Duterte admin’s third tax package gets final House nod

House members on Monday afternoon approved on third and final reading the proposed bill seeking reforms in real property valuation. Given the Lower Chamber’s final nod was House Bill (HB) No. 4664, or the Act Instituting Reforms in Real Property Valuation and Assessment in the Philippines, reorganizing the Bureau of Local Government Finance (BLGF), and appropriating funds therefor.

A total of 224 congressmen voted in favor of the measure. Seven voted against and one abstained.

Known as Package No. 3 of the Duterte

administration’s Comprehensive Tax Reform Program, HB No. 4664 underwent second reading approval only last week.

The measure is a consolidation of 13 individual bills that sought to update the country’s real property valuation system and overhaul the BLGF.

Once enacted, HB No. 4664 will mandate the creation of a market-based Schedule of Market Values to be used as basis for local and national real property taxation.

The proposed legislation would also create a Real Property Valuation Service within the BLGF itself.

“Since the sponsoring committee accepted my individual amendments,

I am voting ‘Yes’,” Albay 1st District Representative Edcel Lagman, an independent member of the House, said in a speech after the conduct of nominal voting.

Underscoring his amendments, Lagman said: “Since generally ownership of residential lots is considered a dead investment, residential lot owners are protected from any undue increase in the schedule of market values which would escalate the tax rate by recognizing the power of local government units to reduce the consequential tax rates for residential lots without any limitation as to their location and size.”

The Bicolano said he also moved to protect real estate owners in areas seriously damaged by calamities.

“Because the country is calamityprone, real estate properties located in areas devastated by calamities, both natural and man-made, should be given protection from the imposition of higher real estate taxes upon recommendation by the provincial and city assessors pursuant to an order of the Secretary of Finance,” he said.