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Official Page for the Joint Memorandum Circulars (JMCs) on Revision of SMVs
and Property Assessments (2010-01) and Idle Land Taxation (2010-02)
IMPLEMENTATION

PREPARING THE SMV AND CONDUCTING THE GENERAL REVISION OF PROPERTY ASSESSMENTS

THE SCHEDULE OF MARKET VALUES (SMVs) is a table of base unit values for all kinds of real properties (except machinery) prepared by local assessors as basis for appraisal and assessment of properties for real property tax purposes. The local council or the Sanggunian approves the SMV to be used by the local assessor for the General Revision of property assessments, which will be then collected by the local treasurer.

A GENERAL REVISION OF PROPERTY ASSESSMENTS AND CLASSIFICATIONS is the process of updating all real property records of the LGU for real property taxation using the updated SMV.

IMPOSING AND COLLECTING IDLE LAND TAX

The Local Government Code (LGC) empowers LGUs to levy an annual idle land tax up to a maximum of 5% of the assessed value of the land.

Section 239 of the LGC provides the process in determining and taxing idle lands as follows:
























































Preparing the SMV

Preparing the SMV correctly is essential to develop an efficient process in the Assessor´s Office. Figure 1 set out the stages in SMV development using mass appraisal for taxation purposes. Individual LGUs may need to vary the sequence, depending on their capacity requirements, such as availability of staff or other resources, accessibility to information, and other variables. These activities mostly occur between January and September, before submitting the proposed SMV to the Sanggunian.

The four major stages in SMV development, as prescribed in Chapter 3 of the Mass Appraisal Guidebook, are the: (1) Preparatory Stage, (2) Data Collection, Stage (3) Data Analysis Stage, and (4) Testing of SMV Stage.