Title
Ordice on Collecting Real Property Tax
Law
Valenzuela City Ordinance No. 118 Series Of 2014
Decision Date
Mar 24, 2014
Valenzuela City Ordinance No. 118 mandates the simultaneous collection of real property taxes on both land and improvements to enhance tax compliance and efficiency in revenue collection.

Law Summary

Duty of Property Owners to Declare Improvements

  • Owners or their authorized representatives must file a sworn statement declaring the true value of the property within 60 days of acquisition or upon completion/occupancy of improvements (Section 203, RA 7160).

Definition and Scope of Real Property

  • Real property tax applies to immovable properties recognized under the New Civil Code including:
    • Land, buildings, roads, and constructions adhered to the soil.
    • Everything attached in a fixed manner that cannot be separated without damage.
    • Machinery and implements intended for industry or works carried out on the land/building.

Problem Addressed by the Ordinance

  • There exists a prevalent practice of paying tax only on land but not on improvements, leading to deficient tax collection.
  • The ordinance seeks to remedy this by prescribing comprehensive collection methods to cover both land and improvements effectively and efficiently.

Method of Collecting Real Property Tax (Section 1)

  • Basic real property tax payments on buildings, improvements, and machineries must include the tax on land and improvements.
  • Payment is only accepted if it covers both land and improvements taxes.
  • Partial payments are proportionately divided between land and improvements by the City Treasurer.

Implementing Rules and Regulations (Section 2)

  • The City Government of Valenzuela is mandated to formulate necessary rules and regulations to implement the ordinance effectively.

Separability Clause (Section 3)

  • Should any part of the ordinance be declared illegal or invalid, the remaining provisions not affected shall continue to be in full force and effect.

Repealing Clause (Section 4)

  • Any prior ordinance or parts thereof inconsistent with this ordinance are hereby repealed or modified accordingly.

Effectivity (Section 5)

  • The ordinance takes effect upon approval by the city council and signing by the city mayor.

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