Question & AnswerQ&A (QUEZON CITY ORDICE NO. SP-2378, S-2014)
The main purpose of Quezon City Ordinance No. SP-2378, s-2014 is to grant exemption from payment of transfer tax pursuant to the Quezon City Revenue Code to registered senior citizens of Quezon City concerning the sale of residential real properties registered under their names within the city's territorial jurisdiction.
A 'Registered Senior Citizen' is a resident natural citizen of the Philippines, at least 60 years old, who holds domicile within Quezon City's jurisdiction and is duly registered with the Quezon City Office of the Senior Citizens Affairs (OCOSCA).
It defines 'Residential Real Properties' as house and lot classified as principal residence within Quezon City, primarily devoted to habitation of natural persons for at least ten years, as certified by the Barangay Captain where the property is situated.
The ordinance exempts principal residential real properties registered under registered senior citizens' names from the payment of transfer tax on the sale within Quezon City, as imposed under the Quezon City Revenue Code.
The sale of the residential property must be for the purpose of acquiring or constructing a new principal residence within eighteen (18) calendar months from the date of sale of the said property.
The exemption can only be availed of once every ten (10) years.
If not fully utilized within eighteen months, the said residential real property shall be subject to the transfer tax imposed under the Quezon City Revenue Code.
The residential property must have a zonal value or consideration of sale not exceeding Five Million Pesos (Php 5,000,000.00), whichever is higher.
The exemption shall be proportionately reduced according to the corresponding interest or share of the senior citizen in the residential real property owned in common.
The residential real property must be free from any deficiency taxes imposed on it to qualify for the exemption.
The ordinance took effect fifteen (15) days after its publication in a newspaper of general circulation following its approval.
The exemption is granted under the authority of Section 192 of Republic Act No. 7160, the Local Government Code of 1991, which allows LGUs to grant tax exemptions through duly approved ordinances.