A.I. Powered: Philippine Bar Reviewer

Question

Real Property Taxation: Fundamental Principles and Nature

Scenario:

Firstname and Lastname are business partners who own a commercial property in a municipality in the Philippines. They recently received a real property tax assessment from the local government, which they find to be significantly higher compared to the previous year. They are unsure about the basis for the increase and want to understand the fundamental principles and nature of real property taxation under Republic Act No. 7160 (Local Government Code of 1991).

Question:

Discuss the fundamental principles and nature of real property taxation as provided in R.A. No. 7160, particularly focusing on:

1. The power of local government units to impose real property taxes;
2. The basis and computation of real property tax;
3. The classification and assessment of real properties; and
4. The remedies available to property owners in case of dispute or disagreement with the tax assessment.

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Answer