IDLE LANDS TAXATION

IDLE LANDS TAXATION (ILT)

Sec. 236 of the Local Government Code of 1991 (RA-7160) provided the additional “Ad Valorem” Tax of Idle Lands which state that “A province or city, or a municipality within Metropolitan Manila Area, may levy an annual tax on idle lands at the rate not exceeding five percent (5%) of the assessed value of the property which shall be in addition to the basic real property tax. Conversely, on the succeeding Sec. 237 of the same Act, is the provision for the coverage of Idle Lands which does not have a clear and definite definition as to the policy for the implementation of such provision to LGUs.

In October 20, 2010, a Joint Memorandum Circular (JMC) was issued by the DOF and DILG under JMC No. 2010-02 to compliments the implementation of the Idle Land Taxation. Subsequently, the BLGF issued a Memorandum Circular No. 05-2012 in order to assess the implementation and requesting LGUs to submit relevant data on idle lands. Due to lack of implementable definition of idle lands, it has resulted to poor submission of data among LGUs. To address the low turn-out of data submission and to properly guide the implementation of ILT, the BLGF/DOF and DILG issued a draft Joint Memorandum Circular entitled “Policy Guidelines and Operating Procedures for the Mandatory Inventory of Idle Lands and Optional Imposition of Additional “Ad Valorem” Tax on Idle Lands in the LGUs”.

One of the salient features of the draft JMC is the Types of Idle Lands under Section 7;

A. FOR AGRICULTURAL LANDS:

a.       Type I – refers to any type of agricultural land that is vacant and devoid of improvements or any preparations applied to the land to commence agricultural productivity (e.g., tilling, application of fertilizer compost or other kinds of soil preparations, planting crops, and the like);

b.      Type II – refers to an agricultural land suited and/or used for crop farming, except perennial or permanent crops, where at least 50% of the total land area is uncultivated (e.g., unplanted or unprepared for agricultural productivity);

c.       Type III – refers to an agricultural land dedicated for planting permanent or perennial crops with less than 50% perennial crop planted per hectares;

d.      Type IV – refers to any type of agricultural land, except those exclusively dedicated for crop farming, that requires intensive investment on improvements (e.g., poultry farms, livestock farms, in-land fish farms, etc.), but which existing improvements do not cover more than 50% of the total land area;

e.      Type V – refers to any type of agricultural land, except those exclusively dedicated to crop farming, that requires intensive investment on improvements (e.g., poultry farms, livestock farms, in-land fish farms, etc.), but which the value of the existing improvements is less than 50% of the assessed value of the land; and

f.        Type VI – refers to any type of agricultural land used both for planting crops and other agricultural purposes requiring various types of improvements, where the total value of improvements is less than 50% of the assessed value of the land, and the area of cultivated and improved land do not cover more than 50% of the total land area.

 

B. FOR NON-AGRICULTURAL LANDS:

 a.       Type I – refers to any non-agricultural land that is vacant and devoid of any improvement or any type of preparation applied to the land to commence construction of improvements (e.g., pre-construction processes such as land clearing, excavation, trenching, grading, etc.);

b.      Type II – refers to any non-agricultural land with existing improvement/s that does/do not cover more than 50% of the total land area; and

c.       Type III – refers to any non-agricultural land where the total value of existing improvements is less than 50% of the assessed value of the land.

 This Idle Lands Taxation would encourage LGUs to implement the ILT that would definitely generate additional revenue. This will serve also as a land regulatory policy to catalyze high density land development, optimize agricultural productivity in the countryside, mitigate speculative landownership, and support sustainable urban development.

Should you have any comments / objections / reactions of this draft JMC, please feel free to do so

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2012 in review

The WordPress.com stats helper monkeys prepared a 2012 annual report for this blog.

Here’s an excerpt:

600 people reached the top of Mt. Everest in 2012. This blog got about 3,100 views in 2012. If every person who reached the top of Mt. Everest viewed this blog, it would have taken 5 years to get that many views.

Click here to see the complete report.

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CITIZEN CHARTER

MUNICIPAL ASSESSOR OFFICE CITIZEN’S CHARTER

The Citizen Charter of the Municipal Assessor Office of Burauen, Leyte its aim is to represent a systematic effort to focus on the commitment of the office towards standard, quality and time frame of service delivery, transparency and accountability to its clientele more particularly to public services on the field of assessment and appraisal service of the local government unit.

