Bureau of Local Government Finance Opinion

March 24, 2000 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Ms. Francia De Leon Heirs of Leocadio de Leon No. 56 M. L Quezon Street Hagonoy, Taguig, Metro Manila M a d a m : This refers to your letter dated August 16, 1999, in your capacity as Attorney-in-Fact for the Heirs of Leocadio and Isaac de Leon, requesting cancellation of Tax Declaration No. A-008-2487, covering a real property situated in the Municipality of Taguig, declared in the name of Ignacia de Leon Victoria. In this regard, enclosed is a copy of the 1st Indorsement of the same date, instructing the Municipal Assessor of Taguig to cancel Tax Declaration No. D-008-02487(A-008-00846) in the name of Ignacia de Leon Victoria, and restore Tax Declaration No. 120-003-02135 in the name of the original declarant, Isaac de Leon. Rest assured that as soon as the directive of this Bureau to the Municipal Assessor is complied with, you will be advised accordingly. Very truly yours, (SGD.) ANGELINA M. MAGSINO Deputy Executive Director Officer-in-Charge March 24, 2000 1st Indorsement Respectfully returned to the Municipal Assessor, Taguig, Metro Manila, his within letter dated November 24, 1999 concerning the letter dated August 16, 1999, of Ms. Francia de Leon, in her capacity as Attorney-in-Fact for and in behalf of the Heirs of Leocadio and Isaac de Leon, relative to her request for cancellation of Tax Declaration No. A-008-2487, covering a real property situated in the Municipality of Taguig, declared in the name of Ignacia de Leon Victoria. Ms. de Leon enumerated, among others, the following reasons for the said request, viz: 1. That no sale of property occurred between Sps. Marcelo and Honoria de Leon and Isaac de Leon as allegedly claimed by one Ignacia de Leon Victoria; 2. That Tax Declaration No. A-008-02487 was issued only thru an Affidavit of Loss as claimed by Ignacia Victoria which is self-serving; 3. That they have been paying the real property taxes for the property from 1932 until 1979; and 4. That Donato de Leon who had an adverse claim over the said property filed an Affidavit of Desistance in favor of Leocadio and Isaac de Leon's heirs. In the aforesaid letter dated Nov. 24, 1999, that Office, in response to our 1st Indorsement dated September 30, 1999 and letter-tracer dated November 17, 1999, stated that "this office has no authority to cancel any tax declaration which was issued for taxation purposes especially if so many years have already elapsed and the Assessor who issued it has already retired. Only a competent court of law can order the cancellation of a validly issued tax declaration." It was likewise alleged under a letter dated November 10, 1998 of that Office addressed to Ms. de Leon that "cancellation of Tax Declaration No. A-08-02487(D-008-00846) cannot be given due course. The Municipal Assessor has no plan to cancel the existing tax declaration. It is only the court of competent jurisdiction that can order the cancellation of the transfer of ownership from Isaac de Leon to Ignacia de Leon Victoria." Additionally the subject transfer was allegedly supported by an "Affidavit" and an Affidavit of Loss," both executed by Ignacia de Leon Victoria. Meanwhile, Donato de Leon Estacio who is also a claimant of the property in question, executed an Affidavit of Desistance in favor of Leocadio de Leon, son of Isaac de Leon and his heirs namely Leocadio Jr., Francisco, Natividad, Oscar, Corazon, Socorro, Romeo and Rogelio, all surnamed de Leon. He further attested to the fact that Isaac de Leon is the legitimate owner of the property declared under TD No. 120-003-02135 dated November 10, 1978 under the name of Ignacia de Leon Victoria, and that there is no truth to her alleged claim that a sale between her parents (Sps. Marcelo and Honoria de Leon) and Isaac de Leon ever occurred. It was gathered that the subject property consisting of 777 sq. meters of agricultural land (Bacoor land) declared under TD No. 120-008-0114 and later on cancelled by TD No. 120-008-02135, in the name of Isaac de Leon was cancelled by TD No. D-008-02487 which was eventually cancelled by TD No. A-008-00846 in the name of Ignacia de Leon Victoria. This Bureau, in a number of related cases, has ruled that "the transfer or cancellation of tax declaration may be effected only after registration of the document conveying real property." Under our 3rd Indorsement dated April 11, 1997, citing our letter dated July 13, 1990, copy enclosed, this Bureau clarified, among others that: ". . . in a letter dated November 22, 1988, copy also enclosed, the Administrator, National Land Titles and Deeds Registration Administration (NLTDRA), in citing Section 112 of said Law (PD 1529), opined that 'this Authority holds that self-serving affidavits may not be sufficient in form and in law as a mode of conveyance. . . .' " It is important to note that this Bureau is not in a position to determine who the real owners of the subject property are, as it is for the proper court to decide. However, the above provision proves that transfer or cancellation of tax declaration can only be made after registration of the document (Deed of Sale) conveying the real property with the Register of Deeds of the locality where the property is located. It is worthwhile to mention herein that the authority of the Department of Finance to review assessment/appraisal of real property and records thereof is provided for under Article 291 of the Implementing Rules and Regulations (IRR) of the Local Government Code of 1991 (R.A. No. 7160), implementing Section 201 thereof, which provides as follows: "Article 291. Administration of the Real Property Tax . The provinces and cities, including municipalities within the MMA, shall be primarily responsible for the proper, efficient and effective administration of the real property tax subject to the rules and regulations governing the classification, appraisal and assessment of real property issued by the DOF." "Accordingly, DOF and provincial governments shall exercise the authority to review and examine on continuing basis property, assessment, and real property tax records to ensure the proper implementation of this Rule and determine compliance with existing laws and regulations ." (Emphasis supplied) ITScAE Accordingly, the contention of that Office that only a competent court of law can order the cancellation of a tax declaration, is deemed unfounded. Based on the foregoing, that Office is hereby instructed to cancel TD No. D-008-02487(A-008-00846) in the name of Ignacia de Leon Victoria and restore TD No. 120-003-02135 in the name of the original declarant, Isaac de Leon. Be guided accordingly. (SGD.) ANGELINA M. MAGSINO Deputy Executive Director Officer-in-Charge