Law Summary

Scope of the Memorandum

• This Memorandum Circular pertains exclusively to motor vehicles and components reported by Manufacturers, Assemblers, Importers, and Dealers (MAID) that have been manually processed and are not yet included in the Land Transportation Office (LTO) IT system.

• Key Definitions:

  • MAID: Manufacturers, Assemblers, Importers, and Dealers of motor vehicles and components.

• Important Timeframes:

  • Reports filed prior to July 2002 are included.
  • Reports filed between July 1, 2004, and February 14, 2005, are included, due to a reversion to manual processing because of IT Fee issues.

• Exclusions:

  • Excludes motor vehicles/components as specified in Memorandum Circular No. 542-2004, particularly those defined under item 4.1.b relating to sales invoices received prior to July 8, 1988.

Procedures for Sales Evaluation

• Sales evaluations for the specified units must be conducted either at the Registration Section, Central Office, or at the regional offices where the affected MAID's report was filed.

• Requirements:

  • The MAIDRS evaluator must:
    • Legibly indicate their name or username.
    • Record the date the units were verified and the transaction was docketed.
    • Provide signatures from both the evaluator and the approving officer.
  • The evaluator must stamp “certified true copy” and sign the transmittal report.

Acceptance of Evaluated/Validated Sale's Transaction

• At the LTO District Offices, the following must be ensured for acceptance:

  • The sale's invoice must:
    • Bear the name and signature of the MAIDRS evaluator.
    • Indicate the date when the transaction was recorded.
    • Include the signature of the concerned approving officer.
  • A certified true copy of the unit's transmittal report must accompany the sale's invoice, along with a payment of Forty Pesos (Php 40.00) for authentication, plus LRF.

• Initial Encoding:

  • Initial encoding of these units is now conducted at the LTO district office rather than the Registration Section or regional offices, utilizing the existing system's facilities.

Implementation and Compliance

• This Order is effective immediately and mandates strict compliance.
• All previous orders and memoranda conflicting with this Circular are superseded.

Key Takeaways

• The Circular outlines the evaluation and acceptance procedures for motor vehicles/components not yet in the LTO IT system.
• Clear documentation and authentication requirements are established for sales transactions.
• The responsibilities of MAIDRS evaluators and MV evaluators at LTO district offices are detailed to ensure compliance with the new procedures.
• Immediate effectivity and the supersession of prior conflicting orders emphasize the urgency of adherence to the outlined processes.