By Jovee Marie de la Cruz, November 29, 2021; Business Mirror
The House of Representatives on Monday approved the bill increasing the Internal Revenue Allotment (IRA) share of the local government units from 40 percent to 50 percent.
Voting 175 affirmative and 0 abstention, lawmakers approved on third and final reading HB 10296 to intensify local government participation in national development by increasing the share of local government units in national taxes.
After the third reading approval, the lower chamber immediately transmitted the bill to the upper chamber for its own deliberations and approval.
The bill seeks to increase the current share of the local government units in national taxes by modifying the current formulation of Internal Revenue Allotment.
The measure also seeks to include all forms of national taxes in the computation of IRA and enable local government units to provide better services and create more development projects.
The bill increases the local government share of national taxes from 40 percent to 50 percent—based on the collection of the third fiscal year preceding the current fiscal year and thereafter.
It also changes the term from “internal revenue allotment” to “national tax allotment of local government units.” The bill amends Section 284 of Republic Act No. 7160, as amended, otherwise known as the Local Government Code of 1991.
Preserve agricultural land
Also, lawmakers approved on third and final reading HB 10303 to provide stronger measures to preserve agricultural land and regulate its conversion for non-agricultural purposes.
With 176-0 votes, lawmakers passed HB 10303 providing stronger measures to preserve agricultural land and regulate its conversion for non-agricultural purposes.
It aims to minimize graft and corruption in agricultural land conversion brought about by conflicting laws, policies, and administrative activities of government agencies.
The bill would mandate the Secretaries of the Department of Agrarian Reform, the Department of Agriculture, and other concerned departments to offer technical assistance to LGUs in developing programs to regulate the conversion of prime agricultural land.