Assessment Law on Real Property Tax

Properties owned by the U.S., Commonwealth of the Philippines, or local government units.
Cemeteries and burial grounds.
Religious, charitable, scientific, or educational properties.
Properties with valuations below specified thresholds for owners with no additional property.
Lands held by homesteaders under certain conditions, excluding buildings.
Machinery used in industry and agriculture for the first five years.
Fruit trees and bamboo unless principal plantation.
Airports used for aeronautical purposes until the end of 1939.
Depreciation allowance of 10% annually on machinery.

All taxable real property to be assessed at true and full value.
Use of municipal schedule of values as a guide; property not listed must be assessed at full value independently.

Proceeds allocated to provinces and municipalities where property is located.
Provincial tax rates between 0.125% to 0.5%; municipal rates between 0.25% to 0.5% with transitional rules.
Specific portions earmarked for roads, public works, school funds, and general funds.
Special provisions for Mountain Province adjusting municipal and provincial shares.

Appointed by the President with specified salary scales.
Authority to organize systematic assessments, maintain property maps and records, receive declarations, and adjust assessments.
Powers to cancel duplicate or invalid declarations and adjust valuations for changes, damage, or improvements.
Ability to issue certified copies of declarations for a fee.

Preparation of schedules of property values by the provincial assessor subject to approval.
General revision of assessments at least every two years.
Correction of errors via amendments prescribed and overseen by the Secretary of Finance.

Property owners required to declare property values upon acquisition or improvement within 60 days.
Failure to declare results in assessor making official declaration and assessment.
Assessor empowered to summon witnesses and take evidence for correct valuation.
Notice to owners of increased assessment is mandatory.

Owners may appeal assessments within 60 days to a five-member Board of Tax Appeals.
Board includes government officials and property owners; sessions funded by provincial funds.
Board decisions can be appealed to the Secretary of Finance whose decisions are final.
Board may review assessments on its own motion and accept various forms of evidence.

Tax due January 1 each year.
Taxes and penalties become a lien superior to other encumbrances.
Notice of payment periods must be posted and published.
Tax may be paid in two installments, with specified deadlines.
Partial and payment under protest allowed with conditions.
Extension of payment terms may be granted by provincial board or President, subject to conditions.

Upon delinquency, notices must be posted in public places detailing consequences.
Penalty of 1% per month up to 12% total applies for late payment.
Personal property of delinquent taxpayers may be distrained except specified exemptions such as tools, necessary animals, clothing, household items, provisions, and professional libraries.
Distrained property sold at public auction; proceeds exceeding obligations returned to taxpayer.
Property may be redeemed before sale by paying tax, penalty, and costs.

After one year, unsold or unredeemed property title transfers to purchaser or province.
Provincial treasurer may buy property at auction for unpaid tax amount.
Delinquent taxpayer or representative has right to repurchase within one year by paying all dues plus 12% annual interest on purchase price.
Property remains with delinquent taxpayer and usufruct continues until repurchase expires.
Final bill of sale issued after repurchase period expires.
Proceeds distributed similarly to regular tax revenues.

Municipal councils empowered to levy special assessments up to 60% of cost for public improvements benefiting specific districts.
Ordinances describing work details, costs, and payment installments must be published and landowners notified.
Protests by majority landowners representing more than half the assessed value can challenge the assessment.
Hearings and appeals to provincial board provided, with final decisions binding.
Special assessments collected like ordinary taxes with similar enforcement and penalties.

Delinquent tax constitutes indebtedness enforceable through courts.
Taxpayers entitled to refunds for erroneous assessments for up to three years.
Remission or reduction of taxes possible due to disasters, crop failure, or public interest by provincial boards or President, subject to approval.
Courts limited in invalidating taxes or sales unless just amounts are paid or taxes paid under protest.
Various government officials mandated to assist provincial assessor.
Secretary of Finance authorized to issue rules and forms.
Court fees waived for tax enforcement actions.

Officers who willfully omit taxable properties face fines up to 1,000 pesos or imprisonment up to two years.
Government officials who delay filing declarations or appeals face fines up to 500 pesos or imprisonment up to one year.