LAND TRANSFER PROCEDURE (Part 1)

Think of one case with many documentary requirements. I will say, that the first thing that will come into my mind is the transfer of ownership of real properties. Unless you have the skill and patience to organize papers, transactions to all government offices won’t be that “painful”.

First of all, you need to complete all the documents and be sure to have photocopies of them all. Prepare four to five legal-size (long) folders.

Next, have a list of the government agencies that you need to transact with including their addresses and telephone numbers if available. Since we are talking about real property, then the transaction will have to be where the property is located. Take note, however, that the Bureau of Internal Revenue (BIR) has different Revenue District Offices. Thus, make sure that you know what revenue district has jurisdiction over the property. For example, the municipalities of Sto. Tomas, San Juan, Ibaan, Malvar of Batangas Province are all covered by Revenue District Office No. 059 (located in Lipa, Batangas); while Batangas City is covered by Revenue District Office No. 058 (located in Batangas City). You may find the complete list on the website of the BIR.

For your reference and guidance, these are the offices/agencies that you need to transact with when you are transferring the ownership of real properties:

• The Bureau of Internal Revenue (BIR)

  -Yes, you cannot skip this portion, because it is the BIR that will issue the eCAR (Electronic Certificate Authorizing Registration). This eCAR is part of the requirements before the Register of Deeds. The BIR shall also place its stamp at the back of each of the pages of the transfer documents (such as the Deed of Sale, Deed of Donation, Deed of Extra-Judicial Settlement of Estate, as the case may be).

  -Here, be sure that you have the list of the TIN (Tax Identification Number) of all parties involved, because the very first step in a transaction with this office is the TIN VERIFICATION.

  -If a party does not have a TIN, then apply for one with the BIR. You will not pay anything to have a TIN. You will surely find this posted at the BIR offices: “TIN IS NOT FOR SALE.”

  -If a party has a TIN, but he/she cannot recall it, then prepare a copy of the birth certificate of that party and attach it to the TIN verification slip, where you will input the date of birth of all parties involved.

  -If a party has a discrepancy in his name as registered in the BIR and his/her birth certificate, then prepare a copy of his/her birth certificate and an Affidavit that so and so are one and the same person. You will be asked to fill out BIR Form No. 1905.

• The Department of Agrarian Reform (if the land is classified as agricultural)

  -If the land is classified as agricultural, a DAR clearance is required. Can you skip this? NO. It is mandatory. It is likewise one of the requirements that the Register of Deeds will look for before they issue a new Certificate of Title. You can refer to the Tax Declaration to see if the land you are transacting is agricultural or not.

• The Municipal/City Treasurer (where the property is located, for the payment of Transfer Tax)

  -The transfer tax rate varies from one place to another. For example, the City of Batangas is collecting 0.75% of the zonal valuation of the land or the selling price in case of a sale transaction, whichever is higher; while San Juan Municipality of Batangas is collecting 0.50%.

• The Register of Deeds

  -This office will process the transfer of the certificate of title from the previous owner to the new owner. Here, you will submit the original owner’s duplicate copy of the OCT/TCT as one of the requirements.

  -It is where you can request certified true copy/ies of the OCT/TCT, which you will need as you transact from one govt. office to another. You have the option to apply online for this as well. Just look at the website of LRA (Land Registration Authority). Here, you need to create your account first to apply online.

• The City/Municipal/Provincial Assessor’s Office

  -It is where the new copy of the Tax Declaration will be processed. This is the final stage.

  -It is where you can request copies of the tax declaration you are transacting, Certificate of No Improvement, and tax map (Tax Mapping Division).

For the documentary requirements, you may find them in the second part of this Article.