Submission of Mandatory Documentary Requirements for One-time Transactions Involving Transfer of Real Property

The bureau recently issued Revenue Memorandum Circular (RMC) No. 105-2016 amending certain provisions of RMC No. 76-2007, in relation to the Submission of Mandatory Documentary Requirements for One-time Transactions Involving Transfer of Real Property.

 

Item No. 2 of RMC No. 76-2007 shall no longer be required in the processing of one-time transactions involving transfer of real property and the issuance of electronic Certificate Authorizing Registration (eCAR):

 

"2. Certified true copy of the original CAR (copy of the Registry of Deeds) pertaining to the transfer of property prior to the issuance of Original/Transfer Certificate of Title (OCT/TCT) or Condominium Certificate of Title (CCT) which is the subject of the current sale/transfer, or certification issued by the Registry of Deeds indicating the serial number of the CAR, date of issuance of CAR, the Revenue District Office Number of the district office that issued of the CAR, the name of the Revenue District Officer who signed the CAR, the type of taxes paid and the amount of payment per tax type.

 

The aforementioned document shall be submitted for OCT/TCT/CCT issued starting 2007, in case the Register of Deeds fails to annotate the information contained in the CAR as prescribed under Section 5 of Revenue Regulations No. 24-2002 dated November 15, 2002 and Section 1 of Memorandum Order No. 233 dated December 11, 2006 issued by President Gloria Macapagal-Arroyo, as circularized in Revenue Memorandum Circular No. 3-2007."

 

Please refer: http://www.bir.gov.ph/images/bir_files/internal_communications_2/RMC%20No.%20105-2016.pdf of the full text of RMC No. 105-2016.

Certificate Authorizing Registration (CAR) shall be issued within Five (5) Days from the Submission of Complete Documentary Requirements

The CIR of the bureau recently issued Revenue Memorandum Order (RMO) No. 41-2016 dated July 12, 2016 to restate about the Revenue Memorandum Circular (RMC) No. 039-15 "Updated BIR Citizens Charter as Consolidated" and the Provision on "Accessing Frontline Services", on Certificate Authorizing Registration (CAR) issuance.

CARs covering transactions on sale of real property, transfer or assignment of stocks not traded in the stock exchange(s), transfers subject to donor's tax and other taxes including documentary stamp tax related to the sale/transfer of properties shall be issued within five (5) days from the submission of complete documentary requirements.

BIR Officials and employees found to be in violation of this directive shall be subject to the administrative and criminal penalties enumerated under Republic Act (RA) No. 9485, otherwise known as the "Anti-red Tape Act of 2007" (ARTA).

This Order took effect immediately upon approval of the Commissioner of Internal Revenue, Caesar R. Dulay.

Please refer http://www.bir.gov.ph/images/bir_files/internal_communications_3/Full%20Text%20of%20RMO%202016/RMO%20No.%2041-2016.pdf of the full text of RMO No. 41-2016.

What is a Certificate Authorizing Registration?

Certificate Authorizing Registration (CAR) is a certification issued by the Commissioner or his duly authorized representative attesting that the transfer and conveyance of land, buildings/improvements or shares of stock arising from sale, barter or exchange have been reported and the taxes due inclusive of the documentary stamp tax, have been fully paid.

With the implementation of the Electronic Certificate Authorizing Registration (eCAR) System, the CAR shall now be electronically generated.

SOURCE: http://www.bir.gov.ph/index.php/tax-information/capital-gains-tax.html#cgt3