Capitol revenue up with CICC sale

CEBU, Philippines — Capitol revenue surged more than half during the first 10 months of the year, fueled largely by proceeds from the sale of huge assets such as the Cebu International Convention Center (CICC).

Latest data from the Provincial Treasurer’s Office showed that the provincial government collected P1.04 billion from January to October, representing a 61.8 percent increase from P644 million posted in the same period last year.

Internal Revenue Allotment (IRA) remained the largest contributor of revenue to the province during the period at P2.6 billion. IRA is taken from external sources, specifically the national government.

Provincial treasurer Roy Salubre attributed the hike in revenue to the proceeds from the CICC sale amounting to P300 million. Mandaue City government, the buyer, initially paid the province P200 million at the start of the year and the rest in August.

“We conducted auction sales of province-owned properties…  We also had an intensive tax collection,” Salubre told reporters yesterday.

Another major source of Capitol revenues was real property taxes, which chipped in P68.6 million so far.

Salubre said there was also an increase in revenue taxes such as amusement taxes, and non-revenue taxes such as permits fees, and medical, dental and laboratory fees.

Non-tax revenue from district hospitals also registered a notable increase of 37.49 percent, from P249 million in 2017 to P342 million in 2018.

To note, local governments usually have two major revenue sources: local and external.

Among the locally-sourced revenues are property taxes, business taxes, and other imposed taxes and non-tax revenues. External sources, on the other hand, come from shares of proceeds derived from the development and use of national wealth; other shares from national taxes provided under special laws; and grants and aids.

Salubre said revenues enable the provincial government to provide adequate services for its constituents. — JMD (FREEMAN)