If your real property tax or amilyar in the Philippines has piled up for several years, the most important thing to know is this: you may be able to pay the arrears by installment, and many delinquent owners can still use the national real property tax amnesty until July 5, 2026. The exact process depends on the city or municipality where the land, house, building, condominium unit, or machinery is assessed, but the basic legal rules are national. This guide explains what property tax arrears are, when installment payment is allowed, how the 2024–2026 amnesty works, what documents to prepare, and what to watch out for before the local treasurer proceeds to levy or auction.

What are property tax arrears in the Philippines?

Property tax arrears are unpaid real property taxes from previous periods. In everyday LGU practice, people usually call them:

unpaid amilyar
delinquent real property tax
back taxes on land or improvements
unpaid tax declaration dues
RPT arrears

Real property tax is a local tax imposed on real property such as land, buildings, machinery, and other improvements. Under the Local Government Code of 1991, Republic Act No. 7160, provinces and cities, including municipalities in Metro Manila, are primarily responsible for real property tax administration. The tax accrues every January 1 and becomes a lien on the property, meaning the unpaid tax legally attaches to the property itself until paid. (Supreme Court E-Library)

This is why unpaid amilyar can become a serious problem even if no one has lived on the property for years. The tax follows the property. It can affect sale, donation, inheritance settlement, transfer of tax declaration, mortgage, building permits, and eventually the owner’s right to keep the property if the LGU enforces collection through levy and auction.

Can property tax arrears be paid by installment?

Yes, but there are two different situations.

For current real property tax, the Local Government Code expressly allows payment of the basic real property tax and Special Education Fund tax in four equal installments: on or before March 31, June 30, September 30, and December 31. Payments are first applied to prior years’ delinquencies, interests, and penalties before they are credited to the current period. (Supreme Court E-Library)

For past-due arrears, installment payment depends on the legal basis being used:

Situation	Can you pay by installment?	Practical rule
Current year RPT	Yes	Four quarterly installments under Section 250 of the Local Government Code
Arrears incurred before July 5, 2024	Yes, under the national amnesty	Installment payment is allowed until July 5, 2026, subject to LGU payment mechanics
Arrears after July 5, 2024	Possibly	Depends on the local treasurer, local ordinance, and LGU policy; interest may continue
Property already sold at public auction	Usually no under the amnesty	The RA 12001 amnesty excludes properties already disposed of at public auction
Arrears already under compromise agreement	Not covered by the RA 12001 amnesty	Check the signed compromise terms
Arrears involved in a pending court case	Not covered by the RA 12001 amnesty	Legal and court status must be checked first

The key law today is Republic Act No. 12001, the Real Property Valuation and Assessment Reform Act. Section 30 grants a real property tax amnesty covering penalties, surcharges, and interests from unpaid real property taxes, including SEF, idle land tax, and other special levies incurred before the law’s effectivity. It allows delinquent property owners to pay either once or by installment within two years from effectivity. (Supreme Court E-Library)

Because RA 12001 became effective on July 5, 2024, the amnesty period runs until July 5, 2026. The BLGF guidance also states that LGUs may issue ordinances on the means and method of payment, but the absence of an ordinance should not prevent implementation of the amnesty. (Reyes Tacandong & Co.)

What does the 2024–2026 real property tax amnesty cover?

The RA 12001 amnesty is especially important for owners with old arrears because it can remove a large part of the burden.

It covers penalties, surcharges, and interests on unpaid:

basic real property tax
Special Education Fund tax
idle land tax
other special levy taxes on real property

The unpaid taxes must have been incurred before July 5, 2024.

In practical terms, the owner generally still pays the basic delinquent tax, but the LGU should remove the covered penalties, surcharges, and interest if the property qualifies.

Example

Suppose a property has unpaid RPT from 2018 to 2023.

The treasurer’s computation shows:

Item	Amount
Basic RPT and SEF	₱80,000
Interest, penalties, and surcharges	₱55,000
Total before amnesty	₱135,000

If the property qualifies for the RA 12001 amnesty, the owner may only need to settle the basic tax components, subject to the LGU’s computation and payment method. The ₱55,000 in covered charges may be removed.

