BARRY PUALENGCO Phase of Land Transfer BIR Forms in Real Estate

BARRY PUALENGCO

Phase of Land Transfer

BIR Forms in Real Estate

https://barryf1.wordpress.com/

BIR Forms in Real EstateBIR 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

Contents 1Contents 1

BIR Form No. 1606

BIR Form No. 1904BIR 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.


• Before payment of any tax due/before filing of return or before the issuance of TIN under E.O.98.

Filing date:


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.


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


Documentary Requirements

5) Copy of BIR Ruling for tax exemption confirmed by BIR, if applicable

6) Duly approved Tax Debit Memo, if applicable7) “Sworn Declaration of Interest” as prescribed under

Revenue Regulations 13-99, if the transaction is tax-exempt

8) Documents supporting the exemption

Additional requirements may be requested for presentation during audit of the tax case depending upon existing audit procedures.


• 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.


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 applicable4) Duly approved Tax Debit Memo, if applicable


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.


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.


• 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.


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 Donation2. Sworn Statement of the relationship of the donor to the donee3. Proof of tax credit, if applicable4. 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


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 applicable9. Proof of claimed deductions, if applicable10.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.


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.


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.


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. 1801BIR 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.




1. Notice of Death duly received by the BIR, if gross estate exceeds P20,000 for deaths occurring on or after Jan. 1, 1998; or if the gross estate exceeds P3,000 for deaths occurring prior to January 1, 1998

2. Certified true copy of the Death Certificate3. Deed of Extra-Judicial Settlement of the Estate, if the estate is

settled extra judicially4. Court Orders/Decision, if the estate is settled judicially;5. Affidavit of Self-Adjudication and Sworn Declaration of all properties

of the Estate6. A certified true copy of the schedule of partition of the estate and the

order of the court approving the same, if applicable




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




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 applicable13. Proof of valuation of shares of stocks at the time of death, if

applicableFor listed stocks - newspaper clippings or certification from the Stock ExchangeFor 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 applicable15. Proof of claimed tax credit, if applicable




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 Home18. Duly notarized Promissory Note for "Claims against the Estate"

arising from Contract of Loan19. Accounting of the proceeds of loan contracted within three (3)

years prior to death of the decedent20. Proof of the claimed "Property Previously Taxed"




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.


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.


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 death3


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.


• 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.


• This return is filed on or before the• tenth (10th) 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 25th day of the following month.

Filing date:

Certificate Authorizing Registration (CAR) 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) 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)

BARRY PUALENGCO

Thank You!

https://barryf1.wordpress.com/

BARRY PUALENGCO Phase of Land Transfer BIR Forms in Real Estate

Documents

Transcript of BARRY PUALENGCO Phase of Land Transfer BIR Forms in Real Estate