City of Lapu-lapu vs Peza

CITY OF LAPU-LAPU vs. PHILIPPINE ECONOMIC ZONE AUTHORITY; PROVINCE OF BATAAN, REPRESENTED BY GOVERNOR ENRIQUE T. GARCIA, JR., AND EMERLINDA S. TALENTO, TALENTO, IN HER CAPACITY CAPACITY AS PROVINCIAL TREASURER OF BATAAN BATAAN vs. PHILIPPINE ECONOMIC ZONE AUTHORITY, G.R. No. !"#$%, G.R. NO. !&'!%, Nov()*(+ #, #$"  J. Leonen

FACTS  These are are consolidated petitions for review on certiorari the City of Lapu-Lapu and the Province of Bataan separately led against the Philippine Economic one !uthority "PE!#. $n %.&. 'o. ()*+, the City of Lapu-Lapu "the City# assails the Court of !ppeals/ decision dated January (( +,,) and resolution dated !ugust 0 +,,) dismissing the City/s appeal for 1eing the wrong mode of appeal. The City appealed the &egional Trial Court Branch ((( Pasay City/s decision nding the PE! e2empt from payment of real property ta2es. $n %.&. 'o. ()34) the Province of Bataan "the Province# assails the Court of !ppeals/ decision dated !ugust +3 +,,) and resolution dated !pril (0 +,,5 granting the PE!/s petition for certiorari. The Court of !ppeals ruled that the &egional Trial Court Branch ((4 Pasay City gravely a1used its discretion in nding the PE! lia1le for real property ta2es to the Province of Bataan.

ISSUE 6hether the PE! is e2empt from payment of real property ta2es7

RULING T( PEZA /s (0()12 3+o) 145)(62 o3 +(47 1+o1(+25 240(s . T( PEZA /s 46 /6s2+8)(6247 /6s2+8)(6247/25 /25 o3 2( 642/o647 9ov(+6)(62 !n instrumentality is 8any agency of the 'ational %overnment not integrated within the department framewor9 vested with special functions or :urisdiction 1y law endowed with some if not all corporate powers administering special funds and en:oying operational autonomy usually through a charter. 6ith the PE! as an attached agency to the ;epartment of Trade and $ndustry the (person PE! Board is chaired 1y the ;epartment cers of the PE!. chan&o1lesvirtualLawli1rary

!s an instrumentality of the national government the PE! is vested with special functions or :urisdiction 1y law. Congress created the PE! to operate administer manage and develop special economic =ones in the Philippines.