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Amilyar (Real Property Tax): Comprehensive Guide

Amilyar (Real Property Tax) Comprehensive Guide

Annually, real property owners are required to pay Amilyar, also known as Real Property Tax (RPT). The term “amilyar” finds its origins in the Spanish word “amillaramiento,” denoting the assessment of taxes. This tax, initially collected by barangay rulers called datus during the Spanish colonization, served to ensure security.

Imposed by the Local Government Unit (LGU) of your property’s location, the amilyar is a contemporary levy mandated by sections 197 to 283 of the Local Government Code. Real property, as defined by Article 415 of the Civil Code, encompasses immovable assets such as land, buildings, roads, and various constructions firmly affixed to the soil. This includes trees, plants, maturing fruits, sculptures, machinery, and numerous other entities connected to the land. Should you neglect the payment of the amilyar, the consequence will involve the auctioning of your property.

What is the cost of Amilyar in the Philippines?

Calculating the amilyar entails adhering to this formula: Real Property Tax equals Rate multiplied by Assessed Value. Your tax rate hinges on whether your property is located within or beyond Metro Manila.

– Within Metro Manila, your amilyar equals 2% of your property’s assessed value. To illustrate:
– Given an assessed value of P3,000,000.00, your amilyar calculation would be: P3,000,000.00 x 2% = P60,000.00.
– Outside Metro Manila, your amilyar payment is just 1% of your real property’s assessed value. For instance:
– Given an assessed value of P10,000,000.00, your amilyar calculation would be: P10,000,000.00 x 1% = P100,000.00.

Were you aware that you’re eligible for an amilyar discount? Many Local Government Units (LGUs) provide a 5% to 20% reduction for those who settle their payments ahead of time or in advance. By availing this discount, you’ll not only save but also bypass extended lines and potential delinquencies.

How to Settle Your Real Property Tax Payment?

You have two options for settling your amilyar payment: through in-person transactions or online methods.

For in-person payment, you can physically go to your LGU’s Treasurer’s Office or their specified centers. Below is a detailed step-by-step guide outlining the process for making payments through these mentioned avenues:

1. In case of prior payments, gather the subsequent documents: former Official Receipt of Tax Payment, Property Title, and Tax Declaration Number. If this is your initial payment, ensure to carry a duplicate of your tax declaration number and property title.
2. Head to the designated payer’s lounge or window within your LGU to evaluate the full tax amount to be settled.
3. Once the precise amount is established, advance to the billing section and remit the outstanding sum.
4. Obtain the payment receipt as evidence of your transaction.

Though not uniformly accessible across the nation, various cities within Metro Manila facilitate online payment options. The procedures diverge based on each city, yet each maintains its designated website for this purpose. To ensure accuracy, it’s advisable to consult your LGU and inquire about the online payment procedure.

Curious about the repercussions of missing your amilyar payment deadline?

Late payments attract a substantial penalty: 2% of the unsettled sum for each month of delay. Should you exceed 36 months (three years) without settling, the penalty reaches its maximum cap of 72%. Furthermore, the LGU reserves the right to initiate administrative or judicial measures to potentially auction your property.

What falls under the definition of real property?

Real property in the Philippines encompasses more than just houses and buildings. As per the Civil Code of the Philippines, real property also encompasses:

-Trees or plants affixed to a parcel of land
-Lands, roads, buildings, and other integral structures on the land
-Facilities like animal houses or fish ponds and the residing animals
-Permanent fixtures like paintings, decorations, and other elements within a building

Despite being among the country’s pivotal taxes, there exists a disparity in comprehending the essence of amilyar. By utilizing this article as your reference, you will gain insight into its nature, the applicable deadlines, the method for computing your amilyar, and the steps involved in its settlement.

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