Real property tax for land in Iloilo City reduced to 60%

By Perla Lena

January 2, 2024, 9:10 pm

<p><span style="color: #0e101a; background: transparent; margin-top: 0pt; margin-bottom: 0pt;" data-preserver-spaces="true">Iloilo City Hall<strong> </strong> (P<em>hoto courtesy of Iloilo City Government FB page</em>) </span></p>

Iloilo City Hall  (Photo courtesy of Iloilo City Government FB page

ILOILO CITY – In response to clamors from taxpayers and “in the best interest of the public,” the city government here reduced to 60 percent the real property tax (RPT) on land for 2024 and 2025.

Iloilo City Mayor Jerry Treñas said taxes are the lifeblood of government and urged the public to pay their taxes promptly, given the reduction.

“We need the funds, but I understand our businesses,” he said in a press conference on Tuesday.

Treñas made the announcement following his meeting with City Administrator Melchor Tan, City Assessor Cesar Jalbuena Jr., City Treasurer Jinny Hermano, and executive assistant Nelson Parreño.

The Sangguniang Panlungsod approved the new schedule of values for lands and buildings for real property assessment on June 27, 2023.

In the approved schedule, the rate of levy for lands is adjusted from 1.5 percent to two percent on all lands based on the assessed value of the real property.

The additional ad valorem tax on idle lands was adjusted from one percent to two percent for residential lands and from two percent to three percent on agricultural, commercial, and industrial land based on the assessed value of the real property in addition to the basic real property.

Treñas said revenues are vital to the operation of the local government, especially with some devolved roles due to the Mandanas-Garcia ruling that raised the internal revenue allotment but also increased their functions.

The Supreme Court has ruled that 40 percent of the income-share of local government units (LGUs) should come from taxes collected by the Bureau of Internal Revenue and the Bureau of Customs.

In 2018, Batangas Governor Hermilando Mandanas and then Bataan congressman Enrique Garcia challenged the computation of the just share of LGUs in the national taxes. (PNA)