Below is a structured, step-by-step guide that pulls together everything you need to know about transferring a certificate of title after executing a Deed of Sale for Philippine land. It reflects the rules in force as of 15 May 2025 and flags pending changes still working their way through Congress.
1. Legal foundations
| Source of authority | Key provisions for a sale |
|---|---|
| Civil Code (Arts. 1624-1625, 1628, 1356) – form of contracts | Deed of Absolute Sale (DAS) must be in writing and notarised. |
| Property Registration Decree, PD 1529 | Registration with the Registry of Deeds (RD) is the act that “binds the land” and produces the new Transfer Certificate of Title (TCT) or Condominium Certificate of Title (CCT). |
| National Internal Revenue Code (NIRC), as last amended by the TRAIN law | Taxes on the transfer: Capital Gains Tax (CGT) 6 %, Documentary Stamp Tax (DST) 1.5 %, plus surcharges/interest if late. (Deloitte United States, RESPICIO & CO.) |
| Local Government Code (LGC) | Transfer Tax up to 0.50 % (provinces) or 0.75 % (Metro Manila LGUs). (RESPICIO & CO.) |
| BIR One-Time Transaction (ONETT) rules – most recently RR 12-2024, RMC 56-2024 & RMC 133-2024 | Move all ONETT filings online or to the RDO of property location; eCAR now carries a barcode and is valid for 5 years. (Bir CDN, Bir CDN, Bir CDN) |
| LRA circulars / Citizen’s Charter | Lists the documentary requirements, service times (5–10 working days if complete), and MRI Forms. (Land Registration Authority, Land Registration Authority, Land Registration Authority) |
2. Before you sign: due-diligence checklist
- Verify the Title – get a Certified True Copy (CTC) from the RD or via LRA eSerbisyo. (eserbisyo.lra.gov.ph)
- Check liens & encumbrances (annotations at the back of the title).
- Confirm Real Property Taxes (RPT) are current – ask for an LGU Tax Clearance. (propertymart.ph, Quezon City Government)
- Match the physical property to its technical description or approved subdivision plan (DENR/LMB).
- Zoning & land-use limits – especially for agricultural land (DAR clearance may be mandatory). (Land Registration Authority)
3. Notarise the Deed of Absolute Sale
| Requirement | Practical tip |
|---|---|
| Fully described property, price in words & figures, TINs, marital status, witnesses | Bring the owner’s duplicate title, Government-issued IDs, tax dec, and the BIR zonal value print-out so the notary can stamp the DAS “received” for DST purposes. |
| Pay notarial fees (usually ≈ ₱1 000 – ₱3 000). |
Time stamp matters: taxes are computed from the date of notarisation.
4. Taxes & deadlines (all counted from notarisation date)
| Tax/Fee | Rate | Who usually pays | Deadline | Penalty if late |
|---|---|---|---|---|
| Capital Gains Tax (CGT) | 6 % of the higher of (Selling Price / FMV / BIR Zonal Value) | Seller (contract may shift) | 30 days | 25 % surcharge + 12 % p.a. interest |
| Documentary Stamp Tax (DST) | 1.5 % of the same base | Both parties (often split) | File & pay via BIR Form 2000-OT within 5 days after month-end | Same as CGT |
| Local Transfer Tax | up to 0.50 % provinces / 0.75 % NCR | Buyer | 60 days (LGU ordinance controls) | 25 % surcharge + interest |
| Registration Fee (RD) | ≈ 0.25 % plus ₱30 entry fee | Buyer | Pay when lodging papers | Cannot be lodged without full payment |
What about proposed hikes? As of 15 May 2025, a congressional bill seeks to raise CGT, donor’s and estate tax rates to 10 % for 2025-2030, but it is still pending; the prevailing CGT remains 6 %. (BusinessWorld Online, Philstar)
5. BIR One-Time Transaction (ONETT) flow
Prepare the packet
- Notarised DAS (original & photocopies)
- TCT/CCT (owner’s duplicate)
- Latest Tax Declaration(s) – land & improvements
- IDs, TINs, SPA if needed
- Signed BIR Forms 1706 (CGT) & 2000-OT (DST)
- Documentary requirements per BIR ONETT checklist. (BIR Web Services)
File & pay at the RDO where the property is located (even if you e-file taxes elsewhere, per RMC 56-2024/133-2024).
Receive the Electronic Certificate Authorizing Registration (eCAR)
- eCAR has a barcode; valid 5 years. (Bir CDN)
- Processing time: targets 5-15 working days; delays if zonal valuation is disputed or documents incomplete.
