Thursday, December 25, 2008 Property taxes rise by 700% By Jovi T. De Leon
CITY OF SAN FERNANDO -- A businessman in this city on Tuesday questioned the assessment of his property taxes, which he was supposed to settle but was taken aback upon learning that it allegedly increased by as much as 700 percent.
The businessman, who requested anonymity, is among four others who are in a quandary as to the sudden rise in the property taxes they pay annually.
The businessman said he was told by the City Assessor's Office that the increase in the properties taxes he and his colleagues were largely due to change of his estate's classification and that under the city's rules and regulations, corresponding adjustments will have to be made for this year's dues.
Showing Sun.Star his assessment form, the businessman pointed to the payment he made last year, amounting to P2,500 and then compared to this yearend's assessment of P17,500.
The businessman said that the seven-fold increase seem ridiculous and all too sudden as he was never identified by officials here.
Aides at the City Assessor's Office refused to comment on the businessman's concerns.
But a check with the City Administrator's Office proved that there was indeed an increase in the property taxes of businessmen here.
"There is one case reported to us already regarding these," said City Administrator Fer Caylao.
Caylao told Sun.Star the increase in the property taxes were related to the change of classification of the property. He said "in this case, the taxpayer's property has been declared and elevated from agricultural to commercial that is why adjustments have to be made."
He said that for the past 10 to 15 years, no increase was imposed on property taxes which allowed businessmen here to take advantage of the city's booming economy and the opportunity for them to let their businesses flourish.
"We had to make the adjustments, Caylao said, adding "it will be unfair to other business people and property taxpayers if we don't, as in this case. Honestly, we barely have estates here declared agricultural, but we gave them some time even if their properties have long ago been classified as commercial."
Caylao said the move of City Hall is to assess these according to its current use and with the recent development, they expect increases that may reach as high 1,000 percent.
"But there is really need for them to worry. We are ready to help them come to a fair assessment, lower the rates, and help them with their property tax concerns," he said.
He added that all these taxes that are poured in by investors and businessmen in the province will eventually mean better services for Fernandinos.
