Davao City revenue collections up 21%

DAVAO CITY — Collections by the City Treasurer’s Office (CTO) rose 21% in the first two months of 2018 to P2.594 billion, with the city council gearing up for further improvements in revenue performance via adjustments to the revenue code and to property taxes.

“The city’s collections are up and if this continues in the next few months then maybe we can increase our budget to P8.5 billion next year,” Councilor Danilo Dayanghirang, chair of the committee on finance, ways and means, said in a media forum.

Mr. Dayanghirang said the committee has approved City Hall’s revenue program, paving the way for an increase in collections. These include adjustments to the Revised Revenue Code and the approval of revised rates for Real Property Tax (RPT).

However, the program is encountering some resistance on tax rates. Mr. Dayanghirang said there has been a request for adjustment of the taxes via legislation.

“I want to give elbow room of up to six months to see if the taxes have a negative impact on the economy,” he said. If the rationale behind the complaint is reasonable, then I will recommend to bring (rates) down further, he added.

However, he said, if the request is not deemed meritorious then the implementation will proceed. Mr. Dayanghirang said it is important to give the tax measure at least six months before its impact can be determined. —