DOJ Opinion No. 106, s. 1984

DOJ OPINION NO. 106 , s. 1984 July 19, 1984 Minister Conrado F. Estrella Ministry of Agrarian Reform Diliman, Quezon City Sir : This refers to your request for clarification as to the scope of the exemption provision found in Section 105 of P.D. No. 1529, which provides: "SEC. 105. Certificates of Land Transfer; Emancipation Patent. . . . "No fee, premium, or tax of any kind shall be charged or imposed in connection with the issuance of an original Emancipation Patent and for the registration of related documents." LibLex You state that despite the above-quoted provision, of law, various fees and taxes, such as "transfer fees, documentary stamps, research fee, science tax and assurance fund", are still being imposed in connection with the issuance of an original Emancipation Patent and for the registration of related documents. Hence, your instant request. Section 105 enjoins the impositions of any "fee, premium or tax of any kind" in connection with the issuance of an original Emancipation Patent and the registration of related documents. A fee is a reward or compensation allowed by law to an officer for specific services performed by him in the discharge of his official duties; it is a sum certain given for a particular service/the sum prescribed as a charge for services rendered by public officers (Manila Electric Co. vs. Auditor General, 73 Phil. 128) while premium is the consideration in an understanding to indemnify another against loss, damage or liability arising form an unknown or contingent event, as in a contract of insurance (Phil. Phoenix Surety and Insurance Co. vs. Woodworks, Inc., 92 SCRA 419). On the other hand, a tax is an enforced contribution, usually monetary in form, levied by the law-making body on persons and property subject to its jurisdiction for the precise purpose of supporting government needs (Sec. 3[m-1], Local Tax Code.) LexLib As we see it, Section 105 is all inclusive and embraces all kinds of imposition by the government, whether it be a fee, a premium, or a tax. This Office has, in several opinions, ruled that when the law uses language as broad and all-embracing as that employed in Section 105 (which provision peremptorily refers to "fee, premium or tax of any kind "), the manifest legislative intent is to exempt the grantee from kinds of burdens imposed by the government (Ops., Sec. of Justice, No. 71, s. 1981; No. 171, s. 1979; No. 16, s. 1978; and Op. dated August 31, 1955). Accordingly, documentary stamp tax , which is a tax on the privilege to enter into a transaction (Sec. 222, Title VI, Chapter IV, The National Internal Revenue Code); science tax , a tax imposed in addition to the documentary stamp tax (id.); transfer fees, fees imposed for the issuance of a transfer certificate of title [(14)(c), Sec. 111, Chapter XI, P.D. No. 1529]; research fees , fees imposed for the services rendered in attending to request for reference or research on any records or documents on file in the Registry [21, id.]; and contribution to assurance fund , a fund created by Act No. 496 (now under Chapter VIII, P.D. No. 1529) for the purpose of paying any damage which may result from an improper or illegal registration of land titles, are deemed to be within the purview of the broad terms "fee, premium or tax of any kind". Regarding your other request that a circular on the aforestated matter be issued to all concerned, please be informed that we have on even date referred your basic query to the Land Registration Commission, together with a copy of our instant opinion, for its appropriate action. Very truly yours, (SGD.) ESTELITO P. MENDOZA Minister of Justice