Council approves 40% RPT reduction for 2 years
THE City Council, during Wednesday’s (January 10, 2024) regular session, approved the 40 percent Real Property Tax (RPT) reduction in Iloilo City for two years from 2024 to 2025.
Authored by City Councilor Rex Marcus Sarabia, the newly approved ordinance is titled: “An ordinance imposing 40 percent reduction on the levy of RPT or only at 60 percent of the approved increase shall be levied on land within Iloilo City except on the levy of additional ad valorem tax on idle lands, pursuant to Tax Ordinance No. 2023-226 for two years from 2024- 2025.”
This means that taxpayers will get 40 percent discount on their RPT payment on land for the mentioned period, with the 100 percent payment to take effect in 2026 yet.
City Treasurer Jinny Hermano earlier said that excess payments will be considered by the City Treasurer’s Office as tax credits for the next years.
It can be noted that the City Government has not imposed RPT increase for almost 18 years, considering the catastrophes that hit Iloilo like Super Typhoon Yolanda and the Covid-19 pandemic.
The mayor has emphasized that taxes are the lifeblood of government.
“The revenue raised from taxation is vital for our operations especially now that there are devolved functions to the local government due to Mandanas-Garcia ruling; and to finance our various programs and projects like roads, school buildings, and other important infrastructure like the Iloilo City Action and Response (Icare) centers, free dialysis centers, and other pro-poor programs,” he said.
He also urged the public to pay their taxes promptly given the reduction.
The new ordinance will take effect immediately upon its approval by the mayor. (PR)