JV Ejerctio: No more new taxes, improve tax collection, revenue generation among LGUs
August 16, 2024
Senator Joseph Victor “JV” Ejercito on Monday
expressed his support for legislative proposals that seek to improve the
capacity of local government units (LGUs) in collecting taxes and generating
revenue.
Presiding over the organizational meeting of
the Senate Committee on Local Government as its chair, Ejercito cited the
Department of Finance’s (DOF) efforts to push for real property valuation and
assessment reforms, which are expected to strengthen local tax collection
without introducing new taxes.
“I was to happy to hear that you intend to
improve the real property valuation and assessment without raising taxes but
improving the tax efficiency of the LGUs. Probably, through tax mapping and
computerization et cetera. That’s a very welcome development. Be rest assured
of our support,” he said.
Finance Secretary Benjamin Diokno earlier
urged the Senate panel on local government to champion a “just, equitable, and
efficient” real property valuation system.
“The reform will broaden the tax base used for
property and property-related taxes of the national and local governments,
thereby increasing government revenues without raising the existing tax rates
or devising new tax impositions,” Diokno said.
“The bill’s urgent enactment will assist the
LGUs in optimizing revenue collections, which, in turn, will promote genuine
local autonomy,” he added.
The proposed reform is part of the DOF’s
medium term fiscal framework, which also proposes the reclassification of LGUs
on the basis of their income and the institutionalization of property
insurances for local government units, as well as amendments to the Local
Government Code of 1991.
Moreover, Ejercito expressed his support for
proposals to digitize local tax collection, explaining that digitalization
helped boost San Juan’s revenues during his term as its local chief executive.
“Dati kasi by index card, manual. Kapag may bura doon,
nako, may milagro na doon. But with the computerization, it will be almost
impossible dahil ang pwede lang mag-override doon ay one or two persons. It
will already prevent corruption, (and) at the same time, make it more efficient
for tax collection, so maganda talaga,” he said.
