CEBU, Philippines — Most Cebu City councilors want that they tackle the proposed ordinance revising Real Property Tax (RPT) only after the 2024 elections.
That is why, City Councilor Noel Wenceslao said, the supposed bicameral meeting with the executive department has not happened because the city councilors are not joining.
Wenceslao, who authored the ordinance, said he had proposed a staggered implementation, that only 50 percent would be imposed, should the ordinance be approved.
“Mao na akong proposal, but pwede pa na mutaas, depende sa council, because as of now na-stall man gud among bicameral meeting. It’s because majority of the council dili nga as of this time atong hisgotan ang RPT,” Wenceslao said.
“Siguro later nalang; basin after election, not now,” he added.
The bicameral meeting between the executive department and the City Council was meant to reach a consensus on the revision of the RPT.
But, Wenceslao said, most of the City Councilors want to have the discussion after the 2025 elections.
“Siguro basin busy gyud kaayo guro sila…. Ako, I am ready noh, kay the more nga we will delay it, the more nga musaka ang FMV (Fair Market Value of properties). But then, wa man koy mahimo kay ang majority sa konseho, hiyang for later date nalang,” he said.
He said the Council has several pending ordinances and critical resolutions that needed to be prioritized and that the majority are currently more focused on the hosting of the Palarong Pambansa 2024.
He admitted that even if only the City would adopt a staggered implementation of the revised tax rates, the commercial sector will be the most affected, especially the condominium owners.
It is projected that once the revised RPT is implemented, there will be an average of 5,000 percent rise in the tax rates.
“Bug-at man gyud kaayo na sa mga commercial establishments and developers,” Wenceslao said, adding that it may even affect the economy of the city.
He said developers may opt to transfer to other areas with cheaper tax rates, adding that any tax rates increase would likely just be passed on to customers as rental cost.
Last Thursday morning, Housing Developers Association President Harold See, in a Kapihan sa Cebu forum, said that although the FMV was not updated since 2003, what the Cebu City Government is planning is “too huge”.
“There’s really a huge impact on also those investors (condominium owners), that’s what we are trying to explain to the City Government,” he said.
See said they actually understand that the RPT rates update is needed but the best recourse is a staggered implementation. (CEBU NEWS)