Mandaue City credits ARTA for improved business tax collection


Mandaue City has attributed its increased business tax collection to the guidelines of the Anti-Red Tape Authority (ARTA) in streamlining the city's business permits processing.

(Photo courtesy of Mandaue City Business Permit and Licensing Office)

"It is important in policymaking to have proper guidance in term of the provisions that are allowed by law. Now, in that aspect, the issuances, the memorandum circulars, and the guidelines of the ARTA really helped us a lot in streamlining Mandaue City’s electronic Business Processing and Licensing System (eBPLS),” Mandaue City’s Business Permit and Licensing Office chief August Lizer Malate said.

According to Malate, the simplified process increased business confidence, resulting in more business registrations in 2022. It increased to 18,394 in 2022 from 17,576 in 2021.

As a result, Mandaue City's business tax collection rose to P1.2 billion in 2022, an increase of P100 million from P1.1 billion in 2021.

Malate cited Joint Memorandum Circular (JMC) No. 1, s. 2021 (Guidelines for Processing Business Permits, Related Clearances and Licenses in all Cities and Municipalities) for the creation of the BPLS Operations Manual, which is a comprehensive guideline for local government units (LGUs) in complying with the standards and policies for their business permit and licensing system.

Mandaue City adopted in August 2020 the electronic Business Permit and Licensing System (eBPLS) developed by the Department of Information and Communication Technology (DICT).

It was expanded to the Integrated Business Permits and Licensing System (iBPLS) to facilitate and cater for a more efficient business permit registration process.

“In fact, it's like a Bible in a way, because we have to look at it from time to time. For two purposes, number one is to ensure compliance. Number two, because we know that ARTA’s systems and ARTA’s guidance are based from the best practices from different LGUs,” Malate said.

"We know that aside from being a regulatory office, the purpose of ARTA is really for the improvement and for the efficiency in ease of doing business and government services in the Philippines," he added.

Mandaue City was recognized as the most-business friendly LGU by the Philippine Chamber of Commerce and Industry (PCCI) in October 2022 and an awardee for Government Best Practice Recognition by the Development Academy of the Philippines (DAP) in December 2022.