Phase of Land Transfer BIR Forms in Real

Phase of Land Transfer BIR Forms in Real Estate BARRY PUALENGCO https: //barryf 1. wordpress. com/

BIR Forms in Real Estate These are the list of BIR forms used in Real Estate. BIR Form No. 1904 Capital Gains Tax Doc. Stamp Tax Donor's Tax Estate Tax BIR Form No. 1606 Contents 1

BIR Form No. 1904 • Application for Registration for One-Time Taxpayer and Persons Registering under E. O. 98 (Securing a TIN to be able to transact with any Government Office) Description: This form is to be accomplished by one-time taxpayer and persons registering and applying for a TIN (E. O. 98). To be accomplished with the RDO having jurisdiction over the place where property is located for one time taxpayer; or place of residence for applicants under E. O. 98.

BIR Form No. 1904 Filing date: • Before payment of any tax due/before filing of return or before the issuance of TIN under E. O. 98.

BIR Form No. 1904

BIR Form No. 1706 Final Capital Gains Tax for Onerous Transfer of Real Property Classified as Capital Assets (Taxable and Exempt) Description: Capital Gains Tax is a tax imposed on the gains presumed to have been realized by the seller from the sale, exchange, or other disposition of capital assets located in the Philippines, including pacto de retro sales and other forms of conditional sale.

BIR Form No. 1706 Documentary Requirements 1) One original copy and one photocopy of the Notarized Deed of Sale or Exchange 2) Photocopy of the Transfer Certificate of Title; Original Certificate of Title; or Condominium Certificate of Title 3) Certified True Copy of the tax declaration on the lot and/or improvement during nearest time of sale 4) “Certificate of No Improvement” issued by the Assessor’s office where the property has no declared improvement, if applicable or Sworn Declaration/Affidavit of No Improvement by at least one (1) of the transferees

BIR Form No. 1706 Documentary Requirements 5) Copy of BIR Ruling for tax exemption confirmed by BIR, if applicable 6) Duly approved Tax Debit Memo, if applicable 7) “Sworn Declaration of Interest” as prescribed under Revenue Regulations 13 -99, if the transaction is taxexempt 8) Documents supporting the exemption Additional requirements may be requested for presentation during audit of the tax case depending upon existing audit procedures.

BIR Form No. 1706

BIR Form No. 2000 • Documentary Stamps Tax Declaration / Return Description: Documentary Stamp Tax is a tax on documents, instruments, loan agreements and papers evidencing the acceptance, assignment, sale or transfer of an obligation, right or property incident thereto.

BIR Form No. 2000 Documentary Requirements: 1) Photocopy of document(s) to which the documentary stamp shall be affixed, in case of constructive affixture of Documentary Stamp Tax 2) For metering machine users, a schedule of the details of usage or consumption of documentary stamp 3) Proof of exemption under special law, if applicable 4) Duly approved Tax Debit Memo, if applicable

BIR Form No. 2000 Procedures: • File BIR Form No. 2000 in triplicate (two copies for the BIR and one copy for the taxpayer) with the Authorized Agent Bank (AAB) in the Revenue District where the seller or transferor is registered, for shares of stocks or where the property is located, for real property. • In places where there are no AAB, the return will be filed directly with the Revenue Collection Officer or Authorized City or Municipal Treasurer. • Submit all documentary requirements and proof of payment to the Revenue District Office having jurisdiction over the place of residence of the seller.

BIR Form No. 2000 Deadlines: • The Documentary Stamp Tax return (BIR Form 2000) shall be filed in triplicate (two copies for the BIR and one copy for the taxpayer) within five (5) days after the close of the month when the taxable document was made signed, issued, accepted or transferred; when reloading a metering machine becomes necessary; or upon remittance by Collection Agents of collection from sale of loose stamps. The Documentary Stamp Tax shall be paid upon filing of the return.

BIR Form No. 2000

BIR Form No. 1800 • Donor's Tax Return Description: Donor’s Tax is a tax on a donation or gift, and is imposed on the gratuitous transfer of property between two or more persons who are living at the time of the transfer. It shall apply whether the transfer is in trust or otherwise, whether the gift is direct or indirect and whether the property is real or personal, tangible or intangible.

