RMC No. 85-2018: Clarifies certain issues relative to the issuance of Electronic Certificate Authorizing Registration (eCAR) for transferring real properties with the Land Registration Authority

Summary

RMC No. 85-2018 clarifies issues on issuing the Electronic Certificate Authorizing Registration (eCAR) for transferring real properties with the Land Registration Authority.

Key points

1. Two eCARs for settlement with sale or waiver. An Extra-Judicial Settlement with Sale, or with Waiver of Rights, involves two (2) transactions: settlement of the estate and transfer by sale or donation. Two (2) eCARs are issued.
2. Presenting both eCARs. The ONETT Revenue Officer advises the taxpayer to present both eCARs to the Registry of Deeds at the same time. Presenting only one invalidates the second eCAR transaction in the system and leads to a Notice of Invalid eCAR from the RD.
3. Separate documents. Two (2) eCARs are also issued when the documents are separate, such as an Extra-Judicial Settlement and a Deed of Absolute Sale or Deed of Donation. The eCAR for the estate settlement is issued first, for presentation to the RD for a new Title.
4. Second eCAR. The new Title number from the first transaction is the basis for the eCAR of the second transaction. The taxpayer may opt to pay the taxes for both at the same time to avoid penalties and interest.

Who is affected

• Taxpayers transferring real properties through extra-judicial settlement with sale, waiver, or donation
• ONETT Team Revenue Officers

Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.