18/05/2026
What Happens When Amilyar Is Not Paid!? ๏ธ
Most of the time, property owners think that as long as they have a title, they are already safe. But under the Local Government Code (RA 7160), your LGU has the power to levy and auction your property just because of unpaid amary.
This is how it gets worse:
๐ The Penalty is Immediate
When you miss the RPT deadline, you already have 2% interest every month in unpaid amount. It's running and running for 36 months. So if your amilyar is โฑ10,000 and you let it go for 3 years, it can reach โฑ17,200 โ 72% added to the original tax.
โ ๏ธ The Problem Is Not Only Penalty
Once the interest is capped, the LGU can now issue the Warrant of Levy under Section 258 of the Local Government Code. That means, the local treasurer can formally seize your property to pay the tax debt. They can also file a civil case in court.
๐ The Auction Process
Within 30 days of serving the warrant, the treasurer will advertise your property for public auction. Must be posted in city/municipal hall, in your barangay, and published in newspaper for two weeks to come. Sell your property โ or part of it โ to the highest bidder to cover delinquency and expenses.
โณ Your Chance Only One Year โ It's Over
After the auction, you have just one year from the sale registration date to redeem the property โ pay all delinquent taxes, interest, and expenses. When that window passes? Ownership is now transferring to the buyer โ there's no taking back.
๐ Your Property Got Freezed As Well
Even if it hasn't made it to the auction, unpaid RPT already blocks you from selling or transferring property. Registry of Deeds needs RPT Clearance before they process any title transfer. No clearance, no transfer. The property that you intend to sell or inherit to your child? It was stuck until it was settled.
๐ก Good News: There Is An Amnesty Window Now
Under RA 12001 (signed last June 2024), there is a 2-year tax amnesty waives all penalties, surcharges, and interest in unpaid RPT before July 5, 2024. You only pay basic tax โ no extra charges. But it will expire on July 5, 2026. If you have a plan, it's now.
Don't wait for a Warrant of Levy to come to your house. When it arrives, the countdown to auction begins.
๐ ๐๐๐๐๐ซ๐๐ง๐๐๐ฌ
โข Republic Act No. 7160 (Local Government Code), Sections 255, 258, 260
โข Republic Act No. 12001 (Real Property Valuation and Assessment Reform Act), Section 30
โข BLGF Memorandum Circular No. 003-2025
