1. Proposed SFMV Updating General Revision of Real Property Assessments
and
General Revision of Real Property Assessments
Magandang araw po sa ating lahat!
Kami po sa Tanggapan ng Assessors Office ay humaharap sa inyo ngayon, upang bigyang linaw kung bakit natin kailangang i-adjust ang ating Schedule of Fair Market Values” na sya po nating ginagamit sa pagtatasa ng iba’t-ibang ari-arian na hindi natitinag, kagaya po ng lupa, bahay/gusali at iba pang mga straktura nakatayo rito.
Sa mga ganito pong usapin, lalo na sa usapang pagbubuwis na kami rin naman po ay apektado, nauunawaan po namin ang inyong agam-agam, kung kaya po nandito kami, upang magbigay linaw. Kaya umpisahan po natin.
City Assessor’s Office, Quezon City

2. ADMINISTRATIVE ISSUANCES
Sec General Revision of Assessment and Property Classification
“The Provincial, city or municipal assessor shall undertake a general revision of real property assessment within two (2) years after the effectivity of this Code and every three (3) years thereafter.”
ADMINISTRATIVE ISSUANCES
SECTIONS 200, 201 & 219
LOCAL GOVERNMENT CODE OF 1991

3. ADMINISTRATIVE ISSUANCES
Sec Administration of the Real Property Tax
“The provinces and cities including municipalities within the Metropolitan Manila
Area, shall be primarily responsible for the proper, efficient and effective administration of the real property tax.”
ADMINISTRATIVE ISSUANCES
SECTIONS 200, 201 & 219
LOCAL GOVERNMENT CODE OF 1991

4. ADMINISTRATIVE ISSUANCES
Sec Appraisal of Real Property
“All real property, whether taxable or exempt, shall be appraised at the current and fair market value prevailing in the locality where the property is situated. The Department of Finance shall promulgated the necessary rules and regulations for the classification, appraisal, and assessment of real property pursuant to the provisions of this Code.”
ADMINISTRATIVE ISSUANCES
SECTIONS 200, 201 & 219
LOCAL GOVERNMENT CODE OF 1991

5. Joint Memorandum Circular (JMC) on Revision of SMVs
JMC enjoins LGUs to implement Section 219 (General Revision of Assessment and Property Classification) of the R.A. 7160 regarding the revision of property assessments and classifications.
It also prescribes the use of the Philippine Valuation Standards (DOF Dept. Order No ) and Mass Appraisal Guidebook (DOF Dept. Order No ) in conducting the general revision of property assessments and classifications.

6. Commission of Audit Findings

7. LGU Compliance Report (as of June 2015)
Sa profile po ng mga “cities” in terms of LGU compliance, sinasabi po sa website ng BLGF na HALOS B20.3 ANG NAWAWALA SA ATING KABANG BAYAN (pangkalahatan po ito), sa patuloy nating pag-gamit ng outdated SFMV. At sa amount po na ito, sinabi pang B15.9 ang maaaring nawala, para sa mga cities ng Metro Manila.
Naisip tuloy namin kung tutuusin, halimbawang P1B na lang ang para sa QC, humigit-kumulang P6-7B po ang napalagpas nating real property tax sakaling nakasunod tayo sa probisyon ng batas na mag-revise kada 3 taon.

8. LGU Compliance Report (as of June 2015)
Despite the boom in construction, housing and real estate industries,
112 of the 144 cities use outdated SMVs contrary to the Local Government Code.
Malinaw din pong sinasabi na 112 out of 144 cities ang hindi nakasunod sa ipinag-uutos po ng batas. At marami po itong kadahilanan.
Ang isipin na lang po natin ay ang maraming benefits sa ating pamayanan na nawala, kagaya ng iniulat.
Maaari din po kasing higit marami pa ang ating school buildings at health centers ngayon, at maaaring mga iba pang proyekto, kung nakapag-revise tayo at naka-kolekta on time.
WHEN WAS THE LAST TIME OUR CITY REVISED OUR REAL PROPERTY ASSESSMENTS?

