Taxpayer's Remedies

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Taxpayer’s Remedies

Chapter 7
Summary of Remedies
Contesting an assessment of value of real property may be made by:
• Appeal through a petition, to the Local Board of Assessment Appeals
(LBAA)
• Appeal to the Central Board of Assessment Appeals (CBAA)
• Petition for review to the Court of Tax Appeals, en banc
• Petition for review on certiorari to the Supreme Court
Appeal to the LBAA
• To be made by owner of property within 60 days from the date of
receipt of written notice of assessment, if he contests it LGC SEC. 226
• LBAA needs to decide on the appeal within 120 days from receipt of
appeal from the taxpayer LGC SEC. 229
• Adverse decision by LBAA can be appealed by taxpayer to the CBAA
within 30 days from receipt thereof LGC SEC. 229
Composition of LBAA
• Registrar of Deeds as Chairman
• Provincial or city prosecutor as member
• Provincial or city engineer as member
• LGC SEC. 227
LBAA’s jurisdiction
• To hear appeals of owners or persons having legal interest in a
property who are not satisfied with the action of the assessor on an
assessment
Who may appeal an assessment
• The owner (declared owner in TCT or tax declaration)
• Person with legal interest in the property (person legally burdened to
pay the tax imposed on the property)
Notice of assessment is not subject to motion for
reconsideration
• Allowing motion for reconsideration would open the gates to graft
and corruption as nothing prevents the assessor from making high
assessment & after illegal payment is given would reduce the same
To whom appeal should be directed
• Local board of assessment appeals (LBAA) of the province or city
where the property is located
Mode of Appeal
• Taxpayer has to make a petition under oath in the prescribed form
• Attachments include copies of tax declarations & such affidavits or
documents submitted in support of the appeal
Effect of failure to appeal to LBAA
• Assessment shall become final, executory and demandable
• Precludes the taxpayer from questioning the correctness of the
assessment
Meetings & expenses of LBAA
• Once a month and as often as necessary for prompt disposition of
appealed cases
• Expenses shall be charged to the general fund of province or city
Central Board of Assessment Appeals (CBAA)
• Composition: 1 chairman and 2 members to be appointed by the
President
• Qualifications: at least 40 years old, member of the Bar or CPA for at
least 10 years
• Has jurisdiction to hear appeals from the decision of LBAA
Remedy of one not satisfied w/LBAA’s decision
• Appeal to the CBAA within 30 days after receipt of the decision made
by LBAA
Who may appeal to CBAA
• Owner of property
• Person having legal interest on property
• Assessor not satisfied with LBAA’s decision
Other roles of CBAA
• It can be appointed by Supreme Court to act as a court-appointed fact
finding commission to assist it resolving factual issues raised in the
cases before it
• CBAA has no authority to hear purely legal issues as these are
handled by regular courts
• CBAA findings are normally respected by the Supreme Court, except
when it committed grave abuse of discretion
Appeal of CBAA decisions
• Court of Tax Appeals en banc shall exercise exclusive appellate
jurisdiction to review by appeal decisions of CBAA
Effect of appeal on the payment of tax
• Appeal on assessments of real property shall not suspend the
collection of the corresponding realty taxes
• Adjustment shall be made depending on final outcome of appeal
Elevating CTA en banc decision to Supreme Court

• Any aggrieved party may seek reconsideration or new trial of any


decision, resolution or order of the Court
• To be made within 15 days from receipt of CTA’s decision
Grounds of motion for new trial
• Fraud, accident, mistake or excusable negligence which ordinary
prudence could not have guarded against
• Newly discovered evidence, which he could not, with reasonable
diligence, have discovered and produce at the trial and, which, if
presented, would alter the result
Requisites for motion of new trial based on
newly discovered evidence
• Evidence was discovered after the trial
• Such evidence could not have been discovered & produced at the trial
with reasonable diligence
• It is material, not merely cumulative, corroborative or impeaching
• It is of such weight that, if admitted, will probably change the
judgment
End

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