Definition

According to Section 284 of the Local Government Code of the Philippines

Philippines

The Philippines , officially known as the Republic of the Philippines , is a country in Southeast Asia in the western Pacific Ocean. To its north across the Luzon Strait lies Taiwan. West across the South China Sea sits Vietnam...

 (RA 7160), Internal Revenue Allotment (IRA) is a local government’s share of revenues from the
national government. It is largely based on land area and population. LGUs also derive revenues from local sources.

Typically, the IRA for municipalities account for 90% of total revenues. Since cities have more sources of local revenues, their IRA ranges from 50% to 70% of the total