9. What is a Schedule of Fair Market Values (SFMV)?
It is an approved schedule of unit base market values for different classes of real property (except machinery)
prepared by local assessors as basis for computing Real Property Tax assessments (RPT) which provinces and cities are authorized to impose under the Local Government Code.
SPEAK OF THE DEVELOPMENTS THAT HAVE EVOLVED IN QC from 1996 and hence,
- SM Annex and the Block, Trinoma, Fairview Terraces, Eton Centris
- UP Techno Hub, UP Towncenter, High-rise Condos (Venecia, SM, Katipunan, etc.),
- Business hub at Tomas Morato, Katipunan, Timog
- Fisher Mall, Robinsons Magnolia
- Development along Eastwood area, A. Bonifacio and many others

10. Why revise the SMV? Mandated by law (LGC Book II, Sec. 219)
Seeks to reflect true market levels
Updates the classification of real properties
Discovers new properties or rediscover ‘lost’ properties from the assessment roll
Corrects erroneous entries & duplications in the real property database
Rationalizes the real property tax base
Our own SMV is 20 years outdated
(SP Ord.357 S-1995 approved 12/19/1995)
BAKIT NGA BA KAILANGAN NATING MAG-REVISE, BUKOD NGA PO SA ITINATAKDA NG BATAS?
1) Isinasalarawan nito ang makatotohanang halaga ng ating ari-arian;
2) Ganun din po ang kasalukuyang gamit nito –wether taxable ba o exempt, commercial ba o residential o kung anu pa mang gamit
3) In the course of inspection, nakatutulong din po ito sa amin na maresolve ang inconsistencies sa aming assessment roll
4) Ganun ding ang iba-ibang entries, kagaya ng address, minsan even ang pangalan po, etc
5) Nakikita rin natin dito ang duplicate assessments, minsan po kasi, hindi natin nakakagawiang ipa-cancel ang ating declaration, especially sa bahay...yun po pala na-demolish na yung lumang bahay, hindi po natin naire-report for appropriate cancellation;
6) But more importantly po, it rationalizes our tax base. Dahil nga po we did away with duplications and all those mentioned, mas magiging reliable po ngayon ang ating tax base. Madali ngayon mag-project ng income for the city, for its plans and programs para sa lungsod.

11. Schedule of Fair Market Values per SP Ordinance 357 S-1995
Sub-Classification
Present BUC
Ra-1
Residential - 1
3,000.00
Ra-2
Residential - 2
2,500.00
Ra-3
Residential - 3
2,000.00
Ra-4
Residential - 4
1,500.00
Ra-5
Residential - 5
1,200.00
Ra-6
Residential - 6
500.00
Ca-1
Commercial - 1
6,000.00
Ca-2
Commercial - 2
5,500.00
Ca-3
Commercial - 3
5,000.00
Ca-4
Commercial - 4
4,500.00
Ca-5
Commercial - 5
4,000.00
Ca-6
Commercial - 6
Ia-1
Industrial - 1
3,500.00
Ia-2
Industrial - 2
Ia-3
Industrial - 3
Ia-4
Industrial - 4
Ia-5
Industrial - 5
Ia-6
Industrial - 6
1,000.00

12. COMPARING VALUES (nearby Cities)
Tingnan po natin ang iba-ibang kasalukuyang values na ipinatutupad sa ating mga katabing lungsod.

13. (BIR Zonal and Prevailing Sales)
COMPARING VALUES
(BIR Zonal and Prevailing Sales)
Selected subdivisions – current basic unit cost compared with BIR-Zonal and prevailing selling price

14. (BIR Zonal and Prevailing Sales)
COMPARING VALUES
(BIR Zonal and Prevailing Sales)
Selected subdivisions – current basic unit cost compared with BIR-Zonal and prevailing selling price

15. (Prevailing Unit Cost for Building Structures)
COMPARING VALUES
(Prevailing Unit Cost for Building Structures)
Selected subdivisions – current basic unit cost compared with BIR-Zonal and prevailing selling price

16. SITUATIONER
SITUATIONER

17. SITUATIONER Sub-Classification Present BUC Sample Location Ra-2
Residential - 2
2,500.00
Philam, Damar, West Triangle
Ra-3
Residential - 3
2,000.00
Del Monte, Masambong,Paltok, Sta Cruz, Matalahib, etc.
Ra-4
Residential - 4
1,500.00
Alicia, Vasra
Ra-5
Residential - 5
1,200.00
Portion of Pagibig sa Nayon, Balingasa, other inner lots
Ca-3
Commercial - 3
5,000.00
Trinoma, SM North EDSA, Along EDSA & Quezon Ave.
Ca-4
Commercial - 4
4,500.00
Along Banawe, Roosevelt
Ca-5
Commercial - 5
4,000.00
NS Amoranto, Retiro, Sgt Rivera
Dollar exchange is ?

