Implementation of the Revised Fair Market Values of Real Property Tax of a major City in the Philippines

The implementation of the revised Fair Market Values among local government units especially in Quezon City government has a very significant factor to the mandate of the Local Government Code of 1991 and the Bureau of Local Government Finance in real property assessment and valuation which serves as the main source of revenue for the city. A study on its implementation relative to revised fair market values and the problems being encountered by Quezon City government in the revised Fair Market Values will serve as a fiscal policy enhancement and decision making strategies which could affect the compliance of the law as against the political influence that is very significant in the local settings. The study employed a survey method wherein all respondents belong to the Office of the City Assessor, Quezon City. They are the real property appraisers, tax mappers, and assessment personnel. The level of implementation of the revised fair market values of real property tax in Quezon City was measured. The study revealed that the respondents’ answers to most of the variables on the level of implementation with regards to fair market values are with partial implementation only and that Quezon City government is partially compliant in the revision of Fair Market Values as the basis of real property tax. In addition, the most significant problems encountered during implementation is the presence of political influence in the valuation system. Lastly, there is no significant relationship between the degree implementation and the problems encountered during the implementation of the revised Fair Market Values.

Keywords –schedule of fair market values, real property tax, Real property assessment