ILOILO City – Anticipating bigger expenses due to the devolution of some functions of national government agencies, the city government is adjusting its real property tax (RPT) and business tax rates.
Some of these national government agencies are the Department of Health (DOH), Department of Agriculture, Department of Public Works and Highways (DPWH), and Department of Social Welfare and Development (DSWD).
Mayor Jerry P. Treñas said around P300 million would be slashed from the city’s 2023 National Tax Allotment (NTA) share, formerly known as Internal Revenue Allotment (IRA), despite the favorable Mandanas ruling of the Supreme Court.
The ruling gave local government units (LGUs) a just share from all national taxes collected and not only from the Bureau of Internal Revenue. However, some functions of national government agencies would be devolved to the LGUs, too.
According to Treñas, the city government will be needing around P134 million for medicines and vaccines alone.
He will meet with the city finance committee composed of the city assessor, city treasurer and the city accountant as well as the City Planning and Development Office to discuss all of these.
Treñas said the city government will be forced to increase the RPT and business taxes but it will also make sure the hike would be gradual.
The city government will also increase the fees at the slaughterhouse in Barangay Tacas, Jaro district.
“Kinanglan naton i-adjust ang aton fees because ang report may mga towns nga lapit sa aton, they are already charging more than us…madugay-dugay naman nga waay kita kapasaka,” said Treñas.
Treñas, however, said the city government won’t increase rental fees in public markets.
“We will start increasing after maka-guloginhawa na ang mga vendors ta para indi man sila matam-an,” said Treñas.
The last time the city increased the market rentals was in 2019./PN