Electronic Certificate Authorizing Registration (eCAR)
Philippine Bureau of Internal Revenue (BIR)
“No transfer of property shall be registered unless a Certificate Authorizing Registration has been issued by the Commissioner of Internal Revenue.” — Section 58, National Internal Revenue Code (NIRC), as amended
1. What is an eCAR?
The Electronic Certificate Authorizing Registration (eCAR) is the Bureau of Internal Revenue’s digitally-generated proof that all applicable national taxes on a transfer of property have been assessed and fully paid. It replaced the long-familiar green, manually-signed CAR beginning 2021 and now features:
| Feature | Details |
|---|---|
| Unique Control & Barcode/QR Code | Auto-generated serial tied to the Tax Identification Number (TIN) of both transferor and transferee. |
| Tamper-Resistance | Embedded security background, digital signature hash, and machine-readable code verifiable at any BIR office or through the eCAR Validation Facility. |
| Color Strip | Indicates the nature of the tax: • Capital Gains (red), • Donor’s (violet), • Estate (blue), • Documentary Stamp (yellow). |
| One-time Use | A single eCAR covers one taxable document or transfer. Multiple titles require one eCAR each. |
| Validity | Indefinite for the particular transaction; however registration with the Registry of Deeds (ROD), Land Transportation Office (LTO), SEC, etc., must occur within one (1) year of issuance or a fresh certification may be required by the receiving agency. |
2. Legal Bases
| Statute / Issuance | Highlights |
|---|---|
| NIRC §§24(D), 34(C), 62–98, 196 | Imposes capital gains, estate, donor’s, and documentary stamp taxes. |
| Revenue Regulations (RR) No. 2-98 | Documentary requirements for tax-related transfers. |
| RR No. 7-2021 & RMO No. 15-2021 | Institutionalised full roll-out of the eCAR system and validation portal. |
| RMC No. 41-2022 | Clarified eCAR re-issuance, loss, and cancellation. |
| Data Privacy Act (RA 10173) | Governs handling of personal data embedded in the eCAR. |
3. Transactions That Require an eCAR
- Sale or exchange of real property (capital gains or creditable withholding tax).
- Donation of real or personal property (donor’s tax).
- Settlement or distribution of estates (estate tax).
- Transfer of shares of stock not traded on the stock exchange.
- Real property tax-free exchanges and mergers (if exempt, still needs eCAR to prove exemption).
- Foreclosure, pacto-de-retro, dacion en pago, barter, consolidation, reconveyance, etc.
No eCAR, no registration: The ROD, SEC, and most LGU assessor’s offices will refuse to annotate, transfer title, or issue new tax declarations without it.
4. Core Documentary Requirements (per taxable event)
| Universal Requirements | |
|---|---|
| 1. Notarised Deed / Document of Transfer | Original & two photocopies |
| 2. Tax Identification Numbers of parties | If none, secure TIN via BIR Form 1904 |
| 3. Valid government IDs | With three specimen signatures |
| 4. Official Receipts / eFPS confirmation | Proof of payment of taxes & penalties |
| 5. Certified True Copy of title / shares certificate | Latest edition issued by ROD / Corporate Secretary |
| Additional, as applicable | |
|---|---|
| Capital gains on real property | • BIR Form 1706 (CWT) or 1701/1701A • Zoning Certification • Tax Clearance & Updated Realty Tax Receipt • Vicinity/Sketch Plan |
| Estate tax | • BIR Form 1801 • Death Certificate • Affidavit of Self-Adjudication or Extrajudicial Settlement • Schedule of Properties • CPA-notarised Statement of Net Estate (if > ₱5 M) |
| Donor’s tax | • BIR Form 1800 • Sworn Statement of Fair Market Value • Proof of relationship (if claiming exemption/gradation) |
| Shares transfer | • Latest Audited FS • Secretary’s Certificate approving transfer • BIR-stamped BIR Form 2000-OT (DST) |
Tip: Use the eBAR (electronic BIR Assessment Report) module in eCAROnline to upload scanned PDFs before lodging printed copies.
5. Step-by-Step Process
Preparation & eAppointment • Gather documents → Create an appointment via the BIR’s eAppointment portal to submit at the Revenue District Office (RDO) having jurisdiction over the property location or decedent’s domicile.
Frontline Validation (RDO One-Time Transaction (ONETT) Team) • Completeness check, encode particulars into eCAROnline; system generates Assessment Notice (AN) with tax computation.
