Wednesday, October 11, 2006 Guadalupe tops barangays in IRA, taxes By Rene H. Martel Sun.Star Staff Reporter
FOR mountain barangays to get bigger tax shares from the Cebu City Government, they must also convince their constituents to pay their dues, said Councilor Jocelyn Pesquera.
A report from Pesquera shows that Guadalupe remains the richest Cebu City barangay in terms of real property tax and share of the Internal Revenue Allotment (IRA).
With a share of P10.049 million in 2005, Guadalupe was ahead of Lahug by P2.289 million.
Basak San Nicolas was third with P7.226 million; Tisa, P6.895 million; and Mambaling, P6.852 million.
Like other more moneyed barangays, the bulk of Guadalupe’s income is from its IRA share, at P8.656 million.
Under the Local Government Code, barangays get a 20 percent share of the City’s IRA and 30 percent of its real property tax collection.
Each barangay’s share is computed using population and land area.
Mountain areas
While their urban counterparts count real property tax and IRA shares by the millions, mountain barangays have just a few hundred thousands.
They are the ones with the lowest income from among Cebu City’s 80 barangays.
Sudlon II, which is fifth among barangays receiving the biggest financial assistance from the City, has the lowest income, at PP776,472. It did not receive any share from the City’s real property tax collection.
Next to Sudlon II is Tabunan (P982,582.75), followed by Paril (P1.028 million), Tagbao (P1.105 million), Buot-Taup (P1.144 million), Taptap (P1.156 million), Agsungot P1.168 million), Mabini (P1.185 million), Malubog (P1.192 million), and Kalubihan (P1.208 million).
In an interview, Pesquera said barangays with small shares of real property tax share must strive hard in having their residents pay their dues.
“They must help campaign for people to pay tax,” she said.
Guadalupe Barangay Captain Eugenio Faelnar said that aside from real property tax and IRA shares, barangays also earn from issuance of certifications, cedula, clearances, and rentals of barangay properties.
Taxes, fees
They can also earn by imposing taxes like those on billboards and signages, and by collecting market fees.
The country’s internal revenue is shared by the National Government, which gets 60 percent, and the local government units (LGUs), which get 40 percent.
Of the LGU share, the provinces get 23 percent; cities, 23 percent; municipalities, 34 percent; and barangays, 20 percent.