Tax break proposed for lots with trees

CEBU, Philippines - Association of Barangay Council President Michael Ralota proposed an ordinance seeking a 10-percent real property tax incentive to owners of vacant and idle lots in Cebu City that are planted with trees.

This is to compensate private owners who plant trees, which is part of the solutions against the catastrophic effects of climate change especially in the prevention of flooding.

Under Section 92 of the Local Government Code, local government units are allowed to grant certain tax privileges, through ordinance duly approved, including the granting of tax exemptions, incentives or relief under terms and conditions.

All LGUs are also mandated to formulate, plan and implement actions to combat climate change as provided in the Climate Change Act of 2009.

Under Ralota’s proposed ordinance, lot owners may qualify for the incentive if the trees on their lots are at least three-feet tall at the time of application.

The incentive maybe availed of only once in every three years.

Section 4.e. of the proposed ordinance says that if a tree or a number of trees die or are destroyed due to negligence of the owner, P10,000 will be added to the current tax base per tree lost.

Owners of vacant lots who have yet to plant for the said purpose may coordinate with the City Treasurer’s Office and the City Agriculture Office.

The proposed ordinance, if approved, will task the barangays to do the monitoring and inspection of sites applying for incentives.

“Private owners of vacant or idle lots without trees planted, who would like to avail of the tax incentive program shall refer first to the City Agriculture Office and secure a certificate of recommendation as to the proper tree type or variety to be planted on the vacant or idle property,” Section 6 of the proposed ordinance reads.

The purpose of referring to the City Agriculture is to determine which type of plant will likely survive on the lot considering its topography, soil composition, steepness and other geographic factors.

Meanwhile, the Council passed a resolution enjoining the barangays to support the Billion Trees Program which aims to plant at least one billion trees simultaneously across the country on June 25, the celebration of the Philippine Arbor Day.

The City will conduct massive campaign for residential and building owners about the activity. The City through the barangays will distribute seedlings. — (FREEMAN)