^

LGU revenue collections reach P205 billion

Mary Grace Padin (The Philippine Star) - January 19, 2021 - 12:00am

MANILA, Philippines — Revenues generated by local government units (LGUs) already exceeded the downscaled full-year target for 2020 as early as September, according to the Bureau of Local Government Finance (BLGF).

According to BLGF data, revenues from local sources of LGUs amounted to P205.71 billion in the first nine months of last year, surpassing the revised full-year 2020 target of P193.04 billion by about 6.56 percent.

The target for own-sourced revenue collections was originally set at P307.08 billion, but this was adjusted downward considering the impact of the COVID-19 pandemic on the revenue generation capacity of LGUs.

Year-on-year, the BLGF said locally sourced revenues grew by two percent from the P201.69 billion recorded in the same period in 2019.

Collections also accelerated by 29.3 percent from the end-June 2020 tally of P159.15 billion, which the BLGF attributed to the easing of community quarantines, resumption of business operations, extension of payment deadlines and adoption of online and alternative payment facilities.

Broken down, the bureau said local business tax (LBT) accounted for more than 50 percent of the total collections as of end-September last year at P108.37 billion. This was already 22.6 percent higher than the 2020 target of P88.42 billion.

Real property tax (RPT) amounted to P56.23 billion, also slightly higher than the goal of P56.14 billion.

Revenues from fees and charges reached P26.61 billion, while receipts from operations of local economic enterprises totaled P14.50 billion, both accounting for 89 percent and 78 percent of their full-year targets, respectively.

By LGU level, the BLGF said cities generated P150 billion of the total local revenues, followed by municipalities with P35.90 billion and provinces with P19.81 billion.

A total of 499 out of 1,715 provinces, cities and municipalities have already reached their collection targets as of end-September.

The LGUs from the National Capital Region posted the highest local collections so far at P92 billion.

According to the BLGF, the P205.71 billion local revenues raised by local treasurers accounted for 32 percent of LGUs’ total operating income of P639.15 billion from January to September last year.

External revenues, which include internal revenue allotment (IRA), remained to be the main source of the operating income at 68 percent.

“With the easing of quarantine directives and gradual normalization of business operations during the holiday season, the BLGF is projecting additional local revenue collections of P35.68 billion for the fourth quarter of 2020, which will be reported by local treasurers on or before the 31st of March of this year,” the BLGF said.c

LGU REVENUE
Philstar
  • Latest
  • Trending
Latest
Are you sure you want to log out?
X
Login

Philstar.com is one of the most vibrant, opinionated, discerning communities of readers on cyberspace. With your meaningful insights, help shape the stories that can shape the country. Sign up now!

FORGOT PASSWORD?
SIGN IN
or sign in with