  1. A.      Request for CERTIFIED TRUE COPY (CTC) OF TAX DECLARATION (TD):

 

STEP Transaction Process Time Allotted Responsible Person/s
1 Present OR payment of Real Property Taxes. 1 min. Nilda Coral –Ass. Clerk/Cherry B. Gallego – Ass. Aide
2 Pay CTC fee at MTO (Php 72.00 including already the BIR Doc. Stamp). 5 mins. Darryl B. Tan –RCC1/Sonia Agrava –RCC1
3 Present OR to Assessment Clerk/Aide. 30 secs. Nilda Coral – Ass. Clerk/Cherry B. Gallego – Ass. Aide/Quincy Sintasas-Ass. AideEngr.R.S. Mandreza/Municipal Assessor
4 Xerox copy/recording at Log Book. 2 mins.
5 Signature of the Assessor. 30 secs.
6 Release of document (upon release, the representative shall affix his/her signature in the log book). 1 min.
Total 10 mins.
  1. B.      Request for CERTIFICATE OF NO IMPROVEMENT, and NON-TAX DECLARANT:
1 Pay for verification fee (Ph 20.00) at MTO. 5 mins. Darryl B. Tan –RCC1/Sonia Agrava –RCC1
2 Present OR to Assessment Clerk/Aide. 30 secs. Nilda Coral –Ass. Clerk/Cherry B. Gallego – Ass. Aide/Quincy Sintasas-Ass. AideEngr.R.S. Mandreza/Municipal Assessor
3 Verification of records 5 mins.
4 Typing/encoding of certification. 3 mins.
5 Signature of the Assessor 30 secs.
6 Recording and release of document. 1 min.
Total 15 mins.
  1. C.      Request for  LAND HOLDINGS CERTIFICATE:
1 Present OR payment of Real Property Taxes. 1 min Nilda Coral –Ass. Cler/kCherry B. Gallego – Ass. Aide
2 Pay verification fee (Ph 20.00 each/parcel of real property). 5 mins. Darryl B. Tan –RCC1/Sonia Agrava –RCC1
3 Present OR to Assessment Clerk/Aide 30 secs. Nilda Coral –Ass. Clerk/Cherry B. Gallego – Ass. Aide/Quincy Sintasas-Ass. Aide
4 Verification of records (depending on quantity of real properties). 1- 4hrs.
5 Typing/encoding of certification. 5 mins.
6 Signature of the Assessor 30 secs. Engr. R.S. Mandreza/Municipal Assessor
7 Recording and release of document. 1 min. Nilda Coral –Ass. Clerk/Cherry B. Gallego – Ass. Aide
Total 1 hr.13 mins./4 hrs. 13 mins.
  1. D. Request for HISTORY/TRACER CERTIFICATE OF REAL PROPERTY:
1 Present OR payment of Real Property Taxes. 1 min Nilda Coral –Ass. Clerk/Cherry B. Gallego – Ass. Aide
2 Pay Verification Fee (Ph 20.00) and Certification Fee (Ph 57.00) at MTO. 5 mins. Darryl B. Tan –RCC1/Sonia Agrava –RCC1
3 Present OR to Assessment Clerk/Aide 30 secs. Nilda Coral –Ass. Clerk/Cherry B. Gallego – Ass. Aide/Quincy Sintasas-Ass. Aide
4 Verification of records. 2 – 4hrs.
5 Typing/encoding of certification. 5 mins.
6 Signature of the Assessor 30 secs. Engr. R.S. Mandreza/Municipal Assessor
7 Recording and release of document. 1 min. Nilda Coral –Ass. Clerk/Cherry B. Gallego – Ass. Aide
Total 2 hrs.  12 mins/4 hrs. 12 mins.
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Taxation Polls

Are you aware of real property taxation in the Philippines?

