Rationale:

Taxation plays a vital role in economic development of any region. It serves as a

significant source of revenue for the government, enabling the provision of essential
public services and infrastructure. Recently; the Municipality of Talibon revised its
Revenue Code. The newly implemented revenue code can have implications to
business owners and to the local economy.
On November 22,2022, Talibon, a Municipality located in the Province of Bohol revised
its municipal revenue code under the Municipal Ordinance No.C-020 series of 2022. As
a Municipality in Bohol, Talibon faces the need for periodic revisions to its revenue code
to adapt to changing economic conditions, promote fair taxation and stimulate local
economic growth. The Revised Revenue Code represents a comprehensive set of tax
reforms aimed at modifying tax rates, deductions, exemptions, and compliance
requirements.
While the intent behind the revisions is to enhance tax compliance and promote
economic growth, the implementation of the revisions has the potential challenges and
adaption to the revised tax regulation that business owners may face. One problem they
encounter is the overall tax burden. The changes in tax rates and deductions may lead
to a shift in the amount of taxes businesses are obligated to pay. Other problem that the
business owners encounter is that the business. The business owners are confronting
with the new tax regulations and requirement. The changes in tax rates, deductions,
exemptions, and compliance procedures pose challenges to business owners.
Giving the existing condition where the Municipality of Talibon revised its revenue code,
there is a need to assess its implications to the business owners and to the local
economy including its effect to tax burden, tax compliance behavior, financial
performance and the overall local economy. This research aims to shed light on the
challenges faced by business owners in Talibon and provide valuable insights for
policymakers and shareholders to evaluate the effectiveness of the revised tax
framework, and implement targeted measure to support business and foster local
economic development. Existing literature as to date that there is limited research on
the impact of the revised revenue code to business owners and to the local economy.
The research aims to fill the gap by providing an in-depth analysis of the impact of
revised revenue code to the businessmen and to the local economy.