If the owner chooses installment, the installment schedule must still be completed within the amnesty period, which ends on July 5, 2026.

Who should you talk to first?

Start with the City Treasurer’s Office or Municipal Treasurer’s Office where the property is located.

Do not start with the BIR. Real property tax is a local tax. The BIR becomes relevant for other transactions, such as estate tax, capital gains tax, donor’s tax, documentary stamp tax, or issuance of a Certificate Authorizing Registration for title transfer. But for amilyar arrears, the front-line office is the local treasurer.

Concern	Office usually involved
Computation of arrears and interest	City or Municipal Treasurer
Application for RPT amnesty or installment	City or Municipal Treasurer / Delinquent Tax Section
Tax declaration details, classification, assessed value	City or Municipal Assessor
Title annotation of levy or cancellation issues	Register of Deeds
Pending tax delinquency case	Court and LGU legal office
Sale, inheritance, or title transfer	Treasurer, Assessor, Register of Deeds, and BIR

In many LGUs, ordinary annual payments can be handled at payment windows, satellite offices, or online portals. But delinquent accounts often need the Delinquent Tax Section because the treasurer must compute arrears, check auction status, verify if amnesty applies, and determine whether installment payment is available.

Step-by-step guide to paying property tax arrears by installment

1. Get the property’s tax declaration number

The tax declaration number, often shortened to TDN, is the LGU’s assessment reference for the property. It may appear on:

old real property tax receipts
the tax declaration
assessment notices
treasurer’s billing statements
documents from the assessor’s office
title transfer papers

If you do not know the TDN, bring the title, address, lot and block number, condominium certificate of title, owner’s name, or previous owner’s name to the assessor’s office or treasurer’s office.

For condominiums, check if there are separate declarations for:

the unit
parking slot
storage unit
improvements, if separately assessed

For house-and-lot properties, check if there are separate tax declarations for:

land
building
additional improvements

A common mistake is paying only the land tax while the building tax remains unpaid.

2. Request a statement of account or tax clearance computation

Ask the treasurer for a written computation showing:

tax declaration number
owner or declared owner
property location
years covered
basic tax
SEF
idle land tax, if any
special levy, if any
interest, penalties, and surcharges
amnesty deduction, if applicable
total amount payable
deadline for payment or installment completion

For delinquent accounts, do not rely on a verbal estimate. Ask for a printed or emailed statement if the LGU issues one.

3. Confirm if the RA 12001 amnesty applies

Before agreeing to pay the full computed arrears, specifically ask:

“Are these arrears covered by the RA 12001 real property tax amnesty?”
“Which years are covered?”
“Are penalties, surcharges, and interest removed?”
“Can I pay the amnesty amount by installment until July 5, 2026?”
“Is there a local ordinance or form for installment payment?”
“Has the property been included in any auction list or levy proceeding?”

This matters because the amnesty does not apply to all properties. RA 12001 excludes delinquent properties already disposed of at public auction, properties with delinquencies being paid under a compromise agreement, and properties subject to pending court cases for real property tax delinquencies. (Supreme Court E-Library)

4. Ask for the installment terms in writing

If installment payment is allowed, ask the treasurer’s office to state the terms clearly.

The written terms should ideally include:

total amount covered
number of installments
amount per installment
due date of each installment
acceptable payment channels
effect of missed payment
whether the account remains under amnesty if a deadline is missed
whether levy or auction proceedings are held in abeyance while payments are current

This is one of the most practical safeguards. A verbal “puwede hulugan” can create problems if personnel change, records are not updated, or the property is later included in a delinquency list.

