BIR Ruling No. 274-2016

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE

Quezon City

Sec.24(D1NIRC

BIR Ruling No.204-2013

#274-2016 6-22-2016

Baguio City No. 90 Purok 8, Upper Pinget AGUSTINA D. LEMYAEN

Madam:

registration of a Voluntary Partition between you (Ms. Lemyaen) and the other co-owners exemption from payment of Capital Gains Tax and Documentary Stamp Tax on the of a parcel of land This refers to your letter dated November 18, 2014 wherein you requested for

shares are as follows: land registered in the names of Arturo Calubad and Antonio Keh which is covered by Transfer Certificate of Title (TCT) No. It is represented that Ms. Lemyaen together with other individuals agreed to buy a their respective individual

NAMES AREA(in sq.m.)

TERESA S.LUIS 200 RAMON S. LUIS 40 JOVITA P.SANTIAGO 200

ESTEBAN W.SAPDOY RANIELS.LUIS 200 400

AGUSTINA D.LEMYAEN 1912

ROWIN ZARAEL LEMYAEN DANILO C. MANGIGIL, JR ALEJO D.BESTOG 40 200 200

FRANKIE D.SUVILLA DOMINGA P.BAKIDAN JANICE M. CATANGLAN MERIAM P.LANGCAO BOYLE M.LANGCAO GERALYN A. DONGLA AIDA P.PATI DOMINGA W.BARBA 20 20 200 400 200 200 200 600

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NORMA L.GUIMTE PERRY A.LIWANEN LILY A.TALAWEC DICK P.ELISEO 200 200 200 200

ARLYN P.BESTOG FRANCISCO B.BARBA JR JOYCE P.AGUILAN MARY TERESA A. LAUS ALFREDO MANGIGIL ARNEL B.PABLO CECILIA E.DANGLOS ROMMELA.SAPDOY ANTONIO A.PALICAS NORVELITA A.LOGRONIO REGINA B.FEDERICO TECLA L.PADSOYAN ELISOLP.LAO-AY 200 200 135 20 40 200 200 200 354 200 200 200 200

just to sign the deed of sale and other pertinent documents. the aforementioned individuals (trustors) agreed to appoint two of them in the persons of Agustina D. Lemyaen and Alejo D. Bestog (trustees) to be named as vendees in deed of sale so as to avoid inconvenience and expenses for the others to be travelling to Manila It is further represented that for their convenience in transacting with the vendors.

contract of voluntary partition was executed by the co-owners. executed with Ms. Lemyaen and Mr. Bestog as vendees. As a consequence, a new title the trustee was registered with the Registry of Deeds after the new Transfer Certificate of Title was issued in the name of Ms.Lemyaen and Mr.Bistog.On November 16,2014.a TCT On February 7, 2014. a Deed of Absolute Sale covering the same TCT was was issued to the vendees. The agreement between the trustors and

In reply thereto, please be informed as follows:

under Section 24 (D) (1) of the National Internal Revenue Code of 1997, as amended, (NIRC) considering that the transfer is not for monetary consideration but merely acknowledges and confirms the title and ownership over the above-mentioned properties of the trustors. (trustee), in favor of the other co-owners (trustors), the beneficial owners thereof, to be effected through a Deed of Voluntary Partition is not subject to capital gains tax imposed The transfer of title over the aforesaid property by Ms. Lemyaen and Mr. Bestog

Lemyaen and Mr. Bestog, and the other co-owners, whereby the former will convey to the latter the above-mentioned property without monetary consideration is likewise not Finally, the Deed of Voluntary Partition executed by and between the trustees Ms.

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subject to the documentary stamp tax imposed under Section 196 of the NIRC. However. the notarial acknowledgment is subject to the documentary stamp tax of P15.00 under Section 188, supra.

However. if upon investigation, it will be disclosed that the facts are different, then this This ruling is being issued on the basis of the foregoing facts as represented.

ruling shall be considered null and void.

Very truly yours.

KIM S.JACINTO-HENARES Commissioner of Internal Revenue

K-1-VCC 942168 JUN 1 7 2016

Trust-bestog