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Metropolitan Water Works Sewerage System vs. Quezon City

METROPOLITAN WATERWORKS SEWERAGE SYSTEM, PETITIONER, VS. THE LOCAL GOVERNMENT OF QUEZON CITY, CITY TREASURER OF QUEZON CITY, CITY ASSESSOR OF QUEZON CITY, SANGGUNIANG PANLUNGSOD NG QUEZON CITY, AND CITY MAYOR OF QUEZON CITY, RESPONDENTS.

G.R. No. 194388 | 2018-11-07

DECISION
 
LEONEN, J.:
 
A government instrumentality exercising corporate powers is not liable for the payment of real property taxes on its properties unless it is alleged and proven that the beneficial use of its properties been extended to a taxable person.

This resolves a Petition for Review on Certiorari[1] assailing the October 19, 2010 Decision[2] of the Court of Appeals in CA-G.R. SP No. 100733, which held that the Local Government of Quezon City may assess real property taxes on Metropolitan Waterworks and Sewerage System's properties located in Quezon City.

On June 19, 1971, Congress enacted Republic Act No....