Statutory Construction · University of Santo Tomas · AA Jose, Leslie Ann D.

2015

ALEJANDRO B. TY & MVR PICTURE TUBE, INC., V. THE HON. AURELIO C. TRAMPE, in his
capacity as Judge of the Regional Trial Court of Pasig, Metro Manila, THE HON. SECRETARY OF
FINANCE, THE MUNICIPAL ASSESSOR OF PASIG AND THE MUNICIPAL TREASURER OF
PASIG
G.R. No. 117577 December 1, 1999
PANGANIBAN, J.

Facts of the Case: Alejandro B. Ty and MVR Picture Tube Inc., as residents and
registered owners of land & buildings in Municipality of Pasig (now City) filed a case
impugning the validity of the new tax assessments prepared solely by the respondent
municipal assessor. The validity and legality of the increased real estate taxes imposed
by and being collected in Pasig, effective from the year 1994 is being questioned. PD 921
& LGC of 1991 are the statues involved. Both dealing with the assessment and collection
of real estate taxes.
PETITIONERS P.D. 921, Sec. 9. Preparation of Schedule of Values RESPONDENTS
for Real Property within the Metropolitan Area. —
The Schedule of Values that will serve as the basis
for the appraisal and assessment for taxation
-The schedule of purposes of real properties located within the -Tax assessments are
Metropolitan Area shall be prepared jointly by the
market values and the City Assessors of the Districts created under Section
one hereof, with the City Assessor of Manila acting valid.
assessments prepared as Chairman, in accordance with the pertinent
provisions of Presidential Decree No. 464, as
solely by the municipal amended, otherwise known as the Real Property -PD 921 and LGC of
Tax Code, and the implementing rules and
assessor, in accordance regulations thereof issued by the Secretary of
Finance. 1991(RA 7160) are
with LGC of 1991 (RA clearly & unequivocally
7160) are invalid and Republic Act No. 7160, Sec. 212. Preparation of
Schedule of Fair Market Values. — Before any
general revision of property assessment is made
incompatible since both
illegal because the said pursuant to the provisions of this Title, there shall
be prepared a schedule of fair market values by the dwell on the same
Code did not effectively provincial, city and the municipal assessors of the
repeal the previous law municipalities within the Metropolitan Manila Area subject matter
for the different classes of real property situated in
their respective local government units for (preparation of schedule
on the matter (PD 921). enactment by ordinance of the sanggunian
concerned. The schedule of fair market values shall
be published in a newspaper of general circulation of values for real
in the province, city or municipality concerned, or in
-PD 921 was not the absence thereof, shall be posted in the property in Metro Manila
provincial capitol, city or municipal hall and in two
expressly repealed nor other conspicuous public place therein.
area). Due to this, PD
impliedly repealed by
Sec. 534. Repealing Clause. — (c) . . . ; and 921 was not expressly
LGC of 1991(RA 7160) Presidential Decree Nos. 381, 436, 464, 477, 626,
and is therefore the
632, 752, and 1136 are hereby repealed and
rendered of no force and effect.
repealed in the Code’s
applicable statute. PD repealing clause, but it
921 is strict and was impliedly repealed.
WON Republic Act No. 7160, otherwise
mandatory. Therefore, LGC of 1991
known as the Local Government Code
(RA 7160) is the
of 1991, repealed the provisions of
prevailing statute.
Presidential Decree No. 921.
Ruling of the RTC: RTC ruled in favour of the respondents and rendered the schedule of
market values and assessments valid and legal.
Ruling of the Supreme Court: SC ruled that PD 921 is still a good law and the schedule of
values prepared solely by the municipal assessor is illegal & void. It was held that if the
intention of the legislature was to abrogate PD 921, it would have included it in such
repealing clause. An implied repeal will not be allowed unless it is convincingly and
unambiguously demonstrated that the two laws are clearly repugnant & inconsistent that
they cannot co-exist. While RA 7160 covers almost governmental functions delegated to
local governments units, PD 921 embraces only the Metropolitan Manila Area and is limited
especially to the assessment and collection of real estate (& some other taxes). Therefore, it
is obvious that harmony in these provisions is not only possible, but in fact desirable,
necessary and consistent with the legislative intent & policy. By this harmonization, the
preamble of both statutes shall be fulfilled.