Payment of Taxes • Within 30 days of notarization (sale/donation) or one (1) year from death (estate) pay at AAB/eFPS, G-Cash, PESONet. • Obtain BIR-validated Form 0605/RTC needed for release.
Issuance of eCAR • ONETT Team verifies payment → submits to RDO Chief for digital signature. • System prints eCAR on BIR-supplied security paper with QR code. Processing time: 5–20 working days (simple–complex).
Release & Confirmation • Claimant signs logbook; RDO uploads eCAR hash to central server. • Validate authenticity anytime at https://ecar-verify.bir.gov.ph (prints “VALID / CANCELLED”).
Registration with Proper Agency • Present eCAR, AN, and deed to ROD, SEC, LTO, or municipal assessor for actual transfer. • Pay local transfer tax (usually 0.5 % – 0.75 % of zonal/fair market value) within 60 days to avoid surcharge.
6. Special Situations & FAQs
| Scenario | Treatment |
|---|---|
| Lost/Damaged eCAR | File Affidavit of Loss + ₱100 certification fee. RDO reissues and cancels original in database. |
| Revision of consideration or fair market value | Amend tax return → pay differential + 25 % surcharge + interest; new eCAR supersedes old. |
| Incorrect TIN | Correction allowed prior to ROD presentation; beyond that, requires cancellation and re-application. |
| Multiple heirs but some waive rights | Submit Waiver of Rights with competent proofs; tax still based on total net estate. |
| Tax-free exchange (Sec. 40(C)(2)) | Secure BIR Ruling first; eCAR reflects “Tax-Exempt – Sec 40(C)(2).” |
| Foreclosure consolidation | Separate eCARs for CGT (on foreclosure) and DST (on consolidation). |
7. Penalties for Non-Compliance
| Violation | Surcharge | Interest | Compromise Penalty |
|---|---|---|---|
| Late filing or payment | 25 % of basic tax | 6 % p.a. until paid | ₱1 000 – ₱50 000 |
| Failure to secure eCAR before registration | Registration denied; may constitute fraudulent attempt to evade tax (Sec 255, NIRC) | Up to criminal prosecution | – |
| Using falsified eCAR | Fine ₱5 000–₱10 000 AND imprisonment 6 months–1 year (Sec 257) | – | – |
8. Practical Tips
- Check Zonal Values online before agreeing on price; CGT is whichever is higher between consideration and zonal.
- Sign all pages of the deed to avoid re-validation delays.
- Pin the eCAR QR screenshot to your phone—many RODs now scan directly.
- Pay local transfer tax promptly; BIR tax receipt alone does not stop local surcharges.
- Estate with multiple properties in different RDOs? File only one estate return (RDO of decedent) but request multiple eCARs per property.
9. Common Processing Time Benchmarks (2025 data)
| Complexity | Working Days* |
|---|---|
| Simple sale (1 title, no mortgage) | 5–7 |
| Donation to relative within 4th degree | 7–10 |
| Estate with ≤ 3 heirs & ≤ 3 properties | 10–15 |
| Estate with > 10 heirs, foreign assets, or judicial settlement | 15–20 |
*Measured from submission of complete documents to release; excludes wait time for appointment.
10. Checklist (print-friendly)
- Notarised deed / settlement instrument
- Photocopies of IDs (seller/donor/heirs & buyer/donee)
- Certified copy of TCT/CCT or corporate stock certificate
- Tax clearance & updated RPT receipts (for real property)
- Signed BIR forms 1706/1701/1800/1801/2000-OT as applicable
- Proof of tax payment (eFPS confirmation/validated forms)
- Other supporting docs (CPA-certified statements, SPA, waivers)
- Secure eCAR release schedule & bring official receipt
11. Conclusion
The eCAR is the BIR’s modernised guarantee that transfer-related taxes have been settled. While the process remains documentary-heavy, digitisation—eAppointment, eCAROnline, ePayment, and QR validation—has reduced both corruption opportunities and turnaround time. Careful pre-filing preparation, accurate valuation, and strict observance of deadlines are the keys to a seamless issuance, ensuring that your title, shares, or vehicle can be legally registered without costly surprises.
This article is for informational purposes only and does not constitute legal advice. For complex estates, corporate reorganisations, or contested valuations, consult a Philippine tax lawyer or a BIR-accredited tax agent.