The Department of Finance is accelerating efforts to help local government units fully implement the Real Property Valuation and Assessment Reform Act, which seeks to establish a fairer, more transparent, and investment-friendly property valuation system nationwide.
Speaking before governors, mayors, LGU leagues, and development partners at the National Executive Forum of Governors and City Mayors on RPVARA Implementation, Finance Secretary Frederick D. Go underscored the critical role of local governments in modernizing property valuation.
“We urge each of you today to see RPVARA as a strategic investment in the future of your localities. Lead this reform. Implement it with urgency. Use it to make your LGUs fair to taxpayers, trusted by investors, and easier to do business in,” Go said.
RPVARA seeks to establish uniform property valuation standards to ensure that assessed values reflect prevailing market conditions.
The reform aims to address inconsistent and outdated property assessments while strengthening public confidence in the valuation system.
Go also stressed the importance of sound fiscal planning, noting that the law gives LGUs the flexibility and fiscal autonomy to adjust assessment levels, tax rates, or both, depending on their priorities, financial position, and the needs of their constituents.
The DOF clarified that updated market values will not automatically lead to higher real property taxes, as LGUs retain the authority to decide how revised valuations will be applied to local taxation.
To support the transition, Go assured local governments that the DOF, through the Bureau of Local Government Finance, will provide guidance throughout the implementation process.
“We will help you navigate the transition, address challenges, and build the capabilities needed to sustain this reform. We want every LGU to have the confidence, capability, and support to make RPVARA work for your communities and for the growth of your municipalities,” he said.