Not A Lot To Allot: A Review of Legislative, Executive and Judicial Decisions On Internal Revenue Allotment (Ira)
Not A Lot To Allot: A Review of Legislative, Executive and Judicial Decisions On Internal Revenue Allotment (Ira)
Not A Lot To Allot: A Review of Legislative, Executive and Judicial Decisions On Internal Revenue Allotment (Ira)
Santos. The article provides an in-depth examination and analysis of the legislative, executive,
The Internal Revenue Allotment (IRA) refers to the portion of national internal revenue
that is allocated to local government units (LGUs) in a country. The article focuses on the IRA
system and investigates the various decisions made by the legislative, executive, and judicial
Through a comprehensive review, Santos explores the evolution of the IRA system,
tracing its historical development and significant milestones. The article delves into key
legislative measures, executive orders, and court rulings that have shaped the IRA framework.
Moreover, the article analyzes the impact of these decisions on the allocation and
utilization of funds by LGUs. It examines the issues and challenges faced in the distribution of
the IRA, including the criteria for allotment, revenue-sharing formulas, and the role of LGUs in
local governance.
Santos critically evaluates the effectiveness and efficiency of the IRA system,
highlighting its strengths, weaknesses, and potential areas for improvement. The article also
discusses the implications of recent developments in legislation, executive policies, and judicial
Overall, "Not a Lot to Allot: A Review of Legislative, Executive, and Judicial Decisions
on Internal Revenue Allotment (IRA)" provides a comprehensive analysis of the IRA system,
shedding light on the intricate interplay between legislative, executive, and judicial decisions
and their impact on the allocation of funds to local government units. Romeo Raymond C.
Santos' article examines the Internal Revenue Allotment (IRA) system and its relationship with
legislative, executive, and judicial decisions. The IRA is the allocation of national internal
revenue to local government units (LGUs). Santos provides a historical overview of the IRA's
development and analyzes the impact of various decisions on fund allocation and utilization by
LGUs. The article critically evaluates the strengths and weaknesses of the IRA system,
discussing criteria for allotment, revenue-sharing formulas, and the role of LGUs in local
governance. Santos also addresses recent developments and their implications for the future of
the IRA.
The Special Education Fund (SEF) is a dedicated fund that aims to improve the quality
of education in local government units (LGUs). Its source of funds is diverse, consisting of
revenue streams such as real property taxes, local business taxes, and other forms of local
government income. These funding sources provide the financial basis for the SEF.
Regarding utilization, the SEF funds are allocated and utilized within the education
LGUs. The SEF plays a vital role in supporting educational development at the local level.
However, the SEF also faces prevailing issues that need attention. These issues
ensuring equitable distribution among schools and LGUs, addressing potential inefficiencies or
addressing these issues are crucial for optimizing the impact of the SEF.
In summary, the SEF's source of funds, utilization, and prevailing issues are key areas
of focus in this precis. By summarizing these aspects, readers gain a concise understanding of
the SEF's financial basis, how the funds are utilized, and the challenges it faces in terms of
THE LOCAL GAD PLAN AND BUDGET AND THE 5% MINIMUM ALLOCATION
The Local GAD (Gender and Development) Plan and Budget refers to a framework
implemented by local government units (LGUs) to integrate gender perspectives and promote
gender equality in their programs, projects, and services. It serves as a strategic tool for
addressing gender issues and ensuring that the needs and concerns of different genders are
The 5% minimum allocation is a requirement within the Local GAD Plan and Budget
framework. It mandates that LGUs allocate a minimum of 5% of their total budget to fund
gender-responsive initiatives and activities. This allocation is intended to ensure that resources
are dedicated specifically to promoting gender equality and women's empowerment at the local
level.
The 5% minimum allocation aims to provide financial support for various GAD
percentage of the budget, LGUs demonstrate their commitment to gender equality and create
Through the Local GAD Plan and Budget and the 5% minimum allocation, LGUs are
encouraged to mainstream gender perspectives into their policies, plans, and programs. This
framework promotes inclusive and equitable development by recognizing the unique needs and
society.
