Real property tax in Manila to go down by 20% in January 2020

Real property tax in Manila City will be slashed by 20 percent next year after Mayor Isko Moreno signed Ordinance No. 8567 on Thursday.

"There is a need to adopt a more progressive and equitable revenue system to help our taxpayers from the detrimental effects of economic downturn," the ordinance read.

"This may be achieved through a further reduction in the ceiling on the corresponding increase in the tax levy from 60 percent by 20 percent based on the incremental values of real properties under Ordinance No. 8330 (2014 General Revision of Real Property Assessments)," it added.

The implementing rules and guidelines will be created by the City Treasurer's Office and the Department of Assessment.

The ordinance will take effect on January 1, 2020.

Last month, Moreno also signed an ordinance which grants "general amnesty on all delinquent business taxes, real property taxes, regulatory fees and other service charges."

Moreno said that he believes lower tax rates will increase the tax efficiency in the country's capital. — MDM, GMA News