Capitol open to taxation system review amid calls for real property tax rollback

Local

THE Cebu Provincial Government is not closing the door on a tax review, but it says relief has already been extended through property reassessments and reduced quarry valuations.

The issue comes amid calls from former Cebu 3rd District Rep. Pablo John “PJ” Garcia to roll back real property taxes, sand and gravel taxes and other provincial charges. The municipal councils of Balamban, Pinamungajan and Barili have also passed measures supporting the proposed rollback.

Provincial Assessor Michelle Languido said the province has been addressing tax burdens by correcting property valuations instead of implementing a blanket reduction in taxes.

“Dugay na nga measures nga gi-apply diri nga lowering of the tax,” Languido said.

She said taxpayers who believe their properties have been assigned excessive values may file a protest that could result in reappraisal and reassessment.

The provincial assessment office has also coordinated with municipal assessors regarding valuation concerns. Languido said, however, that no formal complaints over excessive property valuations had been received from the municipalities involved.

The need for reassessment became more apparent after disasters damaged properties and disrupted businesses. The assessment office conducted reappraisals in affected areas rather than waiting for property owners to initiate the process.

“During that time of Bagyong Tino and earthquake naka-lower jud ta kay unfair sad kaayo nga pabayron pa nato nga guba na kaayo ang balay,” she said.

Languido said reassessments also affect provincial revenues because property valuations form part of the basis for determining real property taxes.

She said even a 1.75 percent reduction in market value could already represent billions of pesos, underscoring the financial implications of lowering assessments.

Languido also welcomed the proposed suspension of the Real Property Valuation and Assessment Reform Act, saying it could provide additional relief while the province continues to use valuation levels based on earlier years.

She said some valuation levels remain based on 2022 or 2023 figures even though property values may have increased by 2026.

The tax issue has also reached the provincial level after the municipal councils of Balamban, Pinamungajan and Barili passed separate measures supporting Garcia’s call for a rollback.

Languido said the resolutions would still have to undergo the appropriate provincial process. She also stressed that taxation is tied to the province’s capacity to generate revenue and maintain financial stability.

“I, as the assessor of the Province of Cebu maintained the financial stability of the province kay income-generation man amo nga side,” she said.

In Balamban, Languido said the province had already responded to concerns over property valuations after disaster-related damage, following discussions with Mayor Amos Cabahug.

For Pinamungajan and Barili, she said municipal assessors had informed her that they had not received formal complaints from taxpayers regarding excessive property valuations.

The province has also cited reductions in quarry valuations as another measure implemented under the administration of Gov. Pamela Baricuatro.

Provincial Environment and Natural Resources Office head Rodel Bontuyan said an earlier review lowered the valuations of several quarry materials.

The valuation of limestone was reduced from P60 to P30 per cubic meter, while sand was lowered from P150 to P120 and gravel from P100 to P80.

Bontuyan said the province has not conducted another market survey because current fuel and operating costs could push fair market values higher, potentially resulting in higher quarry valuations.

“Then karon if mag-survey ta ani og balik, mosaka gud kay nisaka man ang fuel so wala lang gud nato hilabti na kay kung mag-survey ta atong balaod nagsulti man nga 10% of the fair market value so as is lang gud kay kung mo-revisit ta karon kay mosaka gud ni,” he said.

He also said increases in quarry material prices in some areas cannot automatically be attributed to provincial taxes because fuel and other operating expenses also affect production and selling costs.

The Capitol remains open to reviewing the existing taxation system, but some changes would require legislative action from the Sangguniang Panlalawigan.

Bontuyan said Garcia’s proposal to remove the environmental monitoring fee would require an ordinance because taxes and fees cannot simply be removed through an executive order.

“Ordinansa gud na siya labi na kay taxes and fees na siya, di gud na pwede nga mo-issue lang og executive order. Dili gud na pwede. Ordinansa gud na that will start in the provincial board,” he said.

He said the Provincial Board could still revisit existing fees, particularly after the province lowered quarry valuations.(MyTVCebu)