3-Year Registration for New Motor Vehicles

Republic Act No. 4136 (as amended) provides the statutory authority under Section 4 (d) [1], Article III, Chapter I for the issuance of these implementing rules.
Batas Pambansa Bilang 74 provides authority under Section 5 for these implementing rules.
Administrative Order No. 010-2005 dated 03 January 2005 establishes the initial registration scheme for brand new motor vehicles valid for three (3) years.
Republic Act No. 8794 governs collection of the Motor Vehicle User’s Charge (MVUC) for registration.
Administrative Order No. 86AO-006 governs renewal through the revised staggered registration system.
The circular references the LTO IT Project Build-Operate-Own (BOO) Agreement for collection of a computer fee.

The circular is issued to guide all concerned in compliance with the three (3)-year initial registration scheme for covered vehicles.
Covered vehicles include brand new motor vehicles manufactured, assembled, imported, distributed, and sold by CAMPI, TMA, MDPPA, and other LTO accredited entities.
Covered vehicles include brand new motor vehicles regardless of classification.
Covered vehicles include motorcycles with engine displacement of above 200 cc.
Motorcycles with engine displacement of 200 cc and below are excluded from this circular’s coverage.

Brand New Motor Vehicles refers to new and unregistered motor vehicles manufactured, assembled, imported, distributed, and/or sold by corporations or companies that are members of CAMPI, TMA, MDPPA, and other LTO accredited entities, regardless of classification.
Classification refers to the four (4) classifications of motor vehicles: private, for hire, government, and diplomatic.
CAMPI refers to the Chamber of Automotive Manufacturers of the Philippines, Inc.
TMA refers to the Truck Manufacturers Association.
MDPPA refers to the Motorcycle Development Program Participants Association.
Motorcycles refer to motorcycles with engine displacement of above 200 cc.

LTO accredited members of CAMPI, TMA, MDPPA (or their authorized/franchised dealers) and other LTO accredited entities must submit to the LTO Central Office or Regional Office:
- Sales Report,
- Original Sales Invoice, and
- Stencils of the engine and chassis/frame numbers for sales reporting.
For registration of a new covered motor vehicle, the following documents must be submitted to the LTO District Office:
- Authenticated Sales Invoice
- Copy of the Certificate of Stock Reported (CSR)
- PNP-TMG Clearance
- Certification of Quality Control by the manufacturers/assemblers/importers that the subject motor vehicles passed smoke emission and roadworthiness tests
- Appropriate Insurance Policy with validity period of three (3) years
- Certificate of Conformity (COC) issued by DENR
- Valid MVIR for identification.

Registration of covered vehicles requires collection of the Motor Vehicle User’s Charge imposed under Republic Act No. 8794 from the owner(s) of the covered vehicle(s).
For covered vehicles, the minimum collection is for three (3) years and the maximum collection is for three and three fourth (3 3/4) years, depending on the ending of the MV Plates to be issued.
Initial registration of motor vehicles excluded from this circular follows a different MVUC range: minimum one (1) year and maximum one and three fourth (1 3/4) years, depending on the ending of the plate issued.
The penalty for late registration is fifty percent (50%) of the basic one (1) year MVUC FEE.
The reckoning date for late registration is seven (7) working days from the date on the invoice.

Renewal of registration must follow Administrative Order No. 86AO-006 on the Revised Staggered Registration based on the Plate Number issued.
The year validity tags issued by LTO during initial registration are valid for three (3) years.
If there is a change classification within the three (3) year period that results in a higher collectible MVUC FEE, LTO shall collect an additional MVUC FEE.
No refund is allowed when a change classification results in a lower MVUC FEE.
No refund is allowed if the vehicle becomes inactive or is placed on storage.

For registration valid for three (3) years, a computer fee of P132.00 including VAT must be collected pursuant to the LTO IT Project Build-Operate-Own (BOO) Agreement.

If covered motor vehicles are apprehended within the three (3) year period of initial registration for violations attributable to the vehicle (including smoke-belching or non-roadworthiness), the vehicle must still undergo the accessory penalty or penalties involving passing the Motor Vehicle Inspection and/or Emission Tests.

All memoranda, circulars, and orders in conflict with LTO Memorandum Circular No. 575-2005 are superseded and/or repealed accordingly.