Naga rejects proposed review of domestic tax

By Jason B. Neola

NAGA City Mayor Nelson Legacion has responded to the recommendation from the Naga City People’s Council and the WeSolve Foundation, which urged a review of the city’s domestic tax and non-tax revenues.

The mayor articulated his answer in response to the report, “An Analysis of Selected Naga City Development Indicators (1992-2024),” which includes recommendations to improve the implementation of the Naga City People’s Budget Ordinance of 2017.

In his letter-reply, Legacion expressed gratitude for the insights provided in the report signed by Elmer Sto. Domingo, NCPC chairperson, and Kenneth Isaiah Ibasco Abante, president of WeSolve Foundation, Inc., saying, that the city government “sincerely appreciates you sharing your findings with us. In response, I have instructed the relevant offices to review and address the points you have raised.”

Mayor Legacion clarified the city administration’s stance on potential tax increases, emphasizing that both he and the members of the Sangguniang Panlungsod firmly oppose any measures that would lead to the implementation of higher taxes.

The call for a review of the city’s tax schedules, including market values and the basis for real property taxes and the Special Education Fund, was based on the fact that these have not been updated since 2008, despite the Bureau of Local Government Finance’s directive to update them every three years.

“Given the context of our letter, it appears that both the Naga City People’s Council and the WeSolve Foundation are advocating for an increase in taxes within Naga City. Historically, any review has led to higher taxes,” Mayor Legacion remarked.

He also expressed concern that such a measure would impose an additional burden on Nagueños who are still recovering from the Covid-19 pandemic.

Mayor Legacion also requested clarification on whether the proposal for tax review and potential increases had been discussed and agreed upon with all sectoral members of the Naga City People’s Council.

The mayor’s response underscores his administration’s commitment to balancing fiscal responsibility with the economic well-being of Nagueños, ensuring that any changes to the city’s revenue structures are thoroughly considered and discussed.