5. Pay the first installment and keep every official receipt

When you pay, check that the official receipt correctly states:

tax declaration number
property owner or declared owner
year or years paid
installment period
amount applied
whether it is under amnesty, if reflected
balance, if shown

Under Section 250 of the Local Government Code, payments are first applied to prior years’ delinquencies, interests, and penalties before being credited to current tax. This is why you should check how each payment is posted. (Supreme Court E-Library)

6. Monitor the account after every payment

After each installment, ask for an updated ledger or updated computation. This is especially important if:

you are paying through a representative
the property has several tax declarations
the property is under estate settlement
there was an old levy annotation
the account was previously tagged for auction
you paid through online or bank channels

Some LGUs update payments quickly. Others may need several business days, especially if payment is made online or through external channels. Quezon City, for example, states in its RPT guide that online payors may wait around 2–3 business days to receive a computerized official receipt by email. (Quezon City Government)

7. After full payment, request proof that the arrears are settled

Once the installment plan is completed, ask for:

updated official receipts
real property tax clearance, if available
updated statement showing zero delinquency
removal or cancellation of delinquency tags in the treasurer’s records
guidance on cancellation of any levy annotation, if a warrant of levy had been annotated on the title

If the property was already levied, coordinate with the treasurer and Register of Deeds. Payment alone may not automatically remove all annotations from title records unless the correct cancellation documents are processed.

What documents are usually required?

Requirements vary by LGU, but these are commonly requested.

Document	Why it is needed
Latest tax declaration	Identifies the property in the assessor’s records
Previous official receipt	Helps locate the last paid year
Transfer Certificate of Title or Condominium Certificate of Title	Confirms title details and property identity
Valid government ID of owner	Identity verification
Authorization letter or SPA	Required if a representative will transact
Valid ID of representative	Required for authorized transactions
Statement of account or billing	Basis for payment
Death certificate and heir documents	Often needed if the declared owner is deceased
Corporate secretary’s certificate or board resolution	Needed if owner is a corporation
Contact details and email	Used for notices, online receipts, and follow-ups

For an owner abroad, the LGU may require a Special Power of Attorney authorizing a trusted person in the Philippines to request computations, apply for amnesty, sign installment documents, pay, and receive official receipts.

If the SPA is signed abroad, it usually must be either:

notarized before a Philippine Embassy or Consulate; or
notarized locally and apostilled if executed in a country that is part of the Apostille Convention.

The DFA’s apostille guidance confirms that public documents for cross-border use may need apostille processing, and Philippine embassies also provide notarial services for documents such as SPAs for use in the Philippines. (Philippine Embassy in New Zealand)

How interest works if you do not qualify for amnesty

If the property is not covered by the RA 12001 amnesty, the regular Local Government Code rules apply.

Under Section 255, failure to pay real property tax when due subjects the taxpayer to 2% interest per month on the unpaid amount or fraction of it, until fully paid, but total interest cannot exceed 36 months. In other words, the maximum interest under that provision is generally 72% of the unpaid tax. (Supreme Court E-Library)

This is why old arrears can feel much larger than expected. A small annual tax may become heavy after several years, especially if there are multiple declarations for land, buildings, and improvements.

What happens if you ignore real property tax arrears?

The LGU has strong collection remedies.

Under the Local Government Code, the LGU may collect delinquent real property tax through:

administrative action by levy on the real property
judicial action in court

A levy is a legal seizure process. If the arrears remain unpaid, the LGU can proceed to advertise and sell the property at public auction. The owner or person with legal interest may stop the sale any time before the auction by paying the delinquent tax, interest, and expenses of sale. If the sale proceeds, the owner generally has one year from the date of sale to redeem the property. (Supreme Court E-Library)

The Supreme Court has repeatedly emphasized that tax delinquency sales affect property and due process rights, so the statutory steps must be strictly followed. In cases such as Caballero v. Laverne Realty & Development Corporation, the Court discussed the mandatory requirements for notice of delinquency, warrant of levy, posting, publication, and auction under the Local Government Code. (Supreme Court E-Library)

Still, the safer approach is not to wait for an auction notice. Once a property reaches levy or auction stage, the process becomes more expensive and more stressful.