BIR Form No. 1800 Documentary Requirements: The following requirements must be submitted upon field or office audit of the tax case before the Tax Clearance Certificate/Certificate Authorizing Registration can be released: 1. Deed of Donation 2. Sworn Statement of the relationship of the donor to the donee 3. Proof of tax credit, if applicable 4. Certified true copy(ies) of the Original/Transfer/Condominium Certificate of Title (front and back ) of lot and/or improvement donated, if applicable 5. Certified true copy(ies) of the latest Tax Declaration (front and back pages) of lot and/or improvement, if applicable 6. “Certificate of No Improvement” issued by the Assessor’s office where the properties have no declared improvement, if applicable

BIR Form No. 1800 Documentary Requirements: The following requirements must be submitted upon field or office audit of the tax case before the Tax Clearance Certificate/Certificate Authorizing Registration can be released: 7. Proof of valuation of shares of stocks at the time of donation, if applicable • For listed stocks - newspaper clippings or certification issued by the Stock Exchange as to the par value per share • For unlisted stocks - latest audited Financial Statements of the issuing corporation with computation of the book value per share 8. Proof of valuation of other types of personal properties, if applicable 9. Proof of claimed deductions, if applicable 10. Copy of Tax Debit Memo used as payment, if applicable Additional requirements may be requested for presentation during audit of the tax case depending upon existing audit procedures.

BIR Form No. 1800 Procedures: 1 File the return in triplicate (two copies for the BIR and one copy for the taxpayer) with any Authorized Agent Bank (AAB) of the RDO having jurisdiction over the place of the domicile of the donor at the time of the transfer. In places where there are no AAB, the return will be filed directly with the Revenue Collection Officer or duly Authorized City or Municipal Treasurer where the donor was domiciled at the time of the transfer, or if there is no legal residence in the Philippines, with Revenue District No. 39 - South Quezon City.

BIR Form No. 1800 Procedures: 2 In the case of gifts made by a non-resident alien, the return may be filed with Revenue District No. 39 - South Quezon City, or with the Philippine Embassy or Consulate in the country where donor is domiciled at the time of the transfer. 3 Submit all documentary requirements and proof of payment to the Revenue District Office having jurisdiction over the place of residence of the donor.

BIR Form No. 1800 Deadlines: • Within thirty days (30) after the date the gift (donation) is made. A separate return will be filed for each gift (donation) made on the different dates during the year reflecting therein any previous net gifts made during the same calendar year. • If the gift (donation) involves conjugal/community/property, each spouse will file separate returns corresponding to his/ her respective share in the conjugal/community property. This rule will also apply in the case of co-ownership over the property.

BIR Form No. 1800

BIR Form No. 1801 • Estate Tax Return Description: Estate Tax is a tax on the right of the deceased person to transmit his/her estate to his/her lawful heirs and beneficiaries at the time of death and on certain transfers, which are made by law as equivalent to testamentary disposition. It is not a tax on property. It is a tax imposed on the privilege of transmitting property upon the death of the owner. The Estate Tax is based on the laws in force at the time of death notwithstanding the postponement of the actual possession or enjoyment of the estate by the beneficiary.

BIR Form No. 1801 Documentary Requirements: The following requirements must be submitted upon field or office audit of the tax case before the Tax Clearance Certificate/Certificate Authorizing Registration can be released: 1. Notice of Death duly received by the BIR, if gross estate exceeds P 20, 000 for deaths occurring on or after Jan. 1, 1998; or if the gross estate exceeds P 3, 000 for deaths occurring prior to January 1, 1998 2. Certified true copy of the Death Certificate 3. Deed of Extra-Judicial Settlement of the Estate, if the estate is settled extra judicially 4. Court Orders/Decision, if the estate is settled judicially; 5. Affidavit of Self-Adjudication and Sworn Declaration of all properties of the Estate 6. A certified true copy of the schedule of partition of the estate and the order of the court approving the same, if applicable

BIR Form No. 1801 Documentary Requirements: The following requirements must be submitted upon field or office audit of the tax case before the Tax Clearance Certificate/Certificate Authorizing Registration can be released: 7. Certified true copy(ies) of the Transfer/Original/Condominium Certificate of Title(s) of real property(ies) (front and back pages), if applicable 8. Certified true copy of the latest Tax Declaration of real properties at the time of death, if applicable 9. "Certificate of No Improvement" issued by the Assessor's Office declared properties have no declared improvement or Sworn Declaration/Affidavit of No Improvement by at least one (1) of the transferees 10. Certificate of Deposit/Investment/Indebtedness owned by the decedent and the surviving spouse, if applicable

