Council to tackle increase of FMV of properties anew

CEBU, Philippines — The increase in the Fair Market Value (FMV) of properties in Cebu City, which is expected in the proposed revision of the real property tax (RPT), may still change following "opposing opinions" of some land property owners.

This was disclosed by Councilor Noel Wenceslao, chairman of the Committee of Budget and Finance, in an interview with the Freeman yesterday. On the other hand, Wenceslao said they have yet to discuss this in the council due to the ongoing preparation for the upcoming Sinulog 2024.

To recall, the Cebu City government has noted that one of the primary source of funds for the 2024 budget is the projected collection of the revised RPT, which is anticipated to reflect a soar of tax rates.

The basis of the proposed new RPT code is the FMV that is determined by the opinion of the appraisers, and the other stakeholders. Wenceslao previously said that this could be based on the recent sale record of the property. The city assessor will also schedule the FMV based on the opinions of the appraisers and the stakeholders.

Wenceslao said they have to discuss before the Cebu City council their "move" on the revised RPT in consideration of the oppositions that they received due to the increase of the FMV which the proposed new tax rates will be based on.

"As far as the ordinance is concerned, kompleto naman to. But (what) we need to do is to discuss the Fair Market Value gyud sa land because mao gyud ang dako kaayo g impact. Unya we need to discuss how do we go about it," said Wenceslao.

Highly-developed areas in the city, according to Wenceslao, would feel the most impact of the soar of FMV that needs to be discussed anew.

With this, Wenceslao said that they are not discounting the possibility that the FMV may still change, which equates to a possibility of reduced projected tax rates.

"Amo pa ni himo-an, og i-gradual ba namo ang increase, tan-awon pa namo, especially sa FMV sa yuta. Amo pa ng estudyohan pag ayo," said Wenceslao.

"Kay as far as highly-developed areas, grabe kaayo ilang opposition, that is why we need to square (it) to be balanced also," he added.

As for the discussion, Wenceslao said they have not decided yet but they are hopeful to conduct the meeting after the Sinulog 2024.

Wenceslao is the author of the proposed ordinance entitled, 'An Ordinance enacting the 2023 Revised Property Tax Code for the Taxing Jurisdiction of the City of Cebu'.   (CEBU NEWS)