18. SITUATIONER

19. SITUATIONER Sub-Classification Present BUC Sample Location Ra-2
Residential - 2
2,500.00
Tivoli Royale, Don Antonio Royale
Ra-3
Residential - 3
2,000.00
BF Homes Subd.
Ra-4
Residential - 4
1,500.00
Commonwealth Hts, Don Enriquez, Don Antonio Hts, Northview I & II
Ra-5
Residential - 5
1,200.00
Sugartown, Violago Homes, Dona Juana, Parkwood, Sunnside, Villa Beatriz
Ra-6
Residential - 6
500.00
NGC Housing Projects, Villa Maloles,
Ca-4
Commercial - 4
4,500.00
Along Commonwealth
Ca-5
Commercial - 5
4,000.00
Holy Spirit Drive from Commonwealth to BF Homes, Capitol View Park, etc
Dollar exchange is ?

20. SITUATIONER

21. SITUATIONER Sub-Classification Present BUC Sample Location Ra-1
Residential - 1
3,000.00
Ayala Hts, Ayala Hills, Corinthian, Green Meadows, Greenwich
Ra-2
Residential - 2
2,500.00
White Plains, Blue Ridge A & B, Xavierville I & II, etc
Ra-3
Residential - 3
2,000.00
Tivoli Green, Vista Real, North Susana, New Intramuros, all lots w/in Cubao, etc
Ra-4
Residential - 4
1,500.00
Claro, Amihan, Duyan-Duyan, Bayanihan, Quirino 2-A-C, etc.
Ra-5
Residential - 5
1,200.00
NHA Project (Pansol), Bents Ent. Subd.
Ca-1
Commercial - 1
6,000.00
Araneta Center
Ca-2
Commercial - 2
5,500.00
Katipunan Ave., C-5 Rd (E. Rodriguez Jr)
Ca-3
Commercial - 3
5,000.00
Mercury Ave., EDSA (U Norte)
Ca-4
Commercial - 4
4,500.00
Aurora Blvd, Kamias Rd., 20th Ave
Ca-5
Commercial - 5
4,000.00
Along Anonas, 15th Ave.
Ca-6
Commercial - 6
Boni. Ave. (Santolan)
Ia-2
Industrial - 2
Portion of E Rodriguez Jr (Bagumbayan)
Ia-3
Industrial - 3
Calle Industria
Dollar exchange is ?

22. SITUATIONER

23. SITUATIONER Sub-Classification Present BUC Sample Location Ra-2
Residential - 2
2,500.00
Laging Handa, Sacred Heart, Paligsahan, Damayan lagi, Scout areas, Kalusugan, Mariana
Ra-3
Residential - 3
2,000.00
Tatalon, Central, Pinyahan, etc.
Ra-4
Residential - 4
1,500.00
Talayan
Ca-1
Commercial - 1
6,000.00
Timog Ave., Tomas Morato
Ca-3
Commercial - 3
5,000.00
Quezon Ave., EDSA, West Ave.
Ca-4
Commercial - 4
4,500.00
Kamuning Rd, Banawe, Aurora, E Rodriguez, Roces
Ca-5
Commercial - 5
4,000.00
Kalayaan Ave., V Luna
Ca-6
Commercial - 6
Mother Ignacia, Panay Ave., Maguinhawa
Dollar exchange is ?

24. SITUATIONER

25. SITUATIONER Sub-Classification Present BUC Sample Location Ra-4
Residential - 4
1,500.00
Fairview East & West, Lagro Subd., North Olympus, Greenfields, N Fairview, SSS Housing, etc
Ra-5
Residential - 5
1,200.00
Maligaya Park, San Gabriel Estate, Capri Hts., Chudian, etc
Ra-6
Residential - 6
500.00
Aguardiente
Ca-4
Commercial - 4
4,500.00
Along Commonwealth
Ca-5
Commercial - 5
4,000.00
Quirino Hiway, Gen Luis fr Nova Proper to Nagkaisang Nayon
Ca-6
Commercial - 6
2,500.00
Regalado Ave., Dumalay, Susano Rd.
Dollar exchange is ?

