WHERE TO PAY DONOR'S TAX?

Remember this post?

Apparently, the BIR released RMC 56-2024 last April 17, clarifying where to pay relevant taxes depending on the type of transaction. Here's the summary:

Sale of real property - RDO of Property

Sale of personal property - RDO of seller's residence

Donation by Individual - RDO of Donor's residence

Donation by Corp - RDO where Donor is registered

Estate Settlement - Best to read the memo; it's a bit long

So in my post last March 15, the answer should be RDO-40 (Cubao), which is the location of the Donor's house (not where he was registered). In other words, the advice of the examiners was WRONG.

In any case, we still received the BIR CAR, so all's good.

The takeaway here is this: don't assume that the BIR examiners are aware of all the published circulars (An ex-BIR employee told us this). Sometimes, it would help to have these circulars on hand to (respectfully) clarify matters.

Hope this clears things up.