DOJ Opinion No. 137, s. 1998

DOJ OPINION NO. 137 , s. 1998 November 10, 1998 Mr. Armando L. Suratos Deputy Governor and General Counsel Bangko Sentral ng Pilipinas Manila Sir : In a letter to this Department dated October 19, 1998, opinion is requested on whether or not a government instrumentality, specifically the Bangko Sentral ng Pilipinas (BSP), whose tax tax-exempt status expired in the middle of this year is liable for the real property tax on its real estate properties for the year 1998. LibLex It appears that pursuant to Section 125 of R.A. No. 7653, otherwise known as the "The New Central Bank Act", the BSP enjoys exemption "from all national, provincial, municipal and city taxes, fees, charges and assessments for a period of five (5) years or until July 3, 1998; that upon expiration of said exemption, the City Treasurer of Pasay sought payment of the real estate taxes corresponding to the period July 3, 1998 to December 31, 1998 on one of the properties of BSP, the Philippine International Convention Center, contending that real estate taxes are payable in four (4) installments which makes BSP liable for those installments falling due after its tax exemption lapsed. llcd Opinion is advanced that BSP is not liable for the said real estate tax for the reason that under Section 246 of R.A. No. 7160, otherwise known as the Local Government Code of 1991, "real property tax for any year accrues on the first day of January", and since the BSP was still immune at the time the realty tax accrued in January, it is no longer liable for such tax for the calendar year 1998. The Department regrets that it is unable to act on the instant query. The query necessarily involves local taxation and interpretation and/or examination of the pertinent provisions of the Local Government Code of 1991. The interpretation and application of the provisions of the Local Government Code of 1991, however, properly fall within the jurisdiction of the Oversight Committee ( Sec . 533 , R.A. No. 7160 ) and the Department of the Interior and Local Government (DILG), the lead agency designated by the President in the implementation of the said Code ( Administrative Order No. 269 dated February 21 , 1992 ). Pursuant to settled policy and precedents, the Secretary of Justice does not rule on issues which fall within the primary jurisdiction of another office or agency, in this case, the Oversight Committee and the DILG, over which rulings or actuations, this Department exercises no revisory authority, unless the request comes from such office or agency ( Secretary of Justice Op. Nos. 16, 44 and 45 , current series ; Nos. 28 and 50, s. 1997 ; and No. 47, s. 1993 ). cdpr Moreover, as stated in the letter, the City Treasurer of Pasay sought payment of the real estate taxes corresponding to the period July 3 to December 31, 1998. The Secretary of Justice has time and again desisted from passing upon issues which have already been the subject of official action by other offices over whose actuations he possesses no revisory authority. If reconsideration of the aforementioned action of said Office is desired, the request should be addressed to the Office of the Treasurer, Pasay City, who is the proper official to act thereon ( Ibid ., No. 146, s. 1994 ). dctai Very truly yours, (SGD.) JUSTICE SERAFIN R. CUEVAS Secretary