26. SITUATIONER

27. SITUATIONER Sub-Classification Present BUC Sample Location Ra-2
Residential - 2
2,500.00
Tierra Pura, Miranilla, Ferndale, St Charbelle Executive Vill.
Ra-3
Residential - 3
2,000.00
Congressional Vill., Grace Village, Bellevue, Meiling
Ra-5
Residential - 5
1,200.00
QCVille, FEU Housing, Delta Vill., Gem Subd., Hilda Village, Carmel I & II, Gloria 1-6, Dona Faustina, GSIS Vill., Metro Hts, etc
Ra-6
Residential - 6
500.00
UP Site I & II, Sunny Villas, Saman ng mga NGOs
Ca-3
Commercial - 3
5,000.00
EDSA, Along Visayas Ave.
Ca-4
Commercial - 4
4,500.00
Along Visayas Ave., Commonwealth, Congressional, Mindanao Ave.,
Ca-5
Commercial - 5
4,000.00
Quirino Hiway
Ca-6
Commercial - 6
T Sora Ave., Howmart, Kaingin Rd., Oliveros, Samson Rd
Dollar exchange is ?

28. SUB-CLASS CRITERIA Residential- 2 (Ra-2)
Along concrete roads, basically residential where commercial use in specified areas is allowed by ordinance;
Located next to first class residential lands;
Where transportation facilities are easily accessible and regular to all points toward trading, commercial, and business centers in the city and neighboring cities and municipalities; and
Commands lesser value than that of Residential 1.
Residential- 3 (Ra-3)
Along concrete/asphalt roads;
Where there are newly developed subdivisions, or with lot sizes/areas lesser than those in Residential 2;
Where transportation facilities are accessible and regular;
Where multiple dwellings are allowed, and the average class of construction cost of improvement is lesser than those of Residential 2; and,
Commands lesser value than that of Residential 2.
Residential- 4 (Ra-4)
Where newly developed residential subdivisions located quite a distance from major thoroughfares in the city;
Where public utilities are accessible and fairly regular towards major trading, commercial, and business centers in the city and neighboring cities; and
Where the terrain and development is quite irregular in some areas of the subdivision;
Dollar exchange is ?

29. SUB-CLASS CRITERIA Commercial - 2 (Ca-2)
Located along major thoroughfares;
Where trading, social (or educational) activities are considerably high but fall short from that of Ca-1;
Where concrete commercial or business medium-high buildings and shopping centers are situated;
Where vehicular and pedestrian traffic are considerably busy but fall short from that of Ca-1;
Commands lesser value than that of Ca-1; and
Where all the facilities for trading, commercial and business activities are adequately available and accessible.
 Commercial - 3 (Ca-3)
Where trading, social (or educational) activities are significantly less than Ca-2;
Where average-grade commercial or business buildings, 4-storey and less, are situated;
Where vehicular and pedestrian traffic are fairly busy;
Commands lesser value than that of Ca-2; and
Dollar exchange is ?

30. SUB-CLASS CRITERIA Commercial - 4 (Ca-4)
Located along secondary roads; Where trading, social (or educational) activities are significantly low but predominant;
Where average-grade mixed-use commercial and residential buildings, 4-storey and less, are situated; Where vehicular and pedestrian traffic are regularly less busy;
Commands lesser value than that of Ca-3; and
Where all the facilities for trading, commercial and business activities are fairly available and accessible.
Industrial – 3 (Ia-3)
Along secondary roads
Inner lots but within the proximity of medium industrial zone;
Where the vicinity is predominantly used for industrial purposes;
Where the city ordinance allows the establishment of industry;
Availability of water, electricity, sewers, street lighting and other public services; and
Commands the least value for industrial lands in the City.
Dollar exchange is ?

