I. Introduction

Zonal values established by the Bureau of Internal Revenue (BIR) constitute the presumptive fair market value of real properties for internal revenue tax purposes throughout the Philippines. For agricultural lands in the Province of Bulacan, these values are particularly significant given the province's continuing character as one of the country's major rice-producing areas, even as conversion pressures from industrial, residential, and commercial development persistently increase.

As of 2 December 2025, the governing zonal values for agricultural land in Bulacan are those contained in the latest Revenue Memorandum Orders (RMOs) issued by the BIR for Revenue Region No. 5 (Central Luzon) covering Revenue District Offices Nos. 24 (Malolos), 25A (Meycauayan East), 25B (Meycauayan West), 26 (Sta. Maria), and 27 (Baliuag). These RMOs implemented the 10th and 11th revisions of zonal values in the province, with most schedules having been updated between 2023 and mid-2025.

II. Legal Basis

The authority of the Commissioner of Internal Revenue to establish zonal values is expressly provided under Section 6(E) of the National Internal Revenue Code (NIRC) of 1997, as amended, which states:

"The Commissioner is hereby authorized to divide the Philippines into different zones or areas and shall, upon mandatory consultation with competent appraisers both from the public and private sectors, determine the fair market value of real properties located in each zone or area.

For purposes of computing any internal revenue tax, the value of the property shall be, whichever is the higher of —

(1) the fair market value as determined by the Commissioner (zonal value); or
(2) the fair market value as shown in the schedule of values of the provincial or city assessor."

This provision was further strengthened by Republic Act No. 10963 (TRAIN Law) and subsequent issuances mandating more frequent revision of zonal values to approximate actual market values.

Executive Order No. 25, series of 2023, issued by President Ferdinand R. Marcos, Jr., directed the BIR to accelerate the revision of zonal values nationwide, with particular emphasis on bringing agricultural land values closer to current market reality while preserving the viability of the agricultural sector.

III. Classification of Agricultural Land for Zonal Valuation Purposes

The BIR classifies agricultural land into the following major categories for zonal valuation:

Riceland (irrigated) – highest value category
Riceland (rainfed)
Riceland (upland)
Cornland
Sugarcane land
Coconut land
Pasture land
Orchard
Diversified agricultural land
Fishpond (intensive or extensive culture)

Each classification is assigned a specific zonal value per square meter depending on location, productivity, access to irrigation, proximity to roads and markets, and soil classification.

IV. Current Zonal Value Ranges in Bulacan (December 2025)

As of December 2025, the zonal values for agricultural land in Bulacan under the latest revisions are substantially higher than the 8th and 9th revision values (2018–2022). The increases range from 300% to as high as 1,500% in certain municipalities.

Approximate prevailing ranges (per square meter):

Prime irrigated riceland in San Ildefonso, Bustos, Plaridel, Pulilan, Baliuag, San Rafael: ₱180 – ₱450
Irrigated riceland in Malolos, Paombong, Hagonoy, Calumpit: ₱150 – ₱380
Rainfed riceland in Doña Remedios Trinidad, San Miguel, San Ildefonso (upland barangays): ₱45 – ₱120
Coconut land in Pandi, Sta. Maria, Norzagaray: ₱80 – ₱220
Fishponds (brackish water) in Paombong, Hagonoy, Bulakan: ₱120 – ₱350
Pasture/orchard in Doña Remedios Trinidad and Norzagaray (mountainous areas): ₱25 – ₱90
Diversified agricultural land near NLEX/SCTEX interchanges (Guiguinto, Balagtas, Bocaue): ₱250 – ₱600 (these are often on the verge of conversion and carry the highest agricultural zonal values in the province)

These values are implemented through the following principal issuances:

RMO No. 26-2023 (10th Revision) – covered most of RDO 24 (Malolos) and RDO 27 (Baliuag)
RMO No. 15-2024 (partial 11th Revision) – covered RDO 25A & 25B (Meycauayan area)
RMO No. 38-2024 (11th Revision) – covered RDO 26 (Sta. Maria) and remaining portions of RDO 24
RMO No. 19-2025 (final tranche) – completed the 11th Revision for all remaining barangays in Bulacan, effective 1 July 2025

V. Practical Application in Tax Computation

For any transfer of agricultural land in Bulacan (sale, donation, succession), the following taxes are computed using whichever is higher between the BIR zonal value and the local assessor's fair market value:

Capital Gains Tax – 6%
Donor's Tax – 6% (if to strangers) or graduated rates (if to relatives)
Estate Tax – 6%
Documentary Stamp Tax – 1.5%

Example: A 5-hectare irrigated riceland in Plaridel with zonal value of ₱350/sqm and selling price of ₱250/sqm will be subject to capital gains tax on ₱350/sqm (₱1,750,000 per hectare × 6% = ₱105,000 per hectare CGT).

VI. Conversion and Reclassification Implications

Once agricultural land is reclassified by the local government unit (LGU) as residential, commercial, or industrial and the reclassification is approved by the DAR/HLURB/DHSUD as applicable, the property immediately falls under the corresponding higher zonal value schedule (often ₱5,000–₱35,000 per sqm in Bulacan's growth corridors).

The Supreme Court has consistently ruled (Fort Bonifacio Development Corp. v. CIR, G.R. No. 175707, 2014; CIR v. Primetown Property Group, G.R. No. 220857, 2021) that the zonal value in effect at the time of execution of the deed of sale or date of death (for estate tax) shall be the basis, even if the RMO was issued subsequently but made retroactive.

VII. How to Obtain the Exact Zonal Value for a Specific Property

Visit the BIR website (www.bir.gov.ph) → BIR Forms → Zonal Values → Select Region 5 (Central Luzon) → Choose the appropriate RDO and download the latest RMO PDF.
Use the BIR's online Zonal Value Lookup Tool (fully operational since 2024).
Proceed to the concerned Revenue District Office in Bulacan (Malolos, Meycauayan, Sta. Maria, or Baliuag) and request a Certification of Zonal Value (processing fee: ₱100–₱200).
Engage a licensed real estate appraiser for verification, though the BIR zonal value remains controlling for tax purposes.

VIII. Conclusion

The substantial upward revision of zonal values for agricultural land in Bulacan between 2023 and 2025 reflects the government's policy of aligning tax bases with economic reality while generating additional revenue for agrarian reform and infrastructure. Farmers and landowners must now factor these significantly higher values into estate planning, sales negotiations, and conversion applications.

While the increases have drawn criticism from the agricultural sector for potentially accelerating land conversion, the BIR maintains that the revisions remain below actual market values in most instances, thereby preserving some measure of incentive for continued agricultural use.

For the most precise and binding zonal valuation of any specific agricultural parcel in Bulacan as of December 2025, reference must always be made to the latest Revenue Memorandum Order applicable to the Revenue District Office having jurisdiction over the property's location.