Documentary Requirements to be Submitted by Motor Vehicle Manufacturer/Assembler/Importer as Basis for the BIR to Determine Whether the Automobiles Subject to Excise Tax Exemption are Hybrid or Purely Electric Vehicles

The bureau has issued Revenue Regulations (RR) No. 001-2025 dated January 06, 2025, amending Section 9 of RR No. 25-2023 Relative to the Documentary Requirements to be Submitted by Motor Vehicle Manufacturer/Assembler/Importer as Basis for the BIR to Determine Whether the Automobiles Subject to Excise Tax Exemption are Hybrid or Purely Electric Vehicles pursuant to the Provisions of Republic Act No. 10963, Otherwise known as the "Tax Reform for Acceleration and Inclusion (TRAIN) Law.

SECTION 3. Further Amending Section (E) of RR No. 25-2003. Section 9 (E) of RR No. 25-203, as amended, it is further amended to read as follows:

"SEC. 9. TAX-EXEMPT REMOVALS OF AUTOMOBILES. The following removals of locally manufacture/assembled or release of imported automobiles from the place of production or for customs custody, relatively, are exempt from the payment of the appropriate excise taxes subject to certain conditions.

a. xxx

    xxx     xxx     xxx

E. Purely Electric Vehicles shall be exempt from the Excise Tax on Automobiles. Hybrid Vehicles shall be subject to Fifty Percent (50%%) of the applicable Excise Tax. Prior to the removal of the Automobiles from the Manufacturing Plant or Customs Custody the Commissioner of Internal Revenue (CIR), shall refer to the Electric Vehicle Recognition List Published by the Information and Classification for Battery Electric Vehicles (Purely Electric Vehicles/BEV), Plug-In Hybrid Electric Vehicles (PHEV), and Hybrid Electric Vehicles (HEV).

The BIR shall make a determination whether the Automobile is Exempt from Excise Tax or Subject to 50% Excise Tax, respectively, on the basis of the DOE's List of Recognized Electric Vehicles, published on its website, without prejudice to the BIR's Authority to conduct any Post-Verification Assessment of the Automobiles.

 For purposes of keeping up to date with the latest Publications of the List of recognized Electric Vehicles, the DOE shall furnish the BIR with a Certified True Copy of an updated List of recognized Electric Vehicles."

Please refer https://bir-cdn.bir.gov.ph/BIR/pdf/RR%20No.%201-2025.pdf of the full text of RR No. 001-2025

The Validity of Certificate Authorizing Registration (eCAR) and its Revalidation

As part of ease of doing business with regards of the Certificate Authorizing Registration (eCAR) being issued by the Bureau of Internal Revenue (BIR), Revenue Regulations (RR) No. 12-2024 dated March 21, 2024 was published by the bureau, amending Section 5 and 6 of RR No. 3-2019, on the Validity of Certificate Authorizing Registration (eCAR) and it Revalidation.

SECTION 3. AMENDMENTS

Section 5 and 6 of RR No. 3-2019 are hereby amended to read as follows:

"SEC. 5 - VALIDITY OF eCAR - The eCAR shall be valid from the date of its issuance until such time that it is presented to the concerned Registry of Deeds (RD)."

"SEC. 6 - REVALIDATION - Only CARs issued outside of the BIR's eCAR System, if any, shall be allowed for revalidation.

Please refer: https://bir-cdn.bir.gov.ph/BIR/pdf/RR%20No.%2012-2024.pdf of the full text of RR No. 12-2024.

   

Adjustment of the Selling Price Threshold of the Sale of House & Lot, and Other Residential Dwellings for VAT Exempt Purposes

Revenue Regulations (RR) No. 1-2024 dated January 10, 2024 was issued by the Bureau of Internal Revenue (BIR) amending Section 2, Sub-section 4, 109-1 (B)(p) of RR No. 4-2021, as Amended by RR No. 8-2021, to Implement the Adjustment of the Selling Price Threshold of the Sale of House and Lot, and Other Residential Dwellings for Value-Added Tax (VAT) Exemption Purposes.

In Section 2 of this RR No. 1, 2024, stated the Adjusted Amount with regards of the new price threshold. for sale of house and lot and other residential dwellings for VAT exemption purposes, rounded up is Three Million Six Hundred Thousand (Php3,600,000.00) Pesos from the current threshold amount of Php3,199,200, computed using the following formula:

New Threshold = Current Threshold x CPI (2023) / CPI (2021

Please refer https://bir-cdn.bir.gov.ph/BIR/pdf/RR%20No.%201-2024.pdf of the full text of RR No. 1-2024.