Administrative Order No. 240, April 29, 1957

CREATING A SPECIAL TAX REVISION COMMISSION FOR THE REVISION OF REAL ESTATE TAXATION

By virtue of the powers vested in me by law, I, CARLOS P. GARCIA, President of the Philippines, do hereby create a special commission, to be known as the Special Tax Revision Commission for the revision of real estate taxation, composed of the Secretary of Finance as Chairman, and the Secretary of Agriculture and Natural Resources, the Secretary of Education, the Commissioner of the Budget and the Technical Assistant, In-Charge of Civil Affairs, Office of the President (or the Secretary of Interior, if the Department of the Interior is recreated), as members.

It shall be the duty and responsibility of the Commission to make a comprehensive investigation and study of the laws, practices and policies relating to or affecting the assessment, levy, and collection of real estate taxes in the Philippines, including the study of organizational patterns and personnel policies. More specifically, the following areas should be included:

I. Assessment

Level of assessed values in relation to the legal standard.

Extent of existing inequalities within provinces and cities, between provinces and cities, and between classes and types of property.

Adequacy of the present schedule of values for tax purposes.

Amount of taxable property omitted from the assessment roll, including legal, illegal, and extra-legal exemptions.

Scope and application of tax exemption laws.

Kind and adequacy of assessment records

Kind and adequacy of assessment equipment.

Appraisal techniques now used.

Administration procedures now employed.

II. The Levy

Soundness of present tax rate limits.

The policy of earmarking funds for special purposes.

Control of local levies by the national government.

Related problems:

Borrowing powers of local government.

Special assessment practices.

National grants.

III. Collections

Initial collection methods.

Follow-up collection methods.

Delinquent collection methods.

Foreclosure of tax liens.

Installment payment plans.

Audit and control procedures.

IV. Organization

Calendar of assessment and collection.

National government supervision and assistance.

Intra-office organization.

Assessment review process.

V. Personnel

Recruitment, promotion, and discharge.

Supervision and training.

Compensation.

Tenure.

To the end that the work of the Commission be conducted expeditiously and competently, the Secretary of Finance is authorized to assign to the staff of the Commission such personnel now employed in the Department of Finance and in the local Treasury and Assessment services as he deems essential, and the Commission is likewise authorized to employ such additional personnel and to procure such equipment and facilities as it deems necessary.

All government departments and agencies are hereby ordered to make available to the Commission such records and information as may be requested by the Commission, or any member thereof, as well as suitable facilities for studying and analyzing such records or information.

The Commission shall complete its study and report its findings and recommendations to the President of the Philippines on or before December 31, 1957.

Done in the City of Manila, this 29th day of April, in the year of Our Lord, nineteen hundred and fifty-seven, and of the Independence of the Philippines, the eleventh.

(Sgd.) CARLOS P. GARCIA

President of the Philippines

By the President:

(Sgd.) FORTUNATO DE LEON

Executive Secretary