DBM: LGUs to receive over P1T in tax shares for 2026

Local government units will receive an amount exceeding P1 trillion as their National Tax Allotment (NTA) for 2026, Acting Budget Secretary Rolando Toledo said on Tuesday.

“Sa ilalim ng 2026 General Appropriations Act, makakatanggap ang mga LGU ng P1.19 trillion na National Tax Allotment or NTA, bukod pa sa mahigit na P31.7 billion na special shares mula sa national at P1.41 billion mula sa fire code fees,” Toledo said in a Palace press briefing.

(Under the 2026 GAA, LGUs will receive a P1.19-trillion NTA, in addition to P31.7 billion in special shares from the national government and P1.41 billion from fire code fees.)

The NTA is the share of taxes collected by the national government that is allocated to LGUs.

President Marcos last week signed the 2026 GAA, totaling P6.793?trillion, with LGUs set to receive roughly P1.19?trillion—about 17.5% of the total national budget.

“Ang ibig sabihin lang po nito, LGUs ang pangunahing tagapagplano at tagapagpatupad ng serbisyong panlipunan sa antas ng komunidad,” Toledo said.

(This simply means that LGUs are the main planners and implementers of social services at the community level.)

The Department of the Interior and Local Government (DILG) has urged LGUs to ensure the judicious and prudent use of the P1.19-trillion allocation for this year.

According to the DILG, the 2026 NTA is 15% higher than the previous year, highlighting the vital role of LGUs in directing funds toward programs and projects that directly benefit their constituents.

Based on actual national tax collections in 2023, the NTA is designed to support the effective delivery of basic services nationwide.—MCG, GMA Integrated News