31. There are no "guesstimates" when it comes to appraisal
REAL ESTATE APPRAISAL
(ASSESSOR)
Real estate appraisal or property valuation is the process of developing an estimate of the value of a real property.
It includes all of the research, data, reasoning, analysis and conclusions necessary to arrive at a “fair and equitable” value estimate, for taxation purposes.
There are requirements and detailed process that we have to follow as prescribed by existing laws, MRPAAO, and guided by the Generally Accepted Valuation Principles (GAVP) and the Philippine Valuation Standards (PVS).
Requirements that we have to follow in order to produce a valuation that is compliant with the “standards” required of the law. Mass Aprraisal System, MRPAAO
There are no "guesstimates" when it comes to appraisal

32. Benefits of Updated SMV
More accurate basis for revenue forecasting & targeting
More transparent & active property market
Fair and equitable distribution of the tax burden
Improved credibility of the SMV
SMV
Better informed property owners
Improved revenue collection

33. SMV/SFMV Revision Process
Data Collection and Field Inspection
Data Entry and validation
Data Analysis
Preparation of SMV
Quality testing of Values
When we speak of “Fair Market Value” nangangahulugan po ito nang “Wastong halaga sa Bilihan”. Ang fair market value ay ang presyo ng maaring kusang loob na tanggapin ng nagbebenta at maaring bayaran ng bumibili ng hindi ito pinipilit.
Ang tamang presyo ng lupa ay dapat makuha sa pamamagitan ng datos ng mga bentahan ng ka­paligirang lupa, at ito po ay aming itinatala, sa bawa’t trnsaction na pumapasok sa aming tanggapan. Kailangan po naming i-record ang lahat ng sales transaction na pumapasok at alamin kung makatotohanan ba ito o hindi.
Ano pa pong mga kailangan ikonsidera?, ang iba’t-ibang developments sa kapaligiran, mga pasilidad tulad ng kuryente at tubig, ang gamit mismo ng lupa, atbp.
Sa madaling salita, bago po makapag-sumite ang Tanggapan ng Assessor ng sinasabing SFMV, dumadaan po ito sa kaukulang “data collection ang gathering”.
Application of SMV to individual property

34. Data Collection & Field Inspection Process
Step 1
Gather recent sales transactions
Step 2
Record property details of sold properties
Step 3
Conduct property inspection
Step 4
Verify & update property data
Step 5
Interview parties involved in the transaction for the sales details

35. Compliance as to the requirement
Section 212 of R.A. No. 7160,

36. Sample
As soon as all of those discussed have been prepared more particularly the Proposed Schedule of SFMV, the same is now forwarded to our local Sanggunian for appropriate enactment into an Ordinance.

37. Roles & Responsibilities*
Governors and Mayors
Governors and Mayors are directed to require their respective assessors to prepare an updated SMV and to draft the corresponding ordinance for the Sanggunian´s approval
Now as to the roles and responsibilities kung paano ito maisasakatuparan… *

38. Roles & Responsibilities*
The Local Assessors
Prior to preparing an updated SMV:
must require all property owners to submit their Sworn Statements which declares the true value of their property/ies;
gather and analyze the collected data, calculate values, and prepare the preliminary SMV that will be the basis of the General Revision;
submit the preliminary SMV to the Sanggunian for the Sanggunian´s approval (through an Ordinance).
after the Sanggunian approves the prepared updated SMV, the local assessor will conduct the General Revision of Property Assessments for real property tax purposes. *

39. Roles & Responsibilities*
The Sanggunian
- All presiding officers/members of the Sanggunian are tasked to appropriate funds to enable the local assessor to conduct the General Revision of Real Property Assessments every three years;
- the Sanggunian is mandated to calendar, deliberate on and pass the ordinance incorporating the proposed updated SMV prepared by the local assessor; *

40. RAISING THE RESOURCES FOR GOVERNANCE
“Now, how do we continue to fund and expand all these programs? In a city of more than 2.9 million people, how can the City Government continue to meet the needs of all, including about 500,000 who come here daily to work or conduct their business?
“xxx..An obligation that is posed before us now is to adjust the schedule of Fair Market Values of real properties in the city. Much as we do not like to burden our taxpayers, this adjustment is a requirement of law. Our Commission on Audit resident auditor has highlighted this need, pointing out that the last time Quezon City adjusted its schedule of fair market values was 21 years ago, in We have not been complying with the requirements of the Local Government Code, which provides that the City Assessor should undertake a general revision of real property assessments every 3 years. We have also been ordered by the Department of Finance, through a joint memorandum circular with the Department of Interior and Local Government, that LGUs must comply with the Local Government Code provision to adjust FMVs every 3 years. We are not exempt from this law, therefore, we have no obligation but to comply...xxx”
Excerpt from the 7th State of the City Address of our City Mayor, Herbert M. Bautista

41. Calendar of Activities
Having said all of those mentioned, pahintulutan nyo po na balikan ko ang ating assessment calendar, kung saan makikitang pagkatapos ng public hearing na ito ay ang pagdedesisyon ng ating Sanggunian.

