ILOILO City Hall (Tara Yap)
ILOILO CITY — The Iloilo City government extended the 60-percent real property tax rate until 2028 amid a warning that a 300-percent RPT hike will destroy the economy and a Supreme Court (SC) petition.
The Iloilo City Council approved an ordinance on Wednesday, Sept. 24, extending the 40-percent discount that is supposed to end by this year.
The Iloilo City Council, majority of who are allied with former Mayor Jerry Treñas and his daughter, incumbent Mayor Raisa Treñas, previously pushed for the full 300-percent RPT implementation.
Public opposition against the full implementation of the RPT intensified after Raisa became mayor last June 30. Progressive groups described the RPT hike as “unjust” and “anti-poor."
The administration of Jerry approved the 300-percent RPT hike with the passage of an ordinance in 2023.
However, it was never fully implemented.
It was amended with a 40-percent discount beginning 2024 and was supposed to last until the end of this year.
Despite the discount, the Riverside Group of Companies filed a petition before the SC last March 2024 questioning the astronomical rate.
Lawyer Martin Pison, stockholder and corporate secretary of the Riverside Group, slammed the Treñas administration for lack of transparency and consultation.
Councilor Rex Sarabia, the proponent of the tax hike, claimed the increase is fair as the last land valuation was done in 2006.
The push for the 300-percent RPT hike has also put into light the discussion over the fiscal management of the Iloilo City government under Jerry’s administration, which secured loans to finance several controversial infrastructure projects that remain unfinished.