DELIVERY RIDERS will no longer have to secure a business permit after the 20th City Council amended the Revenue Code on Thursday, Dec. 5.
The amendment requires the riders to pay only P125 annually for an occupational permit at the City Treasurer’s Office on or before January 31.
Councilor Myrna Dalodo-Ortiz, committee on finance, and the committee on ways and means and appropriations chairperson, said the amendment helps reduce unnecessary costs for riders and ensure they comply with local regulations.
“To ease this burden, the various committees deemed it proper for removal of the business permit fee and instead focus on a more reasonable solution, such as paying for an occupational permit,” Ortiz said in a statement.
Payment of occupational permit will start in January 2025 and failure to comply would earn a 25% surcharge starting Feb. 1, 2025.
The committee repealed Ordinance No. 0612-21, Series of 2021, and amended Ordinance No. 0291-17, Series of 2017, or the 2017 Revenue Code of Davao City, expanding the coverage of service contractors by including those who provide personal services that do not fall under the exercise of a profession, such as, but not limited to, delivery riders.
The amendment is also in line with the provisions of the Joint Memorandum Circular No. 01, Series of 2021, titled “Guidelines for Processing Business Permits, Related Clearances, and Licenses in All Cities and Municipalities,” by the Anti-Red Tape Authority-Department of Trade and Industry-Department of the Interior and Local Government-Department of Information and Communications Technology.
The ordinance covers workers or individuals providing personal services in the City of Davao- whether employed temporarily, permanently, outsourced, or working remotely, including telecommuting and work-from-home arrangements.
In a statement on Thursday, the United Davao Delivery Riders Association (UDDRA) rejoiced for finally being exempted from the business permit, which the group has been pushing since 2021.
“Kini usa ka pamatuod nga kung maghiusa kita, walay dili makab-ot nga kausaban. Ang panaghiusa ug pagka-kusganon sa tingog sa mga riders maoy nag-una nga pwersa nga nagpagwagtang sa business permit nga rekisito,” the statement reads.
The group also lauded the city council and credited former councilor Pamela Librado, for her assistance in their long-standing battle.
Previously, the delivery riders were required to pay from P1,270 to P5,200, depending on their income assessment, on top of their loaned motorcycle units.
To note, the group pleaded in January to the office of the city Mayor Sebastian Duterte for a 30-day extension to comply with the business permit requirement and other regulatory fees.
In April, they attended a committee hearing presided over by Councilor Jesus Joseph Zozobrado, the committee on rules, privileges, laws, and ordinances, and told them to submit an updated petition letter.
The group was able to finalize the position paper and submit it to the office of Zozobrado, which was read in the first reading on the Oct. 22 regular session.
