Article 140p. 140

NATIONAL INTERNAL REVENUE CODE TAXATION, TARIFF and CUSTOMS LAWS

whose name the property is declared. The notice may be

delivered personally to such person or to the occupant in

possession, if any, or by mail to the last known address of

the person to be served, or through the assistance of the

barrio captain.

Section 28. Appraising Machinery. The current market

value of the machinery shall be determined on the basis

of

the

original

cost

in the case of newly acquired

machinery not yet depreciated and is appraised within

the year of its purchase. In the case of all others, the

current market value shall be determined by dividing the

remaining

economic

life

of

the

machinery

by

its

economic life and multiplied by the replacement or

reproduction cost (new) of said machinery.

If

the

machinery

is

imported,

replacement

or

reproduction cost (new) shall be the original acquisition

cost which would normally include such costs as freight

and insurance charges, brokerage, arrastre and handling,

customs

duties

and

taxes

plus

cost

of

inland

transportation and handling, and significant installation

charges at the present site. The cost in foreign currency of

imported machinery shall be converted to peso cost on

the basis of foreign currency exchange rates as fixed by

the Central Bank of the Philippines.

Section 29. Depreciation Allowance for Machinery. For

purposes of assessment, a depreciation allowance shall

be made for machinery at a rate not exceeding ten per

cent of its original cost or its replacement or reproduction

cost (new), as the case may be, for each year of use:

Provided,

That

the

remaining value for all kinds of

machinery shall be fixed at not less than twenty percent

of such original or replacement cost for so long as the

machinery is useful and in operation.

CHAPTER III ASSESSMENT APPEALS

Section 30. Local Board of Assessment Appeals. Any

owner

who

is

not

satisfied with the action of the

provincial

or city assessor in the assessment of his

property may, within sixty days from the date of receipt

by him of the written notice of assessment as provided in

this Code, appeal to the Board of Assessment appeals of

the province or city, by filing with it a petition under oath

using the form prescribed for the purpose, together with

copies of the tax declarations and such affidavit or

documents submitted in support of the appeal.

Section 31. Organization, Powers and Functions of the

local Board of Assessment Appeals. The Local Board of

Assessment

Appeals

shall

be

composed

of

three

members:

the

Register

of

Deeds, as Chairman, the

Provincial of City Auditor and the Provincial or City

Engineer, as Members, who shall serve as such in an

ex-officio capacity without additional compensation. In

provinces or cities without Provincial or City Engineers,

the Highway District Engineer shall serve as member of

the Board, likewise in an ex-officio capacity without

additional compensation. In the absence of a regular

appointee,

the

officer

performing the duties of the

Register of Deeds, or the Provincial or City Auditor, or the

Provincial, City or Highway District Engineer whether in

an

acting

capacity

or

as

a

duly-designated

officer-in-charge

shall

automatically

become

the

Chairman or member of the said Board, as the case may

be.

The Chairman of the Board shall have the power to

designate any government employee of the province or

city to serve as Secretary of the Board also without

additional compensation.

The Chairman and members of the Local Board shall

enter into the duties of their respective positions without

need

of

further

appointment or special designation

immediately upon approval of this Code. The members of

the Board shall each take the following oath, copy of

which shall be furnished the Secretary of Finance:

"I ____________, having been appointed to the position of

__________, hereby solemnly swear that I will well and

faithfully discharge to the best of my ability and duties of

my present position and of all others I may hereafter hold

under the Republic of the Philippines, and that I will

support and defend the Constitution of the Philippines;

and that I will obey the laws, legal orders, and decrees

promulgated by the duly constituted authorities of the

Republic of the Philippines; and that I will well and truly

hear and determine all matters and issues between

taxpayers and the provincial or city assessor submitted for

my decision, and that I impose this obligation upon

myself voluntarily, without mental reservation or purpose

of evasion.

So help me God.

_________________ Signature

SUBSCRIBED AND SWORN to before as this ______ day of

__________ A.D. _________ at ____________ Philippines.

___________________Signature

of

Officer

administering

oath"

Section 32. Meetings. The local Board shall hold sessions

at least once a month, and as often as may be necessary

for the prompt disposition of the appealed cases pending

before it. No member of the Board shall be entitled to per

diems or travelling expenses for his attendance in Board

sessions, except when conducting an ocular inspection in

connection with a case under appeal.

Section 33. Expenses of the Board. All expenses of the

Local Board of Assessment Appeals shall be charged

against the general fund of the province or city, as the

case may be. Local Boards and councils shall appropriate

the necessary funds to enable the Board of Assessment

Appeals in their respective localities to operate effectively.

Section 34. Action by the Local Board of Assessment

Appeals. The Local Board of Assessment Appeals shall

decide the appeal within one hundred and twenty days

from the date of receipt of such appeal. The decision

rendered

must

be

based

on

substantial

evidence

presented at the hearing or at least contained in the

record and disclosed to the parties or such relevant

evidence as a reasonable mind might accept as adequate

to support the conclusion.

In the exercise of its appellate jurisdiction, the Board shall

have the power to summon witnesses, administer oaths,

conduct ocular inspection, take depositions, and issue

subpoena and subpoena duces tecum. The proceedings

of the Board shall be conducted solely for the purpose of

ascertaining the truth without necessarily adhering to

technical rules applicable in judicial proceedings.

The Secretary of the Board shall furnish the property

owner and the Provincial or City Assessor with a copy

each of the decision of the Board. In case the provincial or

city assessor concurs in the revision or the assessment, it

shall be his duty to notify the property owner of such fact

using the form prescribed for the purpose. The owner or

administrator of the property of the assessor who is not

satisfied with the decision of the Board of Assessment

Appeals, may, within thirty days after receipt of the

decision of the Local Board, appeal to the Central Board

of Assessment Appeals by filing his appeal under oath

with the Secretary of the proper provincial or city Board of

Assessment Appeals using the prescribed form stating

therein the grounds and the reasons for the appeal, and

attaching thereto any evidence pertinent to the case. A

copy of the appeal should be also furnished the Central

Board of Assessment Appeals, through its Chairman, by

the appellant.

Within ten (10) days from receipt of the appeal, the

Secretary of the Board of Assessment Appeals concerned

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