Tuesday, August 21, 2007 PB member cautious on tax share
THE move to make component cities share their real property taxes with their provincial governments got the support of a mayor and a provincial lawmaker.
Provincial Board Member Agnes Magpale, however, sees the need to hold a public hearing on the matter so she will know the sentiments of the city mayor before she makes a stand on the proposal.
Magpale’s turf, Cebu’s fifth district, includes the component city of Danao.
But for Provincial Board Member and lawyer Juan Bolo it is only proper that the various cities under the provincial governments like Cebu give percentage of their real property taxes.
This is because provincial governments continue to extend assistance to the barangays within the various cities, anyway.
Moreover, making the cities remit a portion of their real property taxes to the province will ensure that the provincial government has enough resources for everyone.
But Bolo expects the move to be opposed by officials of various cities in the country.
“Pero dapat lang nga muhatag sila (But they should pay),” he said.
Rep. Pablo John Garcia (Cebu, 3rd district) has filed a bill amending the Local Government Code of 1991 to grant provinces a share in the real property taxes of component cities.
In House Bill (HB) 1607, Garcia said the conversion of towns into component cities does not relieve the Province of its obligation to maintain provincial infrastructure and of its mandate to protect its inhabitants, including those in the component cities “which do not share in the burden of the government.”
He also said it is “onerous” to municipalities, which are often smaller and less financially capable to exclusively share the burden with the Province.
Cebu Province has six component cities: Danao, Toledo, Mandaue, Talisay, Bogo and Carcar. Lapu-Lapu obtained its independence from the Capitol after being proclaimed as highly urbanized last month.
Bogo and Carcar also became component cities only last June 15 and July 1, respectively.
House Bill 1607 provides that in the case of component cities and cities whose residents retain the right to vote for elective provincial officials, 35 percent of its real property tax must be given to the Province. The City will get 35 percent, and the remaining 30 percent will be distributed among ba-rangays of the cities.
Bantayan Mayor Geralyn Escario-Cañares lauded the proposal.
“Of course, kinahang-lan nga sila mo-share sa ilang taxes because they are still part of the Province. Kami gani nga gagmay nga mga LGU muhatag man (If the small municipalities share their taxes with the Province, the more reason for the larger component cities to do the same),” Escario said in an interview with Sun.Star Cebu.
“The Local Government Code provision on this must be amended because right now it is unfair for us municipalities,” said the Bantayan mayor. (JPM)
