Makati LGU says 10 EMBO barangays excluded from its 2024 nat'l tax allocation

The local government of Makati City disclosed on Friday the exclusion of the 10 EMBO barangays from the city's National Tax Allotment (NTA) for 2024.

City Administrator Claro Certeza said that based on the Department of Budget and Management's (DBM) Budget Memorandum No. 87-A dated December 28, 2023, Makati City will only be receiving its NTA for the 23 remaining barangays under its jurisdiction. 

These include the 20 barangays in District 1 plus Guadalupe Viejo, Guadalupe Nuevo, and Pinagkaisahan, according to the city official. 

“This means that Taguig has to assume full responsibility for the benefits and welfare of over 300,000 residents that are now under its jurisdiction,” Certeza said.

“It is now incumbent upon Taguig  to take up the mantle of governance and welfare for these communities. This transition marks a new chapter, not only in the administrative dynamics of our cities but also in the lives of the residents of these barangays. We trust that Taguig City will uphold the highest standards of service and care that these residents rightfully deserve,” he added. 

Under the DBM Memorandum, Makati City will be receiving P1,006,144,469.00 for the fiscal year 2024. Prior to the removal of the EMBO barangays, Makati City was supposed to receive an NTA allocation of P1,775,342,277.00.

Certeza said the P770 million reduction in the NTA share of Makati would have negligible impact on the programs and services of the city government.

“Makati does not rely on the NTA because of our consistent tax collection performance. Locally-sourced revenues are more than enough to fund our 2024 budget, not to mention the savings gained from the subsidies previously given to the EMBO barangays,” he said.

Based on the initial report from the city's Finance Department, total revenue collection as of December 2023 has reached P24.8 billion. 

The bulk of the year’s income came from local sources led by Business Tax with P12,488,452,736.24, followed by Realty Tax with P8,688,442,661.55.

In June 2023, the Supreme Court rejected the Makati City government's motion asking the high court to allow it to file a second motion for reconsideration over its territorial dispute with Taguig City.

This is in connection with a 2021 Supreme Court decision declaring that the Fort Bonifacio Military Reservation, consisting of parcels 3 and 4, psu-2031, and the 10 barangays, are part of the territory of Taguig City. —VAL, GMA Integrated News