Baguio City Promotes Paleng-QR Cashless Payment with Tax Incentives for Market Vendors

BAGUIO CITY — The local government of Baguio City is urging market vendors to embrace the Paleng-QR cashless payment system, highlighting its dual benefits of convenience for customers and tax incentives for businesses.

Mayor Benjamin Magalong, in a recent interview, encouraged merchants to transition to cashless transactions to keep pace with evolving payment trends. He emphasized that businesses utilizing the QR PH system will qualify for a one-time 2.5 percent discount on their business tax during the first year, as stipulated in City Ordinance 71-2022.

The Paleng-QR initiative was launched in 2022 amid the COVID-19 pandemic to minimize cash handling, which was then recognized as a potential vector for viral transmission. According to the city’s Permits and Licensing Division, approximately 28,000 business permits were issued in 2024, with a significant portion of the roughly 4,000 market vendors already registered with the QR payment system.

During a recent orientation session, Market Superintendent Ceasar Emilio introduced GoTyme Bank as the new financial service partner of the Paleng-QR program. GoTyme Bank offers fully digital banking services via a mobile app and facilitates easy account opening through digital kiosks, streamlining merchants’ access to financial tools.

Supporting the cashless ecosystem, the Department of Information and Communications Technology (DICT) has installed free Wi-Fi at the market premises to ensure smooth and reliable transactions.

Vendors were also reminded of their obligations and rights under the Consumer Protection Act, reinforcing the city’s commitment to fair business practices alongside technological advancement.