QuestionsQuestions (LTO MEMORANDUM CIRCULAR NO. BGC-MC-01328)
It is imposed pursuant to Section 8 of R.A. 4136 as amended by R.A. 8794, and the Joint DPWH-DOTC IRR dated 16 August 2000; the MVUC is collected in lieu of the registration fees under R.A. 4136 (as amended by B.P. Blg. 74) for for-hire vehicles and in lieu of the Private Motor Vehicle Tax under E.O. 43 (as implemented through R.A. 8794).
Under Section 2(a) of the circular, MVUC may be used interchangeably with the term “registration fees” as prescribed under Section 8 of R.A. 4136 as amended.
MVUC is collected from and paid by the owner of every motor vehicle, whether for hire or private, including government motor vehicles.
“Aged private vehicles” refer to private passenger cars registered under the Private Motor Vehicles Tax Law (E.O. 43 in relation to R.A. 8794) and are subject to aging based on the vehicle’s age. “Ageless private and government vehicles” refer to motor vehicles registered under Section 3(b) of R.A. 8794 without any age, i.e., no aging is applied.
It includes utility vehicles (CBU/SKD/CKD) that are model 1991 or later, with imported machine-cast body shell, designed primarily for transporting persons (not used primarily for freight/cargo), and having characteristics/features similar to a car; the circular lists examples (e.g., Pajero/Montero, Land Cruiser, CR-V, etc.). Models 1990 or earlier are taken as ordinary UV.
1) Local Pick-ups (locally manufactured utility vehicles with cut-and-weld type of body, backyard assembled/rebuilt—often owner-type jeepney-style designs). 2) Imported Pick-ups (imported light automotive vehicles—CBU/SKD/CKD—used to carry passengers and/or transport goods). 3) Imported Passenger Van/Wagon (imported commuter vehicles with rear/side doors and panels for transporting people, not used primarily to carry cargo).
The schedule provides a base rate plus increments: +25% for 2001, +50% for 2002, +75% for 2003, and +100% for 2004 and thereafter (effective from January 1 of the stated year).
Passenger cars are classified by GVW: LIGHT (up to 1600 kg), MEDIUM (1601–2300 kg), and HEAVY (>2300 kg). Within each, the circular provides current vs over-5-years old (or other age brackets for medium) and corresponding MVUC amounts that change by year (base, plus the schedule increases).
The note states that aging pursuant to E.O. 43 ceases upon the effectivity of the law; thus, the base rate is treated as the EO 43 rate at the age of the vehicle upon effectivity of the annual increase under the IRR (covering 2001–2004).
Because these vehicles are registered “without any age,” the circular treats them as “ageless,” meaning no aging schedule is applied; MVUC uses the specified amounts under the ageless categories for passenger cars, utility vehicles, SUVs, motorcycles, and other types as enumerated.
No. For-hire vehicles are stated to have heretofore no aging for MVUC; thus, they are treated as “agelessa” in the circular’s discussion (i.e., no aging concept is applied to for-hire vehicles’ MVUC).
The collectible MVUC including the axle overloading penalty is rounded off to the nearest five pesos (P=5.00). Amounts up to P2.50 round down to P00.00, while amounts from P2.50 round up to P5.00.
They are charged an annual recording fee of P500.00, except those specifically endorsed by the Department of Foreign Affairs as specifically free from payment under the applicable international treaties/agreements.
All motor vehicles (except motorcycles) exclusively used and operated on private roads are subject to a recording fee of P500.00, for which stickers in lieu of regular plates are issued corresponding to the year of recording. Such vehicles are not required to be physically brought to the LTO for recording and are not required to be covered by compulsory vehicle insurance (as stated in the circular).
The existing staggered monthly registration regulations under AO No. 3 (as amended by AO No. 84-DIR-003, Circular 84 C-DIR-009, and Memorandum Circular 85-051) remain in effect except as to the amount of the penalty prescribed in Section 6.
For passenger cars, RGVW equals the shipping weight plus the total number of passengers computed at 70 kilograms per passenger. For other types (including trucks, buses, ambulances, funeral hearses, owner-type jeeps/jeepneys, truck tractors, trailers, etc.), it directs to Sections 5 to 11 of Circular No. 71 (01 January 1981).
It is required for extraordinary motor vehicles not listed in the Table of Maximum Allowable Gross Weight (Annex A-A) and/or those exceeding the maximum allowable GVW corresponding thereto, subject to DPWH-DOTC-DILG Joint Order regulations on extraordinary vehicles eligible for registration.
(1) Delinquent registration beyond the month indicated by the last digit of the plate number: owners pay 50% of the MVUC rates specified, plus P200.00 for all motor vehicles except MC/TC; P100.00 for MC/TC beyond the week indicated by the middle digit of the plate number, consistent with cited LTO regulations. For delinquency beyond one year or apprehension: all delinquent years plus 50% per annum penalty are imposed and the current year is collected; additional 50% is levied if the period to register based on the plate’s last digit is already over during the current year. (2) Axle overloading: trucks and trailers face a penalty equivalent to 25% of MVUC at the time of infringement for loading beyond registered GVW, waived if the excess is less than 5%; no vehicle may proceed if any dual-wheel axle exceeds 13,500 kg or if vehicle load exceeds 150% of maximum allowable GVW.
It takes effect after fifteen (15) days following receipt of three (3) copies by the Office of the National Administrative Register (ONAR, U.P. Law Center, Diliman, Quezon City) and its publication in two (2) newspapers nationwide of general circulation.