Question & AnswerQ&A (Republic Act No. 9343)
Republic Act No. 9343 is an act amending Republic Act No. 9182, known as the Special Purpose Vehicle Act of 2002, allowing the establishment and registration of new Special Purpose Vehicles (SPVs) and providing other related provisions.
Applications for the establishment and registration of an SPV must be filed with the Commission within eighteen (18) months from the date of effectivity of the amendatory Act.
Transfers of NPAs from the Financial Institution (FI) to an SPV, and from an SPV to a third party or by way of dation in payment (dacion en pago) by the borrower or a third party in favor of an FI or SPV, are exempt from documentary stamp tax, capital gains tax, creditable withholding income taxes, and value added tax or gross receipts tax as applicable.
The Act grants a 50% reduction on applicable mortgage registration and transfer fees, filing fees for foreclosure initiated by the SPV, and land registration fees prescribed by the Land Registration Authority (LRA).
The tax exemptions and privileges apply for not more than two (2) years from the date of effectivity of the amendatory Act for transfers from FIs to an SPV.
Transfers from an SPV to a third party of NPAs acquired within the two-year period enjoy the tax exemptions and fee privileges for a period of not more than five (5) years from the date of acquisition by the SPV.
Yes. Properties acquired by an SPV from GFIs or GOCs devoted to socialized or low-cost housing shall not be converted to other uses.
Yes, these privileges are extended to individuals under the Implementing Rules and Regulations (IRR), limited to a single family residential unit ROPOA or NPL assured by real estate mortgage, one transaction per individual, and the same two-year and five-year periods apply.
The Separability Clause provides that if any provision is declared unconstitutional, the remaining provisions shall remain in full force and effect.
The Act took effect fifteen (15) days following its complete publication in the Official Gazette or in at least two newspapers of general circulation.