Question & AnswerQ&A (VALENZUELA CITY ORDICE NO. 118 SERIES OF 2014)
The provinces and cities, including municipalities within the Metropolitan Manila Area, are primarily responsible for the administration of the real property tax as stated in Section 200 of the Local Government Code of 1991.
The collection of the real property tax including interest and related expenses, and enforcement of remedies, is the responsibility of the city or municipal treasurer concerned in accordance with Section 247 of the Local Government Code of 1991.
Section 203 mandates that any person acquiring real property or making improvements must prepare and file a sworn statement declaring the true value of the property within sixty (60) days of acquisition or upon completion/occupancy of improvements, whichever comes earlier.
According to Article 415 of the New Civil Code as cited in the ordinance, immovable properties include land, buildings, roads and constructions adhered to the soil, things attached to immovables fixedly that cannot be separated without damage, and machinery or implements intended for industry or works on the land or building.
Due to problems of deficient tax collection caused by the prevalent practice of paying real property tax on land only without settling the corresponding tax on improvements, additional rules were needed for effective and efficient tax collection.
Payments must cover both the basic real property tax on land and on improvements for buildings, improvements, and machinery. Payments that only cover a portion will be proportionally divided and applied to land and improvements accordingly.
The City Treasurer shall divide such payment proportionately and apply it to both the real property tax on land and real property tax on improvements accordingly.
The City Government is empowered to formulate necessary implementing rules and regulations to effectively enforce the ordinance.
The separability clause provides that if any part is declared illegal or invalid, the other parts unaffected shall remain valid and in full force and effect.
Any ordinance or part thereof inconsistent with the provisions of this ordinance are repealed or modified accordingly to ensure conformity with this ordinance.