Owning your first home brings a wave of excitement and a fresh set of responsibilities. Among them is the annual real property tax (commonly called ‘Amilyar’) that comes due every year. For homeowners, it’s a routine task. For new property owners, it can feel overwhelming at first.
But real property tax isn’t just another bill to pay at the end of the year. It reflects both your civic role in the community and your legal standing as a property owner. In this article, you’ll learn the essentials of understanding, calculating, and settling your 2026 Amilyar, including tips for maximizing discounts and avoiding penalties.
What Is Amilyar and Why Does It Matter?
The word ‘amilyar’ comes from the Spanish term for assessment of a tax, ‘amillaramiento.’ Now, it is the local term for Real Property Tax (RPT), which is an annual tax collected by your city or municipality and applies to all properties such as land, buildings, and other improvements registered under your name.
The funds collected from RPT support essential public services such as local infrastructure, public schools, waste management, and community programs. On a personal level, settling your Amilyar validates your ownership and ensures protection from legal issues like penalties, liens, or even property auctions.
Benefits vs. Consequences
Paying your Amilyar on time comes with significant advantages:
- Your property ownership remains clear and updated
- It’s easier to apply for business permits or bank loans
- You help fund your local government’s development projects
Missing the yearly RPT deadline results in a 2% monthly interest. After three years, this can reach up to 72% in penalties. In worst-case scenarios, the LGU may auction off your property if taxes remain unpaid for a prolonged period, even if your land is just inherited or has been staying as an idle lot for a while.
How to Pay Your Amilyar for 2026
Rates and procedures may vary slightly depending on the city or province, so it’s always best to check with your local government unit (LGU) for specifics. Most LGUs offer a 10% discount on real property tax if you pay in full before March 31 of the next fiscal year. Here’s the payment schedule:
- Annual full payment: On or before January 31 of the current fiscal year
- Installment option (quarterly deadlines):
- 1st quarter: on or before March 31
- 2nd quarter: on or before June 30
- 3rd quarter: on or before September 30
- 4th quarter: on or before December 31
Some cities even offer a significant discount if you pay in full before December 31 of the previous year (e.g., paying the full 2026 amilyar on or before December 31, 2025). If you want to catch this incentive, make sure to check your LGU’s official page or announcements for timelines and rates.
How to Compute Your Amilyar
Your tax dues are based on this simple formula:
Assessed Value × Tax Rate = Real Property Tax (Amilyar)
The assessed value is a percentage of the fair market value, determined by your city’s assessor. The tax rate varies per location but typically ranges from 1% (for cities and municipalities) to 2% (for Metro Manila and highly urbanized cities). Special Education Fund (SEF) tax, which is an additional 1%, may also apply.
Example:
- Market Value: ₱2,000,000
- Assessed Value (20% of Market Value): ₱400,000
- Tax Rate: 2% + 1% (SEF) = 3%
- Annual RPT Due: ₱12,000
Requirements When Paying
To pay your 2026 amilyar smoothly, make sure all required documents are complete before heading to your LGU or using their online portal. Having everything prepared avoids delays and helps process your payment faster.
Prepare the following:
- Latest official receipt (OR) of amilyar
- Tax Declaration (TD)
- Valid government-issued ID
- For businesses: business permit and updated assessments
Some LGUs may require a copy of the Transfer Certificate of Title (TCT) or notarized documents if ownership has recently changed.
First-Time Property Owners: Getting a Tax Declaration
Visit your LGU’s assessor’s office to apply for a Tax Declaration. Submit your deed of sale, valid IDs, and a copy of the Transfer Certificate of Title (TCT). The assessor will issue your new TD reflecting your ownership and assessed property value.
Paying Amilyar: A Step-by-Step Payment Guide
Paying your amilyar doesn’t have to be complicated. Whether you’re settling it in person or online, following a clear process can help make the experience quicker and more efficient.
Here’s a simple step-by-step guide to help you through it.
1. Prepare the necessary documents
2. Visit your City Treasurer’s Office or online payment portal
3. Confirm the assessed value of your property
4. Calculate the total amount due
5. Settle the payment in full or in part (if installment is allowed)
Cities like Quezon City and Taguig have official online platforms, while others still require in-person payments. Always verify accepted modes of payment and cutoff periods.
Don’t know where to pay your amilyar? Check out this article to know where to pay amilyar in some major Philippine cities: Amilyar: A Comprehensive Guide to Real Property Tax in 2024
Penalties for Late Payment
Late payment of amilyar comes with accumulating interest and serious long-term consequences. Staying informed about the penalty structure can help you avoid unnecessary costs and protect your property.
If you miss the deadline:
- A 2% interest will be charged monthly
- After 3 years of non-payment, total penalties can reach up to 72%
- Property may be subject to auction, and delinquent owners risk losing legal ownership
Tax Amnesty Programs
Some LGUs periodically offer tax relief programs for delinquent accounts. These may include waiving penalties and interest if full payment is made within a given timeframe.
Others offer installment plans with reduced fees. If you have any outstanding dues, stay alert for announcements and reach out to your local treasurer’s office for assistance. This is a helpful way to catch up without the added burden of penalties.
Is There Anyone Exempted From Paying Amilyar?
Not all properties are required to pay amilyar. Under Section 234 of the Local Government Code, certain types of properties and uses qualify for exemption. It’s helpful to understand these rules, especially for organizations or institutions that manage such properties.
- Government-owned land and buildings
- Properties used exclusively for religious worship, charitable missions, or educational purposes
- Machinery used for public utilities such as water supply, electric generation, and environmental protection
Start Early, Stay Compliant
Paying your yearly amilyar shouldn’t be stressful. Understanding your responsibilities, computing dues accurately, and paying ahead of time ensures peace of mind. It also reflects responsible property ownership and contributes to your community’s progress.
Take the lead this year, Ka-Builders.
Check your tax declaration, gather your documents, and consult your LGU. You don’t have to wait until everyone is doing it before getting started, too. Settling early gives you one less thing to worry about.
References
Baker McKenzie InsightPlus. (2025, January 24). Philippines: Tax amnesty on real property taxes under the Real Property Valuation and Assessment Reform Act. Baker McKenzie InsightPlus. Retrieved June 25, 2025, from https://insightplus.bakermckenzie.com/bm/real-estate_1/philippines-tax-amnesty-on-real-property-taxes-under-the-real-property-valuation-and-assessment-reform-act
Isla, R. (n.d.). Real Property Tax in the Philippines: A Property Owner’s Guide. Moneymax. Retrieved June 25, 2025, from https://www.moneymax.ph/government-services/articles/real-property-tax
Lamudi Philippines. (n.d.). 2025 Philippines Real Property Tax Deadlines. Lamudi Philippines. https://www.linkedin.com/pulse/2025-philippines-real-property-tax-deadlines-lamudi-philippines-lapkc/
Quezon City Government. (2025, January 6). Pay Your Full 2025 Real Property Tax Until Dec 31, 2024 To Get A 20% Discount. Quezon City Government. Retrieved June 25, 2025, from https://quezoncity.gov.ph/pay-your-full-2025-real-property-tax-until-dec-31-2024-to-get-a-20/
Tax Acctg Center. (n.d.). 5 Real Property Tax Exemption in the Philippines. Tax Acctg Center. https://taxacctgcenter.ph/real-property-tax-exemptions-philippines/
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