Bureau of Local Government Finance Opinion

April 4, 2005 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Ms. Maria E. Arinez 24 Sampaguita Street Maligaya Park Subdivision Barangay Pasong Putik Novaliches, Quezon City M a d a m : This pertains to your request for the issuance of a tax declaration in your name, for a parcel of land particularly described as Lot 3, Sub-Block 2-C (LRC), PSD-9707, containing an area of six hundred forty eight (648) square meters, more or less, located in Maligaya Park Subdivision, Barangay Pasong Putik, Novaliches, Quezon City, by virtue of a Deed of Assignment executed between you, as Assignee, and Pinagcamaligan Indo-Agro Development Corporation (Piadeco, for brevity) represented by its President Chairman Wilfredo S. Torres, as Assignor. In a 2nd Indorsement dated October 9, 2004, copy enclosed, the City Assessor of Quezon City submitted the following: 1. Based on the record of the City Assessor, that city, the subject property had already been assessed and declared for real property taxation purposes in favor of Jose P. Palma, married to Purita S. Palma, under Tax Declaration No. D-080-20207 by virtue of Transfer Certificate of Title (TCT) No. 37053 duly issued by the Register of Deeds of Quezon City, under Torrens System dated November 8, 1990; 2. A perusal of the Assignor's (Piadeco) right over the subject property, indicates that the title originated from "Titulo de Propriedad No. 4136" in the name of Don Marian San Pedro y Esteban, as the original owner; 3. The judge in Civil Case No. 3035-M, did not even examine the title of Piadeco (covering 72,000 or 74,000 hectares) as regards the identity of Piadeco's land and its ownership which appears vague; 4. The Supreme Court in an "En Banc" Decision, in consolidated cases of the " Intestate Estate of the late Don Marian San Pedro y Esteban vs. Court of Appeals, et al. , under G.R. No. 106496 dated December 18, 1996, had ruled with finality that: 4.1) "Titulo de Propriedad No. 4136" is declared null and void and of no legal force and effect and therefore no rights could be derived therefrom; 4.2) All lands covered by "Titulo de Propriedad No. 4136" are excluded from the inventory of the estate of the Late Don Mariano San Pedro y Esteban; 4.3) All orders approving sales, conveyances donations or any transactions involving the lands covered by "Titulo del Propriedad No. 4136" are declared invalidated, void and of no force and effect; and 4.4) The heirs, agents, privies and/or anyone acting for and in behalf of the estate of Don Mariano San Pedro y Esteban are hereby disallowed to exercise any act of possession or ownership or otherwise, dispose of in any manner the whole or any portion of the estate covered by "Titulo de Propriedad No. 4136" and are ordered to immediately vacate. The Supreme Court had warned in Several Resolutions that no further pleading will be entertained related to the aforementioned cases. HaDEIc In this connection, attention is invited to the 2nd Indorsement dated September 16, 2004, copy enclosed, of this Bureau, treating on a similar subject matter, which opined as follows: "It may be recalled that this Bureau in its letter dated May 6, 2003 to the Provincial Assessor of Surigao del Sur, for exemption of that province from the implementation of the said Regional Memorandum Circular No. 002-2000, expressed the opinion that `when real property is conveyed, cancellation and transfer of tax declaration covering a real property may be effected only upon the submission of instruments conveying real property duly registered with the Registry of Deeds of the place where the property is located.' cdtax2005 "xxx xxx xxx. "Relatedly, in our 2nd Indorsement dated May 26, 1993, copy attached, the Bureau expressed opinion that the following other requirements should likewise be submitted to the Provincial Assessor concerned: "1. full payment of real property tax "2. Payment of the tax on transfer of real property" "3. Certification of payment of the Capital Gains Tax issued by the Bureau of Internal Revenue (BIR) "Viewed in the light of the foregoing, this Bureau believes that the presentation/submission of the OCT alone is not sufficient to support the transfer and issuance of a tax declaration in the name of the requesting party. Additional documents as stated above should likewise be presented." In view hereof, this Bureau concurs in the opinion made by the said City Assessor that for every issuance of tax declaration for a parcel of land, the submission of a certified true copy of the Transfer Certificate of Title (TCT) duly registered with the Register of Deeds of Quezon City, and other abovementioned additional documents to prove ownership thereof, is required. We trust that this clarifies matters. Very truly yours, (SGD.) MA. PRESENTACION R. MONTESA Executive Director