If you have experienced transferring certificates of land title before, you probably have been told to wait seven, 10, or, in some cases, even 30 days to come back for you Certificate Authorizing Registration (“CAR”). [If you haven’t, the CAR is a very important document issued by the BIR to confirm that you or the taxpayer that you represent has already paid liable for the taxes due on the transfer.]  

It’s frustrating, right?

But, did you know that getting  your CAR should actually just take five days upon submission of complete documentary requirements!

BIR Revenue Memorandum Order (RMO) No. 41-2016 provides that CARs “covering transactions on sale of real property, transfer or assignment of stocks not traded in the stock exchange(s), transfers subject to donor’s tax, estate tax, and other taxes including documentary stamp tax related to the sale or transfer of properties”should “be issued within five (5) days from the submission of complete documentary requirements.”

Officers and employees of the BIR found in violation of this directive is subject to administrative and criminal penalties enumerated under Republic Act 9485, otherwise known as the “Anti-Red Tape Act of 2007” (“ARTA”).

Below is a copy of RMO No. 41-2016.

So, the next time a BIR personnel tells you to come back after more than five days for your CAR, show her this RMO and politely ask her if you can come back after five days instead so she doesn’t have to be administratively and criminally be liable for violating the ARTA.