42. Existing and Proposed Market Values and the Resulting Changes
CODE
DESCRPITION
PRESENT BASIC UNIT VALUE
PROPOSED BASIC UNIT VALUE (Php/sq.m.)
PERCENTAGE INCREASE IN MARKET VALUES
(Php/ sq.m.)
Ca-1
Commercial - 1
6,000.00
40,000.00
566.67%
Ca-2
Commercial - 2
5,500.00
35,000.00
536.36%
Ca-3
Commercial - 3
5,000.00
30,000.00
500.00%
Ca-4
Commercial - 4
4,500.00
25,000.00
455.56%
Ca-5
Commercial - 5
4,000.00
20,000.00
400.00%
Ca-6
Commercial - 6
2,500.00
15,000.00

43. Existing and Proposed Market Values and the Resulting Changes
CODE
DESCRPITION
PRESENT BASIC UNIT VALUE
PROPOSED BASIC UNIT VALUE (Php/sq.m.)
PERCENTAGE INCREASE IN MARKET VALUES
(Php/sq.m.)
Ia-1
Industrial - 1
3,500.00
20,000.00
471.43%
Ia-2
Industrial - 2
3,000.00
18,000.00
500.00%
Ia-3
Industrial - 3
2,500.00
15,000.00
Ia-4
Industrial - 4
2,000.00
For reclassification
Ia-5
Industrial - 5
1,500.00
Ia-6
Industrial - 6
1,000.00

44. Comparative figures

45. Comparative figures

46. Comparative figures

47. Comparative figures

48. Comparative figures

49. Comparative figures_Dist 1

50. Comparative figures_Dist 2

51. Comparative figures_Dist 3

52. Comparative figures_Dist 4

53. Comparative figures_Dist 5

54. Comparative figures_Dist 5

55. Comparative figures_Dist 5

56. Comparative figures_Dist 6

57. INVENTORY OF PARCELS BY SUB-CLASS & CURRENT/EXISTING ASSESSMENT
All in all, taking into account all these sub-class and basic unit cost we have mentioned, we came up with this estimated counts based on existing database (June 2016).

58. TOTAL MARKET/ASSESSED VALUES &
TOTAL TAX DUE UNDER CURRENT AND PROPOSED SMVs
Current SMV
Proposed SMV
Total Market Value (Php)
146,894,200,426
856,959,437,000
Total Assessed Value (Php)
38,166,142,205
224,159,595,030
Total Estimated Tax Due (Php)
1,051,505,032.85
6,186,547,345.50
At 18% & 45% Assessment Level for Residential and Commercial, respectively (without introducing any adjustments) the new SMV will have a tax due of Php 6,186,547,345.50, or a gross incremental revenue of Php 5,135,042,
Now, if we are to fully implement such increased as proposed, kagaya po ng ina-aalala nyo., eto po ang impact nun comparing current SFMV and ang atin pong proposal. Malinaw po na ang gross incremental revenue would be P5,135,42, Yun po ay kung wala tayong iiintroduce na adjustments. Meron naman po kasing kaparaanan. And ang ating pong magigiting na gentelmen and ladies sa ating konseho ang magte-take-up ng kung baga’y “socio-economic impact” sa parte po ninyong magbabayad ng buwis.
And ito rin po ang bottomline ng pagtitipong ito, ang madinig po ang inyong side, especially sa mga susunod pong slides na ipapakita po namin.

59. POSSIBLE POLICY OPTIONS
For large increases in values, the following options may be considered to mitigate their impact on real property taxes:
Option 1: Adjust the assessment level
Option 2: Adjust the tax rate
Option 3: Phased implementation of the
increase in the tax, e.g.:
1styear: 50% of the increase
2ndyear: 60% of the increase
3rdyear: 100% of the increase
There are several options available to the local government to mitigate the increased tax burden arising from substantial increases in the market values and this can be done principally by adjusting the tax structure…upang mapagaan kahit paano ang bayarin nating real property tax. At ito nga po ay ang mga sumusunod.

