NAGA CITY---Propped by efficient tax collection, Naga City’s total income this year is expected to exceed P430 million—combining the P230 million internal revenue allotment (IRA) from the national government and locally sourced revenue.

        According to the city treasurer’s office, the total income of the city is still expected to rise as soon as figures representing locally sourced revenue are fully accounted.

        Total business tax collection reached P156 million this year while real property tax collection defied expectation and rose to P90 million.

        The surge in the annual income of the city was made possible, largely, by the more than 15 percent quarterly increases in real property tax collection efficiency.

        This year, the city has topped other local government units in Bicol Region based on overall tax collection efficiency.

        Tax collection efficiency rate, which measures a local government unit’s ability to collect taxes, is computed by dividing tax collection by the total revenue within a given period.

        The city posted a 97 percent overall tax collection efficiency compared with the cities of Legazpi (75 percent); Tabaco (73 percent); Sorsogon (72 percent); Ligao (72 percent); Iriga (68 percent); and the provinces of Masbate (87 percent); Albay (78 percent); Camarines Sur (70 percent); Sorsogon (67 percent); Camarines Norte (64 percent); and Catanduanes (57 percent).

        Naga and Legaspi ranked fourth and seventh, respectively, in the nationwide list of local government units with the highest overall tax collection efficiency rates, according to a report released by the Bureau of Local Government Finance released this year. The report covered 2006 data.

        The Department of Finance also cited the city’s decreasing dependence on its IRA.

        Without counting the city’s IRA, the total income of the city this year is estimated to surpass P200 million.