Common problems when paying arrears by installment

The tax declaration is still in the previous owner’s name

This is common when a buyer has a deed of sale but never completed title and tax declaration transfer. The treasurer may still accept payment because RPT is attached to the property, but transfer of records will require separate steps with the assessor, Register of Deeds, and possibly the BIR.

Paying the arrears does not automatically transfer ownership.

The owner has died

Heirs often discover arrears only when settling an estate. Any heir or person with legal interest may usually inquire and pay, but transferring the tax declaration or title requires estate settlement documents and tax compliance.

If the family only wants to stop the arrears from growing or prevent auction, payment can often be handled first. Ownership transfer is a separate matter.

The online portal does not show the delinquent account

Many online RPT systems are designed for current payments. Delinquent accounts may need manual computation by the treasurer’s office. If the portal shows “no record,” “not found,” or “for verification,” contact the treasurer or assessor directly.

The property has both land and building tax declarations

Owners sometimes pay one declaration and forget the other. Always ask the treasurer to search all declarations connected to the title, lot, owner, building, and improvement.

The LGU says there is no ordinance yet

For the RA 12001 amnesty, the BLGF guidance states that LGUs may issue an ordinance to determine the means and method of payment, but non-issuance should not prevent implementation of the amnesty. (Reyes Tacandong & Co.)

If front-line staff are unsure, politely ask for referral to the treasurer, assistant treasurer, or delinquent tax section.

The property was already auctioned

If the property has already been sold at public auction, the RA 12001 amnesty may no longer apply. You must immediately check:

auction date
winning bidder
certificate of sale
redemption deadline
whether a final deed has been issued
whether title has been consolidated or transferred

Under Section 261 of the Local Government Code, redemption is generally available within one year from the date of sale upon payment of the required amounts. (Supreme Court E-Library)

The owner is abroad

OFWs, dual citizens, and foreign owners of condominium units often need a representative. The SPA should be specific. It should authorize the representative to:

request RPT computations
apply for amnesty
sign installment documents
pay taxes
receive official receipts
request tax clearance
coordinate with the assessor and treasurer

A vague SPA may be rejected by the LGU.

Special notes for foreigners and former Filipinos

Foreigners are generally restricted from owning private land in the Philippines. Article XII, Section 7 of the 1987 Constitution provides that, except in cases of hereditary succession, private lands may be transferred only to persons or entities qualified to acquire or hold lands of the public domain. (Supreme Court E-Library)

However, foreigners may commonly deal with Philippine real property tax issues in situations such as:

ownership of a condominium unit
inheritance by hereditary succession
property owned by a Filipino spouse
property owned through a Philippine corporation subject to nationality rules
long-term lease arrangements
acting as an heir, executor, administrator, or representative

For condominium units, Republic Act No. 4726, the Condominium Act, and cases such as Hulst v. PR Builders, Inc. recognize foreign condominium ownership subject to nationality restrictions, including the familiar 40% foreign ownership ceiling in condominium corporations. (Lawphil)

For RPT purposes, the practical point is simple: if the property is assessed by the LGU and tax is due, arrears must be handled through the local treasurer regardless of whether the owner is Filipino, foreign, abroad, deceased, or represented by an attorney-in-fact.

Can you dispute the amount while trying to pay by installment?

Yes, but be careful.

If the dispute is about the taxability, assessment, classification, or valuation of the property, you may need to deal with the assessor and local board of assessment appeals. However, under Section 231 of the Local Government Code, an appeal on real property assessment does not suspend collection of the corresponding realty taxes. (Supreme Court E-Library)

If the dispute is about the amount collected, Section 252 provides the remedy of payment under protest. The taxpayer must first pay the tax, have the receipt annotated “paid under protest,” and file a written protest within 30 days from payment. The treasurer must decide within 60 days. (Supreme Court E-Library)

In practical terms:

If the amount is clearly wrong because of a clerical issue, ask for correction before paying.
If the LGU insists on payment and you need to preserve your objection, ask about payment under protest.
If the property is near auction, prioritize stopping the auction while preserving your remedies.

