Transfer Tax in Quezon City (Philippines): A Complete Legal Guide (2025 Update)

1. What is the local “transfer tax”?

Under § 135 of the Local Government Code (LGC), R.A. 7160, provinces—and, by extension, cities under § 151—may levy a tax on the sale, donation, barter, or any other mode of transferring ownership of real property located in their jurisdiction. The Congress-set ceiling for provinces is 0.50 % of the higher of the consideration or the fair market value (FMV); cities may increase that ceiling by up to 50 %. citeturn4search0

2. Quezon City’s statutory rate

Quezon City maximises the latitude given to highly urbanised cities and imposes “seventy-five per-cent (75 %) of one per-cent (1 %)”—i.e., 0.75 %—of whichever is highest among:

the gross selling price in the deed;
the BIR zonal valuation; or
the City Assessor’s FMV (including improvements).

The rate is codified in the Quezon City Revenue Code and reiterated in implementing forms issued by the City Treasurer. citeturn3view0turn0search1

3. Illustrative computation

Item	Amount (₱)
Deed of Sale price	6,500,000
Zonal value (BIR)	7,000,000
Assessor’s FMV	6,800,000
Tax base (highest)	7,000,000
Transfer tax @ 0.75 %	52,500

4. When and where to pay

Deadline: Within sixty (60) days from (a) execution of the deed, or (b) date of death for estates.
Venue: Quezon City Treasurer’s Office – Taxes & Fees Division; satellite collections at Business One-Stop Shops are permitted.
Late payments incur a 25 % surcharge plus 2 % interest per month, capped at 72 %. citeturn3view0

5. Reportorial duty & penalty

Ordinance SP-2361, S-2014 requires the transferee to file a sworn statement of true value with the City Assessor within 60 days of acquisition; failure is fined ₱2,000. citeturn7search0

6. Documentary requirements

Typical set (original + 1 photocopy):

Deed (sale, donation, exchange, extrajudicial settlement).
Transfer Certificate of Title (owner’s duplicate).
Latest Tax Declaration.
RPT clearance.
BIR Certificate Authorizing Registration (CAR) / eCAR.
Valid IDs or SPA for representatives. citeturn3view0

7. Who is liable?

By local practice the buyer/transferee pays, but parties may contract otherwise. The Register of Deeds cannot register the deed without proof of payment; the Supreme Court treats the payment as a condition sine qua non for registration. citeturn4search2

8. Exemptions & relief

Basis	Scope in Quezon City	Notes
LGC § 133(o)	National Government & instrumentalities	e.g., transfers to DPWH, MIAA, etc.
Ordinance SP-2378, S-2014	Full exemption for registered senior-citizen transferors	Applies to inter vivos transfers made by seniors. citeturn7search4
Ordinance SP-3246, S-2023	Amnesty on surcharges & interest for transfers executed ≤ 31 Dec 2022, if paid by 30 Jun 2023	No waiver of basic tax. citeturn0search6

9. Interaction with national taxes & fees

Levy	Rate	Typical party	Authority
Capital Gains Tax / Creditable WHT	6 % / 15 %	Seller	NIRC § 24(D)
Documentary Stamp Tax	1.5 %	Buyer	NIRC § 196
Registration Fee (RD)	0.25 % of value	Buyer	PD 1529 + RD fee table
Real Property Tax (annual)	2 % of assessed value	Owner on Jan 1	LGC § 233

Transfer tax must be presented before these bureaus will complete annotation or cancel/re-issue titles.

10. Procedural flow

BIR clearance (CGT/CWT & DST).
Pay QC transfer tax (present CAR, deed, RPT clearance).
City Assessor issues updated Tax Declaration.
Register of Deeds cancels old TCT/CCT and issues new one.

11. Penalties for non-compliance

Apart from the 25 % + interest noted above, registration is blocked until the tax is paid, exposing the buyer to risks of double sale, estate complications, or adverse possession.

12. Jurisprudence highlights

HRI v. FEPI, G.R. 231936 (2020): Register of Deeds may refuse registration absent proof of transfer-tax payment. citeturn4search2
MIAA v. Parañaque, G.R. 163072 (2009): LGUs cannot levy transfer tax on national-government instrumentalities. citeturn4search3

13. Comparative perspective

QC’s 0.75 % is the highest allowed by law. Neighboring provinces (e.g., Rizal, Bulacan) remain at 0.50 %; other NCR cities (Makati, Taguig, Manila) also impose 0.75 %.

14. Recent and future developments

Digital payment portal (beta 2024): QC Treasurer piloted online scheduling and e-payment; full roll-out expected by late 2025.
Pending amendment (Council PO 25CC-112, filed Feb 2025): proposes graduated rates tied to FMV bands but no action as of April 2025.
BIR-LRA data-sharing MOU (Jan 2025): expected to shorten CAR-to-title cycle from ~ 6 weeks to 10 days.

15. Practical tips

Check zonal values before agreeing on price; under-pricing will not lower the tax.
Pay early to avoid the stiff 2 % monthly interest.
If the seller is a corporation, budget an extra 2 % QC business tax on the selling price, collected simultaneously with transfer tax. citeturn3view0
Beat amnesty deadlines whenever the council grants them; savings can be substantial.

16. Conclusion

The transfer tax is a modest but indispensable levy that underwrites city services and guards the integrity of the Torrens system. In Quezon City the rate sits at the statutory maximum of 0.75 %, and strict procedural compliance—especially the 60-day payment window—is essential for a trouble-free title transfer. Keep abreast of amnesties and digital reforms, gather the complete documentary set before going to City Hall, and you’ll navigate the process efficiently.