Is BIR ruling madatory for the transfer of title over common areas of condominium?

Under RMO No.18-2009 dated April 26, 2009, BIR Ruling previously required before a Certificate Authorizing Registration (CAR) is issued for the transfer by real state developers to the condominium corporation under RA 4726 of titles over common areas IS NO LONGER REQUIRED.

This is based on the legal mandate of RA No. 4726 or the Condominium Act that titles over common areas of condominiums shall be placed in the name of the condominium corporation composed of unit owners of the same condominium.

By this new procedure, real property developers will experience a more simpler procedure as the headaches of securing a BIR Ruling is being dispensed with. This will likewise lessen the workload of the BIR on BIR rulings and they are expected to concentrate more on other ruling areas where tons of applications are filed and pending, thereby counting months and months, if not years to get a BIR Ruling released.


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Posted in: BIR ruling,common area,condominium,RA No. 4726