Parañaque reports near-double real estate income

MANILA, Philippines – Without imposing new taxes, Parañaque City reported collecting P 1.8 billion in real property taxes the last 6 months of 2013, representing a 64% increase from the P1.1 billion recorded during the same period in 2012.

The attempt of the previous administration to increase real estate taxes to 300% was stopped by the Supreme Court.

In a statement on Thursday, February 6, the local government also reported more than P1 billion in income from business permits and licenses in 2013. It was the first time it breached the P1 billion mark, it said.

Income from income from business permits and licenses for January 2014 is at P670 million, up 22% from the same period last year.

More business permits and licenses were also processed in the city in January 2014, according to the statement – 13,000, up from the 12,000 in January 2013.

“This only shows that efficient tax collection, not new tax measures, is the key to the financial viability of the city of Parañaque,” said Mayor Edwin Olivarez.

The mayor was referring to an ordinance passed during the administration of his predecessor Florencio Bernabe Jr which would have increased the valuation of real properties.

The ordinance, which “would have increased real property taxes up by 300 percent,” was junked after the Supreme Court issued an injunction order. – Rappler.com