OCTOBER 2003 VOL 1. NO.1
   

MCF TAXES MIDDLE CLASS AND SLUM DWELLERS!
(By: Atty. Segismundo Frei)

Did you know that since April 1, 2002 real taxes in Marikina has gone up by 400% to 500%? For example, the Php1,000.00 annual real estate taxes that real estate owners used to pay has soared from Php4,000.00 to Php5,000.00. Thus, increases in real estate taxes resulted from the enactment by the City Council of the City Ordinance No. 223, Series 2001, increasing the assessed value of real estate properties in the city. On the other hand, Ordinance No. 045, Series 2002, provides that the increased realty taxes of 400% to 500% will be spread and collected by the City Treasurer over a period of three years:

First 40% of the increase to be due Year 2002
Next 30% of the increase to be dueYear 2003
Final 30% of the increase to be due Year 2004

Convinced that the increase in the assessment of the real estate properties in Marikina City which has resulted in increased real estate taxes was illegal and not in accordance with law, a group of city residents filed, on their own behalf and on behalf of the other adversely affected residents, a petition for prohibition with the Regional Trial Court of Marikina against the City Assessor and the City Treasurer:

Special Civil Action No. 2002-461-MK
Regional Trial Court, Branch 193, Marikina City
Presiding Judge ; Hon. Alice C. Gutierrez
“Fregillana, Jr., D.D., Gerardo........xxxxxxxxxx
xxx Vs. Santiago S.P. Ramos, Ricardo L. Castro, Respondents.”
FOR : Writ of Prohibition with Application for a Writ of Preliminary Injunction and Temporary Restraining Order.

In this case, the petitioners are asking the Court to nullify City Ordinance No. 223 for being in violation of existing laws, to nullify the increase in the assessment of real estate property taxes in the city embodied in the latest tax declarations issued by the City Assessor, to prohibit the implementation of the ordinance and the increased assessments; and to nullify Ordinance No. 042, authorizing the collection of the increased realty taxes, and to refund such increase to the taxpayers or otherwise credit such increase to future realty taxes.

Court records show that the case was filed with the RTC May, 2002. However, instead of filing their comment directly meeting the issues raised in the petition, the respondents filed a motion to dismiss. The court denied such motion. The respondents then filed a motion to dismiss. However, the court denied the motion for reconsideration. Through these legal maneuvers, the respondents have been able to delay the case for nine months already. After their motion for reconsideration was denied, the respondents filed motion for extension of time to file their answer. On the last day for their filing of an answer or comment, the respondents filed a motion for suspension of proceedings alleging that they would still go the appellate court. The petitioners have already filed their opposition to the respondents’ motion for suspension of proceedings. And they are now awaiting the court’s resolution of this incident.

In the meantime that the respondents have been successful in delaying the proceedings in the case, the city Treasurer continues this year the collection from the city residents of the 70% of the increased realty taxes, which would eventually be the full 100% increased realty taxes by 2003.

Since assessment of real estate properties may be made every after three years, city residents should already brace themselves for another round of increased assessments with the corresponding increase in the realty taxes by 2004.