REDUCTION. Mayor Jerry Treñas says the national tax share of Iloilo City will go down by PHP300 million in 2023. In a press conference on Monday (Sept. 12, 2022), Treñas said some of the appropriations of the city government will be affected. (Photo courtesy of Iloilo City FB page)
ILOILO CITY – The city government here is expecting a PHP300-million reduction in its share from the national revenue in 2023.
“We were told by DBM (Department of Budget and Management) that the Internal Revenue Allotment (IRA) will go down by PHP300 million. Wala pa final estimate together with the local income next year but the IRA will be down by PHP300 million,” said Iloilo City Mayor Jerry Treñas in a press conference on Monday.
Section 284 of the Local Government Code provides that the share of local government in the national internal revenue taxes is based on the collection of the third fiscal year preceding the current fiscal year.
The mayor said collection was affected during the health pandemic in 2020 and 2021.
With the low share, he said some of the appropriations by the city government will be affected.
“One probably is the allowances to national government agency employees and officials as among the first to (be) affected,” he said.
Treñas said the local government extends assistance to police, judges, prosecutors, and teachers.
This year’s IRA as contained in its 2022 Executive Budget is estimated at PHP1,607,980,950 or an increase of 14 percent when compared with the 2021 projection at 1,217,209,871.
This year’s PHP3.083 billion budget is comprised of 42.15 percent from the National Tax Allotment (NTA), 47.28 percent from local revenues and income, and 0.57 percent from economic zone share.
He added though that there is no report yet on the proposed annual budget next year. (PNA)
