Authorizing the Grant and Release of Fringe Benefit to the Judges, Officials and Personnel of the SC, PET, CA, Sandiganbayan and the CTA

February 28, 2000 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Mr. Maximo D. Martinez, Jr . EVP-General Manager Bahayang Pag-Asa, Inc. 1725 M. Adriatico St., Malate Manila S i r : This refers to your letter dated March 12, 1999, requesting enlightenment on the real property tax assessments covering road lots, open spaces and easements owned by subdivision developers or the homeowners associations. It appears that the abovementioned request was prompted by your disagreement on the present assessments made on the said road lots, open spaces and easements "in the same amount as residential lots are paid (or assessed)." In this connection, it is informed that Section 11(D) and the last paragraph of Section 11(E) of Local Assessment Regulations No. 1-92 provide as follows: Section 11. Rules for Assessment of lands: "xxx xxx xxx. "(D) Vacant lands shall be classified, valued and assessed like similar lands in the locality. cSICHD "xxx xxx xxx. "(E) . . . . "Roads or streets in urban subdivision, unless already donated or turned over to the barrio (barangay), municipality or city, shall be listed in the name of the subdivision owner and shall be valued on the basis of the cost of cementing, asphalting or paving them with gravel and sand per square meter. The roads or streets shall be assessed at the rate not exceeding the assessment level applicable to lands located in the subdivision." Accordingly, Provincial, City or Municipal Assessors assess road lots and open (or vacant) spaces of subdivisions on the basis of the foregoing provisions of the abovecited Regulations. However, the valuation of such properties should conform with the unit values applicable for the subject real properties as indicated in the approved Schedule of Market Values for the local government unit where the said real properties are situated. As regards "easements," this Bureau, much to its regret, can not reply categorically in the absence of information concerning particular cases or situations involving the same. Very truly yours, (SGD.) ANGELINA M. MAGSINO Deputy Executive Director Officer-In-Charge MEMORANDUM FOR : Assistant Secretary J.J. R. Fetiza THRU : Channel DATE : February 28, 2000 This refers to the letter dated March 12, 1999 of the EVP-General Manager, Bahayang Pag-Asa, Inc., which was received by this Bureau on October 15, 1999, requesting enlightenment on the real property tax assessments covering road lots, open spaces and easements owned by subdivision developers or the homeowners associations. In this regard, please be informed that under our proposed action, we emphasized that Provincial, City or Municipal Assessors assess road lots and open (or vacant) spaces of subdivisions on the basis of the provisions of Section 11(D) and 11(E) of Local Assessment Regulations No. 1-92 dated October 7, 1992 of the Department (copy attached). However, the valuation of these properties should conform with the unit values applicable for the subject real properties as indicated in the approved Schedule of Market Values for the local government unit where these real properties are situated. With regard to "easements" the proposed action, in effect, suggested that categorical information is necessary concerning particular cases or situations involving the same in order that the Department could likewise reply categorically. For your final clearance, please. (SGD.) ANGELINA M. MAGSINO