Bureau of Local Government Finance Opinion

July 26, 2002 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION The OIC-Municipal Assessor Nabas, Aklan THRU : The Provincial Assessor Kalibo, Aklan S i r : This refers to your letter dated March 6, 2002, concerning the request for assistance of Mr. Ulysses C. Mabasa of 1607 San Roque Ext. St., Roxas City, for and in behalf, of the Heirs of the late Narciso Castro, relative to the alleged cancellation of Tax Declaration (T.D.) No. 7749 covering a certain parcel of land described as Cadastral Lot No. 8744. In your abovementioned letter, you submitted, among others, the following information, to wit: 1. That Mr. Mabasa was verbally informed that T.D. No. 7749, series of 1985 in the name of Narciso Castro, was partially cancelled during the LRM/RPTA Tax Mapping Project in that municipality; and 2. That the issuance of a tax declaration in the name of the Republic of the Philippines series of 1991 for Cadastral No. 8744 was declared "NEW" without any linkage to T.D. No. 7749 of Narciso Castro. cAHIaE It appears that an issue exist as to the exact area T.D. No. 7749 should cover as a result of the Tax Mapping Project. In line with this, Mr. Mabasa was required to submit certain documents to that Office to settle the matter. Apparently, Mr. Mabasa has yet to comply with the requirements which you have laid down. In a letter dated 27 June 2002, this Bureau has enjoined Mr. Mabasa to comply with your directive to settle the matter expeditiously. Moreover, we wish to inform you that Section 204 of R.A. No. 7160, the Local Government Code of 1991, and Article 295 of its Implementing Rules and Regulations (IRR), provides as follows: Section 204 of R . A . No . 7160 : "SEC. 204. Declaration of Real Property by the Assessor . When any person, natural or juridical by whom real property is required to be declared under Section 202 hereof, refuses or fails for any reason to make such declaration within the time prescribed, the provincial, city or municipal assessor shall himself declare the property in the name of the defaulting owner, if known, or against an unknown owner, as the case may be, and shall assess the property for taxation in accordance with the provisions of this Title. No oath shall be required of a declaration thus made by the provincial, city or municipal assessor. EcAISC Article 295 of the IRR : "ART. 295. Declaration of Real Property by the Assessor . (a) The provisions of this Article shall apply only to real property previously undeclared for taxation purposes. "(b) In the case of real property discovered whose owner or owners are unknown, the provincial, city or municipal assessor shall likewise declare the same in the name of " Unknown Owner ," copy furnished the provincial assessor, until such time that a person, natural or juridical, comes forth and files the sworn declaration of property values required under either Article 293 or 294 of this Rule, as the case may be. "(c) No oath shall be required of any declaration made by the provincial, city or municipal assessor." From the aforequoted provisions of law, real properties discovered whose owner or owners are unknown, shall be declared not in the name of the Republic of the Philippines but in the name of "UNKNOWN OWNER," until such time that the true owner comes forward and present sufficient documentary evidence of his ownership to the property. In view hereof, this Bureau finds that the action taken by your Office in declaring the unidentified parcel of lands discovered during the conduct of the LRM/RPTA Tax Mapping Project in the name of the "REPUBLIC OF THE PHILIPPINES," is without legal basis. On the other hand, with regard to the cancellation of T.D. No. 7749 in the name of Narciso Castro, quoted hereunder is the pertinent portion of Article (IV)(A)(2) of the Manual of Real Property Tax Administration (Assessment Regulations No. 3-75 dated February 10, 1975), which prohibits the cancellation of tax declaration if the declared owner refuses that his declaration be cancelled, to wit: "(h) Cancel all of the assessments, in case several assessments are made, but if any assessee or his representative shall object to the cancellation of the assessment made in his name, such assessment shall not be cancelled but the fact shall be noted on the tax declaration and assessment rolls and other property books of record. Preference, however, shall be given to the assessment of the person who has the best title to the property or, in default thereof, of the person who has possession of the property." Clearly, previous tax declaration issued (T.D. No. 7749) should not be cancelled without the consent of the owner, Mr. Castro (or his Heirs). But a notation shall be made on the tax declaration, assessment rolls and other property books of records pertaining to, among others, discrepancy in the total land area as a result of the conduct of the said Tax Mapping Project. ESHcTD In view of the foregoing, the subject tax declaration (T.D. No. 7749) should be restored and updated in order that the Municipal Treasurer concerned can compute the corresponding taxes due thereon for subsequent periods. Very truly yours, (SGD.) JUANITA D. AMATONG Undersecretary and Officer-in-Charge, BLGF