Notarial Fee Regulations for Deeds of Sale in the Philippines

(A practitioner’s guide for buyers, sellers, and lawyers)

1) What a Notarial Fee Covers

A notarial fee pays for the notary public’s professional service in turning a privately-signed deed of sale into a public document through an acknowledgment. This gives the deed probative value, allows registration with the Registry of Deeds, and makes it admissible as evidence without further proof of authenticity. The fee is distinct from:

Documentary Stamp Tax (DST) (BIR; generally ad valorem on the price or fair market value),
Capital Gains/Creditable Withholding Taxes (BIR),
Transfer Tax (LGU), and
Registration Fees (Registry of Deeds/LRA).

2) Legal Framework That Shapes Fees

2004 Rules on Notarial Practice (RNP) (as amended): governs who may notarize, territorial limits, identification, notarial register, and form of acknowledgment. It also requires clear disclosure/posting of fees and official receipts.
Code of Professional Responsibility and Accountability (CPRA, 2023): lawyers may charge reasonable, non-unconscionable fees, considering time, difficulty, importance, amount involved, results, customary charges, and the lawyer’s experience.
BIR rules: lawyers must issue BIR-registered official receipts; fees are subject to VAT (if VAT-registered) or percentage tax (if not), and withholding tax may apply when the client is a withholding agent.
Local and IBP practice: IBP Chapters may publish suggested schedules to promote uniformity and transparency, but these are not nationwide price controls. Final pricing remains a lawyer-client agreement, subject to reasonableness under the CPRA.

3) Who Can Charge and Where

Only commissioned notaries public (who are Philippine lawyers in good standing) may notarize deeds of sale.
A notary may act only within the city/province of commission, typically at the office stated in the commission, save for limited out-of-office situations allowed by the RNP (e.g., hospitals, detention facilities), which should be recorded in the notarial register.
Consular officers may notarize for Filipinos abroad (consularized documents).

4) Price Formation: What “Reasonable” Usually Looks Like

There is no single nationwide fixed fee. Market practice varies by location, complexity, and value of the transaction. Common pricing patterns:

Flat fee for standard residential deeds with clean title and routine due diligence.
Tiered/Value-sensitive fee for high-value property or complex deals (e.g., multiple co-owners, corporate parties, special/extraordinary authority, conditional sales).
Add-ons for:
- Document drafting (if the lawyer prepared the deed and annexes),
- Due diligence (title/encumbrance checks, tax clearances, estate/succession issues),
- Out-of-office/on-site notarization (travel/time),
- Rush/after-hours service,
- Remote notarization (where permitted and when requirements are strictly met).

Tip: Ask the notary to separate (a) drafting, (b) acknowledgment/notarial act, and (c) incidental services (e.g., coordination with BIR/RoD) in the quote. This clarifies what the “notarial fee” truly covers.

5) Mandatory Compliance Touchpoints (That Affect the Fee)

Personal appearance of the signatories before the notary (no substitutes), with competent evidence of identity (typically a current government-issued ID).
Authority documents must be notarized/consularized if a party signs in a representative capacity (e.g., SPA, Secretary’s Certificate, Board Resolution, Guardianship/Extrajudicial Settlement instruments).
The notary must keep a notarial register, affix a seal, and use the proper acknowledgment form. Errors or shortcuts can lead to administrative discipline, and the deed may lose public document status (impacting registration and evidentiary weight).
Territorial limits matter. Expect additional charges if the notary must travel within the commissioning territory (and a refusal if outside it).

6) Receipts, Taxes, and Withholding

The notary must issue a BIR-registered Official Receipt describing the service (e.g., “Acknowledgment of Deed of Absolute Sale; drafting fee”).
The fee is part of the notary’s professional income and may be subject to VAT or percentage tax, and expanded withholding tax when paid by a withholding agent. Ask whether taxes are included or added on top of the quoted fee.

7) Remote / Technology-Assisted Notarization

Philippine rules primarily contemplate paper-based, in-person acknowledgments. Limited forms of remote notarization were introduced on an interim basis to address logistics and health emergencies, subject to strict identity verification, audio-video recording, and document handling protocols. Because the compliance burden is higher, some notaries quote separate rates for such matters (where available and appropriate). Always confirm current local practice and the notary’s process before you agree on a fee.

8) What Is Not Included in a Notarial Fee (But Often Confused With It)

BIR taxes (CGT/CWT, DST), LGU transfer tax, Homeowners association/N…C clearances, Registry of Deeds fees, annotation fees, assessor’s certifications, zonal valuation procurement, TIN application, and Bank mortgage documentation fees are outside the notarial fee unless your engagement letter expressly includes “end-to-end conveyancing” or “settlement” services.

9) Unconscionable or Improper Fees

Fees that are grossly excessive relative to the work and risk may be challenged under the CPRA. Red flags:

Refusal to issue a BIR receipt,
Percentage-only fee pegged to property price without any legal service breakdown,
“Blanket” notarization (no personal appearance, no ID check),
Notarization outside the notary’s commission territory. Clients may file complaints with the IBP or the Supreme Court (disciplinary jurisdiction) if professional rules are breached.

10) Practical Fee-Control Checklist (Use Before You Engage)

Scope: Ask for a written engagement that distinguishes drafting vs acknowledgment vs ancillary services.
Fee basis: Flat vs tiered; specify what triggers add-ons.
Timeline & mode: In-office vs on-site vs remote; who handles BIR/RoD runs.
Receipts & taxes: Confirm official receipts and whether taxes are included.
Identity & authority: List IDs and authority documents you’ll present; fix these early to avoid repeat appearances/charges.
Deliverables: Number of originals, certified copies, and digital scans.
Post-notarization: Who shoulders courier, BIR eCAR processing, RoD lodgment—and at what price.

11) Sample Fee Clause (for Engagement Letters)

Professional Fees. For drafting one (1) Deed of Absolute Sale and one (1) Acknowledgment Notarial Act, the Firm shall charge a flat fee of ₱. The fee excludes BIR/RoD/LGU taxes and charges. Out-of-office/on-site appearance within ______ City shall be ₱ per appearance. Additional acts (e.g., notarization of SPA/Secretary’s Certificate; revisions beyond two (2) drafts; weekend/holiday appearance; remote notarization compliance) shall be billed at ₱______ or at agreed hourly rates of ₱______. All fees are exclusive/inclusive of applicable VAT/percentage tax. Official receipts shall be issued.

12) FAQs

Is there a legal “cap” on notarial fees for deeds of sale? No nationwide cap. Fees must be reasonable under the CPRA and transparent under the RNP. Local practice and suggested IBP schedules may influence pricing but do not bind all notaries.

Can a notary charge based on property value? Yes, in practice some do for complex or high-risk transactions, but the fee must still be defensible and reasonable given the services rendered and risks assumed.

Can I shop around? Absolutely. Ask for itemized quotes and verify the notary’s commission and office address. Saving a little is not worth a defective notarization.

May the deed be drafted by one lawyer and notarized by another? Yes. The acknowledgment notary only certifies the signatories’ identity and voluntary execution; drafting can be done by your counsel. Expect separate fees.

Bottom line

In the Philippines, notarial fees for deeds of sale are not fixed by law. They are negotiated and must be reasonable, properly receipted, and compliant with the RNP and CPRA. The best protection against surprise charges (or defective notarization) is a clear, written scope, itemized pricing, and strict adherence to identification, authority, and territorial rules. If you need, I can help you draft a tailored engagement letter or review quotes for fairness and compliance.