60. Comparative figures

61. Comparative figures

62. Sample Computations
Ihalimbawa po natin ang isang property, say sa Culiat (located at Sanville Subdivision), meron po itong 400sqm. At base po sa record, pumapatak sa Sub-Class na Ra-5.

63. Sample Computations
Ano po ang kasulukuyang value ng Ra-5? >> P1,200.00; So kung atin pong iko-compute, ang RPT po na binabayaran nya, amounts to P2, at kung entitled po sa discount, would be P1,728.00;
Sakali pong sundin natin ang SFMV as proposed, ang kanya pong RPT ay magso-shoot up to P14,400 (11,520) if discounted, o maliwanag na tumaas by 567%. Malamang po magre-react po tayo, at kasama rin po kami dyan.
Base po sa options na binanggit kangina, pinaka-advantageous po sa atin ang ibaba ang ating Assessment Level. Tingnan po ninyo ang effect, kung bababaan natin simula sa 18% sa Residential, ginawa nating halimbawang 10%, instead of the 11,520 na binanggit, magiging P6,400 na lang po.
And kagaya ng sinasabi namin, patuloy po itong tinitake-up ng ating mga konsehal, to cushion the impact para nga po di kayo gaano maapektuhan. But definitely po, it entails additional taxes po. Siguro pilitin na lang nating sa pinakamababa, di po ba?

64. Sample Computations
Based po sa

65. Sample Computations

66. Sample Computations

67. Sample Computations

68. Comparative figures

69. Comparative figures

70. Comparative figures

71. TOTAL MARKET/ASSESSED VALUES & TOTAL TAX DUE USING THE SELECTED OPTION
Current SMV
Proposed SMV
Total Market Value (Php)
146,894,200,426
856,959,437,000
Total Assessed Value (Php)
38,166,142,205
68,739,414,950
Total Estimated Tax Due (Php)
1,051,505,032.85
1,912,671,197
ADJUSTING THE ASSESSMENT LEVEL AT THE LOWEST POSSIBLE -- 5% for Residential & 15% for Commercial, the Proposed SMV will have a tax due of Php 1,912,671,197.00, or a gross incremental revenue of Php 861,166,
There are several options available to the local government to mitigate the increased tax burden arising from substantial increases in the market values and this can be done principally by adjusting the tax structure.

72. BASE UNIT CONSTRUCTION COST (BUCC) FOR IMPROVEMENTS
The proposed increase in Base Unit Construction Cost are likewise well founded, and this time, a single valuation for each building type and kind was adopted, departing from the minimum-maximum bracket valuation.
Buildings are classified according to its use and construction characteristics; and
Unit value are established for its class and sub-class, together with the set of addition and reduction adjustment factors.

73. BUILDING TYPE AND CLASSIFICATION
Type I
Buildings of wood construction. Structural elements consisting of any of the materials permitted, nipa house, and similar structures.
Type II
Buildings of wood construction with protective fire-resistant materials and one-hour fire resistive throughout. Permanent non-bearing partitions may use fire-retardant treated wood within the framing assembly.
Type III
Buildings of masonry and wood construction. Structural elements may be any of the materials permitted by the National Building Code; Provided that the building shall be one-hour fire resistive throughout. Exterior wall shall be of incombustible fire-resistive construction.
Type IV
Buildings of steel, iron, concrete, or masonry construction. Walls, ceilings, and permanent partitions shall be of incombustible fire resistive construction. Permanent non-bearing partitions of one-hour fire resistive construction may use fire retardant treated wood within the framing assembly.
Type V
Buildings that are fire-resistive. The structural elements are of steel, iron, concrete, or masonry construction. Walls, ceilings, and permanent partitions are of incombustible fire-resistive construction.
Though we still have to refer and adhere to the sub-classifications and various types mentioned in the Manual on Property Appraisal and Assessment, only with slight modification considering current building designs.

74. BASIC UNIT CONSTRUCTION COST OF BUILDING & OTHER STRUCTURES

75. BASIC UNIT CONSTRUCTION COST OF BUILDING & OTHER STRUCTURES

76. BASIC UNIT CONSTRUCTION COST OF BUILDING & OTHER STRUCTURES

77. COMPARATIVE FIGURES

78. General Revision of Property Assessments
is the process of updating all real property records of the LGU for real property taxation purposes using the updated SMV.
Upon meeting with all the requirements…

79. We are now ready for your questions
THANK YOU....
We are now ready for your questions