Practical checklist before signing an installment arrangement

Before committing to installment payment, confirm these points:

Is the property covered by the RA 12001 amnesty?
Which years are covered by amnesty?
Which years, if any, are not covered?
What is the total basic tax payable?
Were penalties, surcharges, and interest removed?
What is the final deadline for completing installment payments?
What happens if one installment is late?
Is the property already under levy?
Has it been included in an auction notice?
Are all tax declarations included?
Will the LGU issue updated receipts and clearance after full payment?
Is there any title annotation that must be cancelled after payment?

Frequently Asked Questions

Can I pay old amilyar by installment in the Philippines?

Yes. Current-year real property tax may be paid quarterly under the Local Government Code. For arrears incurred before July 5, 2024, RA 12001 allows delinquent owners to pay under the real property tax amnesty either in one payment or by installment until July 5, 2026, if the property is not excluded.

Until when can I avail of the real property tax amnesty?

The national amnesty under RA 12001 is available until July 5, 2026. It covers covered penalties, surcharges, and interest on unpaid real property taxes incurred before July 5, 2024.

Does the amnesty erase the entire real property tax debt?

Usually, no. The amnesty covers penalties, surcharges, and interest. The basic unpaid real property tax, SEF, idle land tax, or special levy generally still has to be paid, unless a specific lawful local measure provides otherwise.

Where do I apply for installment payment of property tax arrears?

Apply with the City Treasurer’s Office or Municipal Treasurer’s Office where the property is located. For delinquent accounts, ask for the Delinquent Tax Section or the officer handling RA 12001 amnesty.

Can I pay property tax arrears online?

Sometimes. Many LGUs allow online RPT payment, but delinquent accounts often require manual verification or computation first. If the online portal does not show your account, contact the treasurer’s office and provide the tax declaration number, title number, and property location.

What happens if I miss an installment?

The consequence depends on the LGU’s written terms and the applicable ordinance or amnesty procedure. You may lose the installment privilege, the unpaid balance may become immediately due, or the property may again be processed for collection. Always ask for the missed-payment rule in writing before signing or starting the installment plan.

Can the LGU auction my property for unpaid real property tax?

Yes. The Local Government Code allows collection through levy and public auction if the tax remains unpaid. The owner may stop the auction before the sale by paying the delinquent tax, interest, and sale expenses. If the property is sold, the owner generally has one year from the sale date to redeem it.

Can heirs pay the real property tax arrears of a deceased parent?

Yes, heirs or persons with legal interest may usually pay to prevent further delinquency or auction. But payment of RPT does not by itself settle the estate, transfer title, or transfer the tax declaration. Those require separate estate and property transfer procedures.

If I am abroad, can someone pay my amilyar arrears for me?

Yes. Your representative should bring a valid ID, your authorization or SPA, property documents, and any previous receipts. If the SPA is executed abroad, it may need consular notarization or apostille, depending on where it was signed and the LGU’s requirements.

Can I sell property with unpaid real property tax?

In practice, unpaid RPT must be settled before transfer. The Register of Deeds generally requires proof that real property taxes are paid before registering a transfer document. Buyers also usually require updated tax receipts and tax clearance before closing.

Key Takeaways

Property tax arrears are unpaid amilyar attached to the property itself.
Current-year RPT may be paid quarterly under the Local Government Code.
Arrears incurred before July 5, 2024 may qualify for the RA 12001 real property tax amnesty.
The RA 12001 amnesty allows one-time or installment payment until July 5, 2026.
The amnesty generally removes penalties, surcharges, and interest, but not the basic unpaid tax.
Properties already auctioned, under compromise agreement, or subject to pending court cases for RPT delinquency are excluded from the RA 12001 amnesty.
Always get a written computation and written installment terms from the local treasurer.
Check all tax declarations for land, buildings, parking slots, machinery, and improvements.
If the owner is abroad, prepare a specific SPA and have it properly notarized, apostilled, or consularized as needed.
Do not wait for levy or auction notices; once the property reaches enforcement stage, the cost and risk increase quickly.