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Enquiry

—– Forwarded Message —-
From: Noli Custodio
To: burauenassessor@yahoo.com
Sent: Tuesday, March 22, 2011 12:18:01 AM
Subject: ENQIRY

To Whom This May Concern,

I just want to enquire how much is the taxable amount for the property (house and lot) of the late LETECIA TUMANDAO SUPERALES since 2005 to present located at Aguadaz St, this municipality. It will be greatly appreciated if you can send us the copy of the breakdown of the taxable years which reamins unpaid from 2005 to present. This is one of the heirs of the late Mrs. Superales. Awaiting for your quick response to this.

Thank you very much.

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Transfer Requirement

Documentary requirement for TRANSFER of Tax Declaration:

            The Office of the Municipal Assessor of Burauen, Leyte has the primary duties, functions and reponsibilities in the administration of Real Property Taxes of the Local Government Unit. In order to facilitate the office transaction for Transfer (cancellation revision) of Tax Declaration, here under are basic requirement of documents to wit;

1. Deed of Conveyances such as Deed of Absolute Sale, Deed of Donation, Extra-Judicial Partition, Extra-Judicial Settlement, etc., should be registered at Registry of Deeds;

2. Subdivision plan (if portion only) surveyed by Geodetic Engineer duly approved by Land Management Service – Department of Environment and Natural Resources (LMS-DENR);

3. Certificate Authorizing Registration (CAR) from Bureau of Internal Revenue (BIR). This is a clearance that the applicant has already paid the Capital Gain Tax and/or Estate Taxes and/or Documentary Stamp Tax;

4. Official Receipt of payment of Real Property Tax up to the current year. The payment is to be paid  at the Municipal Treasurer’s Office;

5. Official Reciept of payment of Transfer Fee. The payment is to be paid also at the Municipal Treasurer’s Office;

6. Sworn Statement declaring the Market Value of Real Property filed by the owner/administrator;

7. Residence certificate or Community Tax Certificate of the owner/administrator.

           All the documents above are in two copies each except Item No. 5 and No. 7 which is one copy only.

           Upon completion of all the requirements, the revised tax declaration (transfer) is to be indorsed to the Provincial Assessor Office for review and approval. One copy (triplicate) shall given to the owner/administrator upon approval of the documents, and the payment of taxes shall commence base on the specified date of effectivity as reflected on the tax declaration.

           In order to avail the 20% discount of real property taxes, the tax declarant is adviced to make the necessary payment annually and must be paid on or before of March 31of the current year (Sec.251 of RA-7160). 

 

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Registration of CLOA Title

Pursuant to the Office Memorandum No.RI 08-CLOA from Provincial Assessor of Leyte and in accordance to the Assessment Manual, hereunder are the requirement/policy on CLOA Title;

1. Requirement under the Manual by analogy:

        a. Certified true copy of CLOA must be submitted or the CLOA itself signed by the DAR;

        b. Approved survey plan signed by the DENR Regional Director or a certified copy;

        c. Registration from the Register of Deeds of Deed of Sale and other alienations such as Donations,     Adjudication per Assessor’s Manual, Annex A.

2. In case this CLOA is covered by an existing tax declaration, the tax declaration shall be presented so that it can be cancelled in case this is a voluntary offer to sell by the landlord.

3. In case there is an existing tax declaration but the declarant is not the person in the CLOA, the said tax declaration shall be presented so that an annotation can be made on that tax declaration and on the tax declaration covered by the CLOA.

4. For the CLOA that are having an encumbrance showing on the face or back of the CLOA that it is not yet fully paid, the encumbrance shall also be annotated in the tax declaration issued and on the other tax declaration,  the same annoatation is made since the tax declaration with different declarant is not cancelled.

5. Exemption from taxes of CLOA transaction refers only to penalties and interest, and does not include exemption of payment of real property taxes and certification fees pursuant to an ordiance by the Provincial Government. (Local Finance Circular 1-94)

6. A certification from the Land Bank of the Philippines that the land covered by CLOA has already been paid is no longer necessary as there is already an annoatation to the encumbrance in the title itself showing that  it is not yet fully paid, which annotation should be carried over to the tax declaration.

7. These policies shall be follwed for Emancipation Patents or other titles issued by the DAR.

8. Before a new tax declaration is issued, the tax declaration reciept for the real property tax paid for 10 years under Sec.222 of RA-7160 shall be presented or a xerox copy thereof. In case it is a cancellation of old tax declaration, the current tax reciept for real property tax shall be presented or a xerox copy.

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