Finance Secretary Frederick D. Go is calling on local leaders nationwide to embrace the newly enacted Real Property Valuation and Assessment Reform Act (RPVARA) as a strategic investment in their communities’ future.
In a reassuring message to local government units (LGUs), Secretary Go emphasized that the landmark reform will not automatically raise real property taxes, contrary to public misconceptions.
Under RPVARA, the Department of Finance (DOF) is spearheading a comprehensive transition to a fairer, more transparent, and highly consistent property valuation system.
Crucially, the law protects local autonomy: LGUs retain full authority, flexibility, and discretion to set their own local tax structures. To cushion any potential impact on taxpayers, local councils can even reduce their assessment levels and tax rates based on their specific local economic and fiscal requirements.
“This reform is about fairness and modernization, not an automatic tax hike,” Secretary Go stated. “By establishing a single, uniform valuation standard across the country, we are cutting bureaucratic red tape and eliminating subjectivity in property appraisals. LGUs remain firmly in the driver’s seat regarding how much tax is actually collected, allowing them to balance revenue needs with the welfare of their constituents.”
To ensure a smooth transition, the DOF, through the Bureau of Local Government Finance (BLGF), is rolling out robust technical support, capacity-building programs, and guidance for LGUs every step of the way.
The DOF underscores that a updated, reliable, and internationally aligned valuation system will foster greater public trust, boost local government revenues over time through better compliance, and ultimately signal to international markets that the Philippines is an increasingly transparent, stable, and investment-ready nation.
