Manila City Mayor Francisco “Isko Moreno” Domagoso on Thursday, August 22, signed an ordinance reducing the real property tax in the nation’s capital by 20%.

Domagoso signed Ordinance No. 8567 which grants a 20% reduction on the incremental real property taxes on all classes.

The Mayor signed the ordinance at the Bulwagang Katipunan. He was joined by Vice Mayor Honey Lacuna, Majority Floor Leader Joel Chua and members of the Manila City Council.

“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% by 20% based on the incremental values of real properties under Ordinance No. 8330 (2014 General Revision of Real Property Assessments),” it said.

Under the ordinance, the City Treasurer’s Office and the Department of Assessment are directed to issue within five days from ordinance’s approval the necessary rules and guidelines.

“All other ordinances, acts, administrative orders, rules and regulations inconsistent with or contrary to the provisions of this ordinance are hereby repealed or otherwise modified accordingly,” the ordinance read.

The ordinance takes effect on January 1, 2020.