In the Philippine real estate landscape, a common misconception among condominium unit owners is that their parking space is a mere "appurtenance" or an extension of their residential unit, exempt from separate tax considerations. However, under the Condominium Act (Republic Act No. 4726) and the Local Government Code of 1991 (Republic Act No. 7160), parking slots are distinct real property assets subject to specific tax obligations.

1. Legal Nature of Parking Spaces

In most Philippine condominium developments, a parking space is covered by its own Condominium Certificate of Title (CCT). This renders the slot a separate piece of immovable property. Even if the parking space is consolidated into the same title as the residential unit (often referred to as a "linked" title), it maintains its own distinct assessment for taxation purposes.

2. The Real Property Tax (RPT) Obligation

Real Property Tax, colloquially known as amilyar, is an ad valorem tax levied by the local government unit (LGU) where the property is located.

Taxability: Because a parking slot is a registered real property, it is subject to the same annual RPT as the residential unit.
The Special Education Fund (SEF): Owners must pay an additional 1% tax on the assessed value of the property, which is collected alongside the basic RPT to fund local schools.
Idle Land Tax: In certain jurisdictions, if a parking space is left completely unutilized or undeveloped in a manner that violates local ordinances, it could theoretically be subject to an additional idle land tax, though this is rarely applied to individual condo slots.

3. Assessment and Calculation

The amount of tax due is not based on the market price paid to the developer, but on the Assessed Value determined by the City or Municipal Assessor.

The formula is generally:

Fair Market Value: Set by the LGU's Schedule of Market Values.
Assessment Level: For residential properties (including parking slots), this is usually 20% or lower, depending on the local ordinance.
Tax Rate: 2% for cities and municipalities within Metro Manila; 1% for provinces.

4. Liability for Payment

The responsibility for settling the RPT depends on the status of the property's title:

Developer’s Account: Until the title is formally transferred to the buyer and the tax declaration is updated, the developer is technically the owner of record. However, most Contracts to Sell stipulate that the buyer becomes liable for taxes from the moment of turnover or possession.
Individual Owner’s Account: Once the CCT is issued in the buyer’s name, the owner is directly responsible for paying the RPT to the City or Municipal Treasurer.
Common Areas: If the parking spaces are not individually owned but are part of the "common areas," the Condominium Corporation is responsible for the RPT. These costs are then passed on to the unit owners through association dues or special assessments.

5. Deadlines and Discounts

RPT for parking spaces is due on January 1st of every year. Taxpayers have the option to pay in full or in four equal quarterly installments:

First Quarter: On or before March 31
Second Quarter: On or before June 30
Third Quarter: On or before September 30
Fourth Quarter: On or before December 31

Advanced Payment Discounts: Most LGUs offer a discount (ranging from 10% to 20%) if the RPT for the succeeding year is paid in full before a certain December deadline.

6. Consequences of Non-Payment

Failure to settle RPT on a parking slot results in:

Interest/Penalties: A surcharge of 2% per month on the unpaid amount, up to a maximum of 72% (or 36 months).
Tax Delinquency: The LGU may issue a Warrant of Levy.
Public Auction: If the delinquency remains unsettled, the LGU has the power to auction the parking space to satisfy the tax debt.

Summary Table: Quick Guide to Parking RPT

Feature	Description
Legal Basis	RA 7160 (Local Government Code)
Document of Ownership	Condominium Certificate of Title (CCT)
Tax Components	Basic RPT + 1% Special Education Fund (SEF)
Payment Frequency	Annual (or Quarterly Installments)
Penalty for Late Payment	2% per month of delay