BIR Ruling [DA-341-04]

June 24, 2004 BIR RULING [DA-341-04] Mr. Benjamin C. Gadores Datapro Computer College 2/F, Cartimar Building, Claro M. Recto Avenue Quiapo, Manila S i r : This refers to your letter dated June 9, 2004 relative to your request for the issuance of an authority allowing the registration of the following properties, to wit: Property Kind Area Location TCT No. 13144 Residential Lot 180 sq.m. Manila TCT No. 0-505 Riceland 3,150 sq.m. Hagonoy, Bulacan TCT No. 0-504 Riceland 32,715 sq.m. Hagonoy, Bulacan TCT No. 0-2802 Riceland 28,601 sq.m. Hagonoy, Bulacan TD No. 7125 Residential Lot 168 sq.m. Hagonoy, Bulacan TD No. 7126 Residential Lot 100 sq.m. Hagonoy, Bulacan TCT No. 73715 Marshland (Swamp) 238,030 sq.m. Mindoro It is represented that by virtue of a Deed of Extra-Judicial Partition executed on October 29, 1975, the above-mentioned properties were distributed to the heirs of Spouses Isabel Valencia and Probo Saguinsin, namely: 1. Teofilo Saguinsin 7. Pedro Saguinsin 2. Sergia Saguinsin 8. Elpedio Saguinsin 3. Eusebio Saguinsin 9. Simeon Saguinsin 4. Antonio Saguinsin 10. Maxima Saguinsin 5. Paula Saguinsin 11. Trinidad Saguinsin 6. Adelaida Saguinsin that the estate and inheritance taxes due on the above Deed of Extra-Judicial Partition were already paid on January 27, 1976, as evidenced by the following documents with its corresponding dates, viz .: 1. Estate and Inheritance Tax Return, stamped received by Revenue District No. 21, Valenzuela, Bulacan on January 27, 1976; 2. Authority to Accept Payment of the Estate Tax due on the Estate of Isabel Valencia dated January 27, 1976; 3. Authority to Accept Payment of the Estate Tax due on the Estate of Probo Saguinsin dated January 27, 1976; 4. Official Receipt No. F-5783130 issued on January 27, 1976; 5. Official Receipt No. F-5783131 issued on January 27, 1976; and 6. Certification issued by the Revenue District Officer concerned dated January 27, 1976, certifying that taxes due on both estates of Probo Saguinsin and Isabel Valencia were already paid on January 27, 1976. that you have already presented the above documents to the Revenue Regional Director of Valenzuela, Bulacan as per your letter requests dated May 24, 2004 and June 4, 2004, which were both received on May 24, 2004 and June 7, 2004, respectively; that you feel, however, that the action taken by the Revenue Regional Director, indorsing your letters to the Revenue Accounting Division (RAD) for verification and revalidation will not result to the issuance of the Certificate Authorizing Registration (CAR) since what was referred to in the said indorsement are those transactions that were previously issued a CAR in accordance with Revenue Memorandum Order No. 15-2003 dated May 8, 2003; that bearing in mind that the above transaction took place in 1976, wherein issuance of CARs is not yet a practice of the BIR, you feel that the presentation of the above authentic documents/evidence will be enough to show due payment of the taxes; and that it is your prayer that an authority allowing registration of the above-mentioned properties be issued based on the above due payment of the estate and inheritance taxes in 1976. In reply thereto, please be informed that the above documents you presented before the BIR are enough proof of due payment of the estate and inheritance taxes due on both estates of Isabel Valencia and Probo Saguinsin. The foregoing proofs are validated by the issuance of the Revenue District Officer concerned of a certification attesting to the fact of payment of the above taxes on January 27, 1976 and allowing the registration of the subject properties in the name of the heirs. However, the said certification is now standardized to obtain a uniform certification from the BIR throughout the country and is now transformed into an accountable form to be able to closely monitor the issuance thereof. Thus, in order for you to register the above-mentioned properties in the name of the heirs or in their individual names, all you need to do is to present the 1976 certification with the Revenue District Officer concerned and ask for the re-issuance of a new CAR to conform with the new procedure in the registration of real property. The new CAR, however, shall be issued only upon presentation of the originals of the above-mentioned documents. CTHaSD Please be guided accordingly. Very truly yours, Commissioner of Internal Revenue By: (SGD.) MILAGROS V. REGALADO Assistant Commissioner Legal Service