Bureau of Local Government Finance Opinion

July 17, 2006 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Atty. Maria Soledad C. San Pablo Corporate Counsels, Philippines Law Offices, 21/F Pacific Star Bldg. Sen. Gil Puyat corner Makati Avenue Makati City M a d a m : This pertains to your request for a ruling relative to the enforcement of the imposition of Idle Land Tax by the City Government of Pasig City. In this connection, attention is invited to our 3rd Indorsement of even date, addressed thru the City Treasurer, to the City Assessor, both of Pasig City, the dispositive portion of which, reads as follows: "In view hereof, this Bureau further holds that if the imposition of the idle land tax by the Sanggunian Panlungsod of Pasig City was duly enacted in accordance with the LGC, it is but logical that its enforcement and implementation be likewise in accordance with the Code. Hence, although we agree with the said City Assessor that Section 249 of the LGC cannot be interpreted as a legal remedy for the declaration of nullity and non-enforcement of the idle land tax, as included in City Ordinance No. 25 of Pasig City, this Bureau, however, believes that the said provision of the Code together with Section 223 thereof, legally suspend the enforcement and collection of the said additional tax until compliance therewith is undertaken. EICSTa "In view of the foregoing, and in order to finally resolve the issue on idle land tax of Pasig City, the said City Assessor and the Treasurer are hereby instructed to submit to this Bureau proof of compliance with Sections 223, 239 and 249 of the LGC together with copies of relevant documents pertaining thereto. It is advised that the said implementation of the collection of said additional tax be held in abeyance unless proper notifications were made and the corresponding notices of assessment were sent to the property owners concerned." In view hereof, we trust that from our end, we have sufficiently addressed your concern. However, and considering that the subject matter involves the legality of a duly enacted ordinance (Pasig City Ordinance No. 25), as provided for under Section 187 of R.A. No. 7160, it is advised that the matter be raised on appeal with the Secretary of the Department of Justice. TcSHaD Very truly yours, (SGD.) MA. PRESENTACION R. MONTESA Executive Director