Science Stamps Affixed to a Taxable Document

February 27, 1981 BIR RULING NO. 046-81 034-h 000-00 046-81 The Register of Deeds Dumaguete City S i r : This refers to your letter dated July 21, 1980 to the Acting Commissioner of Land Registration which was referred to this Office for reply, requesting a ruling on whether science stamps already affixed to a taxable document before August 5, 1978, may still be taken into account, if the document is presented for registration after said date. In reply, please be informed that "where the proper documentary and science stamps under the old rate have already been affixed or imprinted and the documents subject to stamp tax have already been registered prior to August 5, 1978, the affixture of additional stamps and the collection of deficiency stamps tax pursuant to the new rates prescribed under P.D. No. 1457 shall be deemed waived. However, documents subject to documentary stamp tax, such as deed of sale of real property that remained unregistered as of August 5, 1978 shall be subject to the additional stamp tax upon registration in accordance with the new rates provided for under P.D. No. 1457." (Revenue Memorandum Circular No. 85-78 dated October 27, 1978) cdta Section 4 of R.A. No. 5448 imposing the science stamp tax has been repealed by P.D. No. 1457. Under the foregoing provisions of the Circular, if the deed of sale is registered only on or after August 5, 1978, the said instrument is already subject to the increased rates of documentary stamp tax prescribed by P.D. No. 1457. Consequently, if documentary and science stamps have been affixed before August 5, 1978 the instrument is subject to deficiency stamp tax. In such case, the value of the science stamps affixed to the instrument shall be taken into account in determining the deficiency stamp tax. Your query is therefore, answered in the affirmative. Very truly yours, RUBEN B. ANCHETA Acting Commissioner