BIR extends eCAR validity indefinitely

Bureau of Internal Revenue (BIR) Commissioner Romeo D. Lumagui Jr. announced a significant update regarding the Electronic Certificate Authorizing Registration (eCAR).

Under the new Revenue Regulations No. 12-2024 (RR No. 12-2024), eCARs will now remain valid until presented to the Registry of Deeds (RD), effectively removing the previous five-year validity period.

Lumagui emphasized that this change aims to ease the process for taxpayers.

“The eCAR is now valid until its presentation to the Registry of Deeds. We have removed the 5-year validity period for the benefit of taxpayers. Under Bagong Pilipinas, the BIR will also be a service-oriented agency, not merely a collection-oriented one. Whatever we can do to help ease the burden of our taxpayers in paying their taxes, we will implement,” he said.

The eCAR, issued by the BIR, is essential for the Land Registration Authority (LRA) to transfer ownership of real properties following sales, donations, or other modes of transfer.

It serves as proof that the property transfer has been reported and all necessary taxes have been fully paid by the taxpayer.

Previously, the eCAR had a validity period of five years. If taxpayers failed to present the eCAR within this timeframe, they had to request its reissuance, causing additional burden.

With the introduction of RR No. 12-2024, this requirement has been abolished, ensuring that the eCAR remains valid indefinitely until presented to the appropriate RD.

This regulatory change is part of the BIR’s broader initiative to enhance taxpayer services and streamline processes. Lumagui invites the public to provide feedback on improving the tax system in the Philippines.

One of his key programs, Excellent Taxpayers Service, aligns with the Ease of Paying Taxes Act, aiming to simplify and improve the overall taxpayer experience.

The BIR’s efforts under Commissioner Lumagui’s leadership reflect a commitment to making tax compliance more convenient and less burdensome for all taxpayers in the Philippines.