The sound disposition of the Disaster Risk Reduction and Management (DRRM) Fund
of Local Government Units (LGUs) refers to the responsible and effective management and
utilization of this dedicated fund. The DRRM Fund is specifically allocated to support disaster
preparedness, response, recovery, and risk reduction efforts at the local level
Ensuring a sound disposition of the DRRM Fund involves several key components.
First, it entails proper planning and budgeting, which includes conducting risk assessments,
identifying priority areas, and allocating resources accordingly. This allows LGUs to
financial regulations and guidelines, and ensuring that funds are used for their intended
purpose. Effective monitoring and evaluation mechanisms are also crucial to assess the impact
benefits. These include improved disaster resilience, as funds are used to invest in
infrastructure, early warning systems, and community preparedness initiatives. It also enables
timely and effective response during disasters, providing necessary resources for rescue, relief,
and rehabilitation efforts. Overall, sound disposition contributes to the reduction of disaster
responsible and effective management and utilization of the fund through proper planning,
transparent financial management, and monitoring and evaluation. This ensures that the fund is
allocated strategically to enhance disaster preparedness, response, recovery, and risk reduction
efforts, ultimately benefiting the communities and reducing the impact of disasters.
THE IMPACT OF MANDANAS-GARCIA RULING OF THE SUPREME COURT
The Mandanas-Garcia ruling of the Supreme Court has had a significant impact on the
fiscal autonomy and resource allocation of local government units (LGUs) in the Philippines.
The ruling, issued on July 3, 2018, affirmed the interpretation of the term "national taxes" as
stipulated in the Constitution, specifically Article X, Section 6, which pertains to the share of
The impact of the Mandanas-Garcia ruling is primarily centered around the Internal
Revenue Allotment (IRA), which is the share of LGUs in the national taxes collected by the
national government. The ruling expanded the definition of "national taxes" to include not only
national internal revenue taxes but also all other taxes, fees, and charges collected by the
national government. This interpretation significantly increased the base of the IRA, leading to
them to have more autonomy in planning and implementing development programs and
projects. The ruling empowered LGUs to exercise greater control over their fiscal affairs and
Furthermore, the ruling also had implications for the calculation and distribution of the
IRA among LGUs. The formula for determining the IRA shares was adjusted to reflect the
expanded base of "national taxes." This resulted in a more equitable distribution of funds
among LGUs, ensuring that they receive a fair share based on their actual revenue
impact on the fiscal autonomy and resource allocation of LGUs. It has empowered LGUs with
increased financial resources and greater control over their own development, ultimately
The Devolution Transition Plan (DTP) is a strategic framework that outlines the process
and timeline for the transfer of functions, powers, and resources from the central government to
local government units (LGUs) in the Philippines. It is a key component of the government's
The DTP provides a structured approach to the devolution process, detailing the
comprehensive timeline, highlighting the sequence and phases of devolution for different
One of the main objectives of the DTP is to strengthen local governance and enhance
service delivery at the local level. It recognizes that LGUs are better positioned to understand
and address the unique needs and aspirations of their communities. By devolving functions, the
DTP aims to promote responsive and effective decision-making at the local level.
The plan also emphasizes the importance of capacity-building and support for LGUs
during the transition period. It includes provisions for training programs, resource allocation,
and technical assistance to ensure that LGUs are equipped to assume the devolved functions.
Collaboration and coordination between the central government and LGUs are emphasized to
facilitate a smooth transition and address any challenges that may arise.
accountable governance, improve service delivery, and foster local economic development. It
recognizes the crucial role of LGUs in driving inclusive and sustainable development at the
grassroots level.
By providing a clear roadmap and guidelines for devolution, the DTP serves as a
valuable tool for the effective and efficient transfer of functions and powers from the central