6. Pay the Local Transfer Tax
Bring the eCAR, notarised DAS, official receipts for CGT & DST, latest tax dec and a Tax Clearance to the LGU Treasurer. You will receive an LGU Tax Transfer Receipt / Tax Clearance for Transfer.
7. Lodge with the Registry of Deeds
Submit in person or through a representative:
- eCAR (original, blue-barcoded)
- Owner’s duplicate title
- Original DAS + 2 photocopies
- LGU transfer tax receipt
- Latest tax dec & RPT clearance
- MRI Form for Deed of Sale (Land Registration Authority)
- Verified IDs & SPA
The RD examiner issues an Assessment Sheet; pay the registration fee at the cashier; obtain an Official Receipt (OR).
Processing time: 5-10 working days for ordinary transfers, per the LRA Citizen’s Charter. (Land Registration Authority)
You will receive:
- New TCT/CCT in the buyer’s name (owner’s duplicate).
- Certified copy for annotation to the LGU Assessor.
8. Update the Assessor’s Records & Real Property Tax
Take the new title and eCAR to the Municipal/City Assessor:
- Secure new Tax Declaration(s) in the buyer’s name.
- Present to the Treasurer so future RPT bills reflect the change.
- Enjoy any available discounts for advance payment (e.g., QC’s 20 % discount for paying the next year’s RPT before 31 Dec). (Quezon City Government)
9. Digital tools you can leverage
| Agency | Service | What it does |
|---|---|---|
| LRA eSerbisyo | Request CTC of title online and have it delivered. (eserbisyo.lra.gov.ph) | |
| LOTS (LRA Online Tracking System) | Track the status of your lodged documents at the RD. (lots.lra.gov.ph) | |
| QC e-Services / other LGU portals | Pay RPT and, in some LGUs, file Transfer Tax online. (Quezon City Government) |
10. Special situations & tax relief
| Scenario | Rule |
|---|---|
| Principal residence sold & proceeds reinvested within 18 months | CGT exemption under NIRC §24(D)(2). Deposit CGT in escrow, then apply for a BIR refund after the new house is bought. |
| Agricultural land | Need DAR Clearance & affidavit of landholding before RD will register. (Land Registration Authority) |
| Estate Sale | Estate Tax (6 %) must be settled; Tax Amnesty under RA 12001 is open until 5 July 2026 for unpaid RPT before 5 July 2024. (Baker McKenzie InsightPlus) |
| Sale by a corporation | Instead of CGT, use Creditable Withholding Tax (CWT) 15 % or 6 % depending on ordinary/capital asset classification. |
| Foreign buyers | May buy condominium units (not exceeding 40 % of project) but cannot own land, save through hereditary succession. |
11. Cost and timeline snapshot (typical Metro Manila sale at ₱3 000 000)
- CGT – ₱180 000
- DST – ₱45 000
- Transfer Tax (0.75 %) – ₱22 500
- Registration Fee (≈0.25 %) – ₱7 500
- Misc. & certification fees – ₱3 000-₱5 000
Total: ~₱258 000 or 8.6 % of the selling price, plus notarial fees. End-to-end timeline: 4–6 weeks if all documents are in order.
12. Common slip-ups to avoid
- Late CGT filing – 12 % interest can snowball quickly.
- Wrong RDO when filing ONETT – eCAR will be denied.
- Unreleased mortgage annotation – need a Deed of Release and cancellation fees.
- Unsigned tax declaration transfer – assessor won’t accept photocopies.
- Using an outdated zonal valuation – BIR will recompute and surcharge the difference.
13. Practical tips
- Get a Certified Tax Calculator from the RDO cashier before paying; it serves as proof if the BIR later reassesses.
- Photocopy everything (at least three sets) and have the BIR, LGU and RD stamp “RECEIVED”.
- Name consistency – exactly match aliases, middle names, and marital status across the DAS, ID, and title.
- Plan cash flow: taxes are front-loaded; registration fees are due only at the RD step.
- Track your documents online through LOTS; follow up if there is no movement after 10 working days.
Take-away
Transferring a land title in the Philippines is largely mechanical once you understand the sequence: Notarise → Pay taxes → Get eCAR → Pay LGU transfer tax → Register at RD → Update Assessor. Build in 8-10 % of the purchase price for taxes and fees, keep an eye on draft tax bills that may raise CGT, and leverage the BIR and LRA’s digital portals to shave days (and queues) off the process.
(This article is for general information only and is not a substitute for personalised legal advice. Always check the latest BIR, LGU and LRA issuances before filing.)