MUNICIPAL TAXES

Business tax on manufacturers, assemblers, repackers, processors, brewers, distillers, rectifiers and compounders of liquors, distilled spirits and wines of manufacturers of any article of commerce: graduated, ranging from P198.00 to P29, 250.00 for gross sales up to but not less than P6,500,000 in the proceeding calendar year. For gross sales above P6,500,000 the tax becomes flat rate 45% of 1% of gross sales.

Business tax on wholesalers, distributors, or dealers: graduated, ranging from P21.60 to P12,000 for gross sales of less than P2M in the preceding calendar year. For gross sales of P2M or more, tax becomes flat rate of 60% of 1% of gross sales.

Business tax on retailers: for gross receipts of up to P400,000 in the preceding calendar year, 2.2% of gross receipts; for gross receipts above P400,000 1.1% of gross receipts.

Business tax on exporters and on manufacturers, wholesalers and retailers of essential commodities; one-half of the rates of the foregoing business taxes.

Business tax on contractors: graduated, ranging from P 33.00 to P 13,800.00 for gross receipts of less than P2,000,000 in the preceding year. For gross receipts of       P2,000,000 or more, the tax becomes flat rate of 60% of 1% gross receipts.

Business tax on banks and other financial institutions: flat rate not exceeding 60% of 1% of gross receipts in the preceding calendar year.

Business tax on peddlers: (not exceeding P50.00) annually per peddler.

Business tax on the other business not specifies under the code but subject to excise, percentage, or value added tax under the National Internal Revenue Code, municipalities may impose a tax not exceeding 2% of gross sales or receipts on the preceding year.

Source of Data: January 2017, MPDC