The Sangguniang Panlungsod has approved the extension of the 40 percent discount on real property tax until 2028.
During its regular session, the Sangguniang Panlungsod passed an ordinance amending the provisions of Tax Ordinance No. 2023-226 on the adoption of the new schedule of values for lands and buildings for the revision of real property assessments in Iloilo City, effective 2024, and prescribing the rate of levy for all lands and additional ad valorem tax on idle lands.
It also amended Tax Ordinance No. 2024-229, which imposes a 40 percent reduction on the levy of real property, except the levy on additional ad valorem on idle lands for two years until 2025.
“I am happy to announce that our RPT discount of 40 percent will extend until 2028,” Committee on Ways and Means Vice Chairperson Jose Maria Dela Llana said in an interview.
He added no delivery of government services will be affected by the extension.
Dela Llana said 1 percent of the RPT goes to the city government’s special education fund, and 2 percent to the barangay and general fund.
Starting in 2028, however, the Real Property Valuation and Assessment Reform Act (RPVARA) will take effect, and the national government, through the Bureau of Local Government Finance, will set the standard for land valuation.
“The reason why we extend this is that we also listen to the request for extension. Currently, we are enjoying the 40 percent RPT discount,” he said.PNA