BIR Form No. 1801 Documentary Requirements: The following requirements must be submitted upon field or office audit of the tax case before the Tax Clearance Certificate/Certificate Authorizing Registration can be released: 11. Photo copy of Certificate of Registration of vehicles and other proofs showing the correct value of the same, if applicable 12. Photo copy of certificate of stocks, if applicable 13. Proof of valuation of shares of stocks at the time of death, if applicable For listed stocks - newspaper clippings or certification from the Stock Exchange For unlisted stocks - latest audited Financial Statement of issuing corporation with computation of book value per share 14. Proof of valuation of other types of personal property, if applicable 15. Proof of claimed tax credit, if applicable

BIR Form No. 1801 Documentary Requirements: The following requirements must be submitted upon field or office audit of the tax case before the Tax Clearance Certificate/Certificate Authorizing Registration can be released: 16. CPA Statement on the itemized assets of the decedent, itemized deductions from gross estate and the amount due if the gross value of the estate exceeds two million pesos, if applicable 17. Certification of Barangay Captain for claimed Family Home 18. Duly notarized Promissory Note for "Claims against the Estate" arising from Contract of Loan 19. Accounting of the proceeds of loan contracted within three (3) years prior to death of the decedent 20. Proof of the claimed "Property Previously Taxed"

BIR Form No. 1801 Documentary Requirements: The following requirements must be submitted upon field or office audit of the tax case before the Tax Clearance Certificate/Certificate Authorizing Registration can be released: 21. Proof of claimed "Transfer for Public Use" 22. Copy of Tax Debit Memo used as payment, if applicable • Additional requirements may be requested for presentation during audit of the tax case depending upon existing audit procedures.

BIR Form No. 1801 Procedures: 1 The Estate Tax Return (BIR Form 1801) shall be filed and payment be made with an Authorized Agent Bank (AAB) of the Revenue District Office (RDO) having jurisdiction over the place of residence of the decedent at the time of his/her death. 2 If there is no AAB within the residence of the decedent, the Estate Tax Return must be filed and the payment made with the Revenue Collection Officer or duly Authorized City or Municipal Treasurer of the RDO having jurisdiction over the place of residence of the decedent.

BIR Form No. 1801 Procedures: 3. If the required filer has no legal residence in the Philippines, the Estate Tax return shall be filed and paid with: (a) The Office of the Revenue District Officer, Revenue District Office No. 39, South Quezon City; or (b) The Philippine Embassy or Consulate in the country where decedent is residing at the time of his/her death 3

BIR Form No. 1801 Deadlines: • File the return within six (6) months from decedent's death. However, the Commissioner may, in meritorious cases, grant extension not exceeding thirty (30) days. • The Estate Tax imposed shall be paid at the time the return is filed by the executor or administrator or the heirs. However, when the Commissioner finds that payment on the due date of the Estate Tax or of any part thereof would impose undue hardship upon the estate or any of the heirs, he may extend the time for payment of such tax or any part thereof not to exceed five (5) years, in case the estate is settled through the courts or two (2) years in case the estate is settled extra-judicially.

BIR Form No. 1801

BIR Form No. 1606 • Withholding Tax Remittance Return (For Transactions Involving Real Property other than Capital Asset including Taxable and Exempt) Description: This return is filed by every Withholding Agent/Buyer on the sale, transfer or exchange of real property classified as ordinary asset.

BIR Form No. 1606 Filing date: • This return is filed on or before the • tenth (10 th) day • following the end of the month in which the transaction occurred. • Provided, however, that taxes withheld in December shall be filed on or before January 25 of the following year. • Provided, that large taxpayers as determined by the Commissioner shall file/pay on or before the 25 th day of the following month.

BIR Form No. 1606

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.

Certificate Authorizing Registration (CAR) • CARs shall now have a validity of one (1) year from date of issue. In case of failure to present the same to the Registry of Deeds (RD) within the one (1) year period, the same shall be presented for revalidation to the District Office where the CAR was issued. The revalidation, evidenced by stamping the phrase "revalidated on _____ to expire on ______" in a conspicuous space in the CAR, shall be good for another one-year period, after which the CAR losses its validity. (RMO 15 -2003)

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