Visayan Electric to avail itself of tax amnesty

·1 min read

THE Cebu City Government and the Visayan Electric Company will soon settle what they owe each other.

Mayor Edgardo Labella said Visayan Electric owes the City P165 million in real property taxes (RPT), while the City has an unpaid electric bill amounting to P22 million.

Visayan Electric representatives paid a courtesy call on Labella on Thursday, Nov. 26, 2020, to express their willingness to avail themselves of the City’s tax amnesty.

The utility firm can either pay the full amount before Dec. 15, 2020 without penalties, or make staggered payments within one year and pay only 10 percent penalty for the years of delinquency.

City Treasurer Mare Vae Reyes said it would be a big help to the City if the Visayan Electric pays off its P165 million liability for its posts in the city.

Reyes said there will be a two percent interest charge on unpaid tax every month.

The mayor said Visayan Electric representatives wanted to know if they could deduct the City’s unpaid electric bill from its liability. The bill is for the power consumption of street lights and public schools.

However, Reyes said the City will not allow the offsetting of payment.

She said the P22 million the City owes the Visayan Electric “is not stagnant,” adding that there is a possibility that payment is currently being processed.

She said her office and the Department of General Services will also verify the list of accounts the Visayan Electric provided to the City. (JJL)