LOCAL governments can collect slaughter fees as part of their regulatory powers, the Court of Tax Appeals (CTA) ruled, as it upheld the fee imposed on San Miguel Foods, Inc. (SMFI) by the Davao City Treasurer’s Office in 2016.
CTA.JUDICIARY.GOV.PH/
In a 19-page decision dated Jan. 31 and made public on Feb. 7, the CTA full court said the local government unit had the jurisdiction and authority to collect the fees worth P625,023.30 for slaughtering birds and poultry for food products in 2016. “All told the permit fee to slaughter, which petitioner SMFI paid under protest, is in the nature of a license fee and not a tax,” it added.
The Davao City revenue code requires private establishments to secure permits from the city veterinarian before they can slaughter animals for their food commodities.Last year, the CTA affirmed a similar permit fee imposed by the Davao treasurer on SMFI worth P338,731.90.
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