said.

Crushing plant operators and processors need to secure governor’s accreditation from PENRO Capitol.

Garcia said the governor’s accreditation fees for cement plants, pulverizing plants, marble plants, crushing plants, batching plants, and and the like is P2,000 per year as provided under Section 210 of the Revenue Code of Cebu. 

Provincial Treasurer Atty. Roy Salubre explained that once operators and processors secure an accreditation permit from the Provincial Environment and Natural Resources Office (PENRO), they will be given a corresponding volume of 10,000 cubic meters. They will then proceed to the Treasurer’s Office to pay for the given volume. Only then will his office issue a delivery receipt (DR) to the operator or processor.

“Muadto mo’s treasury inyong bayran ang volume. Thereafter, issue-han ta mo’g corresponding DRs. So, mao nato inyong gamiton upon transportation sa inyong minerals,” he said.

Garcia added that once the 10,000-cubic meter shown in the DRs are consumed, they need to apply for another DR. This is done to monitor and avoid any incidents of recycled DRs.

The governor also emphasized that even those crushing plant operators and processors holding industrial permits issued by the Mines and Geosciences Bureau (MGB) 7 must also secure the governor’s permit and pay the 10 percent tax. 

“Ingon si PENRO diri MGB naman gud nang uban, industrial (permit holders), that doesn’t exempt you. Bisan pa og industrial permit na inyong gikuptan wa man nato gibutang diri nga kadtong mga crushing plants nga IP (industrial permit) ang gigunitan way labot, tanan man ni, walay exemption for as long as you are operating within the territorial jurisdiction of the Province of Cebu,” she stated. 

Holders of gratuitous permits issued by the Province of Cebu, however, are exempted from the payment of 10 percent tax. 

Plant operators and processors who fail to comply with the required tax payment and accreditation would face a Cease and Desist Order from the Capitol. They were given 14 days or until October 28, 2020 to comply.

“Kamo, after nag storya ta karon nagsabot ta, unya di gihapon mo mukuha, mu-issue ko ninyo og cease and desist unya akong patabangon ang PNP (Philippine National Police) to enforce it because mao ni ang balaod, ordinansa mani sa Probinsya, 2008 pa. So, kinahanglan gyud mo mukuha og governor’s accreditation bisan pa og ang inyong gikuptan, permittee ba kaha mo, issued sa MGB, magpa-accredit mo sa inyong crushing plant or processing plant,” she said. 

The operators and processors agreed. (Mylen Manto)