‘ENDLESS DISCOUNTS’: Iloilo City Mayor Seeks RPT Discount Extension to 2028
Iloilo City Mayor Raisa Treñas-Chu is pushing to extend the city’s 40% real property tax (RPT) discount until 2028 to ease the impact of a 300% tax increase. On July 4, Treñas endorsed a proposed ordinance to the City Council, certified as urgent, seeking to amend Ordinance Nos. 2023-226 and 2024-235.

By Rjay Zuriaga Castor

By Rjay Zuriaga Castor
Iloilo City Mayor Raisa Treñas-Chu is pushing to extend the city’s 40% real property tax (RPT) discount until 2028 to ease the impact of a 300% tax increase.
On July 4, Treñas endorsed a proposed ordinance to the City Council, certified as urgent, seeking to amend Ordinance Nos. 2023-226 and 2024-235.
The measure would extend the current tax relief from 2026 through 2028, allowing property owners to continue paying only 60% of their assessed RPT.
The full implementation of the adjusted rates is scheduled for 2029.
“This is our response to the appeals of our taxpayers and the business sector,” Treñas said in a statement.
“I’m confident our City Council will consider this to help ease the financial burden of our constituents who are diligently paying their taxes.”
The discount will not apply to idle lands, which will remain subject to the full additional ad valorem tax.
The proposed ordinance also includes a provision to defer the implementation of the new Building Assessment Schedule.
Under the revised plan, the updated Schedule of Base Unit Construction Cost will take effect on Jan. 1, 2029, instead of an earlier date.
This deferral aims to soften the impact of RPT increases on building owners by delaying the revaluation of structures based on updated construction costs.
It also provides a more gradual adjustment period for taxpayers and stabilizes the city’s revenue system.
The city government implemented its first major RPT hike in nearly 20 years in 2024 to reflect current market values and comply with Republic Act 7160, or the Local Government Code.
The law mandates that local government units update real property assessments every three years to align with inflation and market trends.
The Commission on Audit has consistently urged Iloilo City to update its fair market values to prevent revenue losses and ensure compliance with legal standards.
However, the new valuations resulted in sharp increases in tax bills for many landowners, prompting widespread calls for relief.
In response to public backlash, the city government approved a 40% RPT discount on land payments through 2026.
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