BIR Clarifies Policy on Antedating Deeds of Sale Involving Real Properties

On 28 May 2024, the Bureau of Internal Revenue (“BIR”) issued Revenue Memorandum Circular No. 64-2024 providing the policy to be followed in case of antedated deeds of sale involving real properties. 

In case of delay in the presentation of notarized deeds of sale or other transfer documents, the laws and regulations on the kind of tax, rate of tax, zonal or fair market values, effective at the date of notarization shall be applied, with the imposition of corresponding penalties and interest for late filing of return and payment of taxes.

On the other hand, where the deeds of sale or other transfer documents are antedated, the laws and regulations effective at the time of presentation of the documents shall be applied.

A deed of sale or transfer document may be considered antedated in the following instances:

1. Documents dated before the effectivity of the capital gains tax law;
2. Documents dated before the effectivity of the regulations imposing the creditable withholding tax on sales or transfers of real property; and
3. Documents dated before the effectivity of the current zonal values as reflected in the latest Revised Schedules of Zonal Values of Real Properties within the jurisdiction of the concerned Revenue District Office.

In order to show that there is no antedating of public instruments, the taxpayer may submit documents such as, but not limited to cancelled checks, invoices, contracts to sell, or certifications from the appropriate Clerk of Court or Executive Judge, or the National Archives of the Philippines.