Understanding the New Real Property Tax Republic Act No. 12001, or Real Property Valuation and Assessment Reform Act (RPVara) What Home Buyers Need to Know

1. What is the New Law About?

Republic Act No. 12001, also known as the Real Property Valuation and Assessment Reform Act (RPVARA), aims to standardize property valuations across the Philippines, ensuring they reflect current market values.

CHLP Realty: Your Guide to the New Real Property Tax Republic Act No. 12001.

2. Why Should Home Buyers Care?

Property taxes are expected to rise as property values are updated to match market rates. This means your annual property tax bill might increase.

CHLP Realty Explains the Real Property Valuation and Assessment Reform Act (RPVara).

3. How Much Will Taxes Increase?

For the first year, any increase in real property taxes is capped at 6%. Local governments will update property values every three years, potentially adjusting tax rates to manage the impact.

CHLP Realty: Navigating the New Real Property Tax Law for Home Buyers.

4. Potential Benefits

Increased taxes can lead to better local services if the additional funds are used wisely by local governments.

CHLP Realty: Understanding the Impact of RA No. 12001 on Property Taxes.

5. What Should You Do?

Stay informed about your local government's property valuation updates and budget for potential increases in your property tax bill.

CHLP Realty: Comprehensive Guide to Real Property Valuation and Assessment Reform Act.

RA 12001 will also “instill and encourage long-term and consistent tax compliance by providing a two-year amnesty on interests and penalties for taxpayers with unpaid real property tax” as a strategy toward efficient tax collection.

Understanding these changes can help you plan your finances better and ensure you're prepared for any adjustments in your property-related expenses.

For more detailed information, you can read the full article here.