RMO No. 15-2003: Prescribes the policies, guidelines and procedures in the processing and monitoring of One-Time Transactions and the issuance of Certificates Authorizing Registration for property transfer transactions subject to Capital Gains Tax, Expanded Withholding Tax, Donor’s Tax, Estate Tax and other taxes including Documentary Stamp Tax

Summary

RMO No. 15-2003 sets policies, guidelines and procedures for processing One-Time Transactions (ONETT) and issuing Certificates Authorizing Registration (CARs) for property transfers subject to Capital Gains Tax, Expanded Withholding Tax, Donor’s Tax, Estate Tax and Documentary Stamp Tax.

Key points

1. ONETT one-stop shop. Every Revenue District Office creates an ONETT as a one-stop shop for frontline services, from assistance to issuance of tax clearance. Team members are assigned for one (1) month by a Revenue District Special Assignment Order, which stays in effect until another order is issued.
2. Data Verifier at the Register of Deeds. The Regional Director assigns a Data Verifier to every Register of Deeds. The verifier checks the authenticity of CARs and other documents, and reconciles CARs and Tax Clearance Certificates issued by the RDOs against those presented to the RD.
3. Verification and inspection. TVN/LA is no longer required for ONETT, except for Estate Tax cases with other tax liabilities of the decedent. Ocular inspection is required when documents conflict on the existence of improvements, or when the taxpayer invokes a special law that results in a lesser tax.
4. Issuance of CARs. As a general rule, CARs are issued within five (5) days from receipt of tax returns with complete documents. Estate and Donor’s Tax CARs cover all properties wherever situated, with as many CARs as there are Registers of Deeds involved, and the Confirmation Letter basis is discontinued.
5. Validity and fees. A CAR is valid for one (1) year from issue, and may be revalidated at the issuing district office for another one-year period. A P 15.00 Documentary Stamp Tax and a P 100.00 Certification Fee under Executive Order No. 197 are collected per CAR, over and above taxes due.
6. Mandatory review. The Assessment Division reviews Estate Tax, Donor’s Tax, Capital Gains Tax on unlisted stock sales, ONETT cases with tax payments of at least P 1 Million per case, and transactions exempted from Final Capital Gains Tax/Expanded Withholding Tax.

Who is affected

• Taxpayers with property transfer transactions
• Revenue District Offices and Registers of Deeds

Deadlines and effectivity

• CAR validity: one (1) year from date of issue, revalidation good for another one year
• CAR issuance: within five (5) days from receipt of complete returns and documents

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