The Department of the Interior and Local Government (DILG) and the Department of Finance (DOF) have signed a joint memorandum circular to guide local government units (LGUs) to adopt reasonable fees and charges for their services.
The joint memorandum circular is in accordance with the provisions of Republic Act 7160 or the Local Government Code of 1991, and RA 11032 or the Ease of Doing Business Law.
“High rates discourage investors while low rates could compromise the revenue generation of the LGUs. With this JMC, we are able to set the standard for the appropriate rates for the fees and charges to be imposed by the LGUs,” Año noted. Among the common and allowable fees and charges collected by LGUs are the following: business permit/mayor’s permit fee; barangay clearance; permit to extract sand, gravel and other quarry resources; fees for sealing and licensing of weights and measures; fishery rentals, fees and charges; fees on commercial breeding of fighting cocks, cockfighting and cockpit; fees of places of recreation which charge admission fees; fees on billboards, signboards, neon signs and outdoor advertisements; toll...
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