A CIVIL complaint was filed by former Bacolod City Mayor Monico Puentevella before the Regional Trial Court against Mayor Evelio Leonardia, the City Council, and two department heads on the implementation of the new real property tax (RPT) rates.
Respondents to the petition for certiorari and prohibition with prayer for temporary restraining order and/or issuance of writ of preliminary injunction aside from Leonardia were the City Council represented by Vice Mayor El Cid Familiaran, City Assessor’s Office head Maphilindo Polvora and City Treasurer Officer Giovanni Balalilhe.
Puentevella, in a press conference Wednesday, said the City Ordinance 827 or an “Ordinance updating the schedule of market value of real value of real properties in Bacolod and other provisions relative to real property tax administration,” is unconstitutional.
He cited the decision of Roxas vs Court of Tax Appeals, 23 SCRA 276 in 1968 that the power of taxation is sometimes called also the power to destroy.
Therefore, it should be exercised with caution to minimize injury to the proprietary rights of a taxpayer, he added.
On October 26, 2017, the City Council approved City Ordinance 827 authored by Councilor Dindo Ramos.
Majority of the councilors voted in favor of the ordinance while Councilors Ricardo Tan and Ann Marie Palermo abstained. Councilors Wilson Gamboa Jr. and Claudio Jesus Puentevella were not around when the ordinance was passed.
“I filed this case because I met so many people in Bacolod cursing the big increase of RPT. The Local Government Code mandates that every three years there’s should be an increase, but the time is not right or the timing is not good because with the implementation of Tax Reform for Acceleration and Inclusion (Train) Law the general public is affected, especially those who have no income,” Puentevella said.
The former said he is not against taxation and he is a law-abiding citizen, but it should be reviewed, should be decreased and should be lowered by the City Government, he added.
Puentevella and his family own several parcels of land which were or will be directly affected by the subject city ordinance.
He pointed out that City Ordinance 827 is violating Section 198 of RA 7160 which provides that real property shall be assessed on the basis of a uniform classification within each local government unit.
“This ordinance is null and void because it did not adhere to the provisions of the Philippine Valuation Standards,” he said.
In 2015, during the administration of Puentevella, City Ordinance No. 08-14-700 updating the schedule of market value of RPT and other provisions relative to property tax administration was declared null and void by the Department of Justice (DOJ), after which the city was collecting taxes based on the old rates.
Puentevella said it was only declared null and void by the DOJ because of technicalities like the date of publication, among others.
“During my administration on the rule of taxation, it was done being uniform and equitable,” he said.
Councilor Puentevella said he is not in favor of the approval of the City Ordinance 827 and he supports the move of his father.
He said the City Council is responsible enough to answer the complaint and those who did not support for the approval of the ordinance will not be included in the case.
Polvora said he has not yet received a copy of the complaint. (MAP)