A documentary-stamp transfer tax is a form of tax imposed by the government on specific transactions or property transfers. It serves as a means for the government to generate funds for public necessities. Taxes can be paid in various forms, not limited to monetary payment. An accrued tax refers to a tax that has been accumulated but remains unpaid. An accumulated-earnings tax is a penalty tax enforced on a corporation that has retained its earnings to evade income-tax obligations. An admission tax is a tax included in the cost of entry to a specific event.
A documentary-stamp transfer tax is a government-imposed tax on specific property transfer transactions, typically paid by the buyer or seller based on the property’s value. For instance, when purchasing a house, you may need to pay this tax, and the same applies when selling a car. This tax is directly tied to the property’s value and is a mandatory charge for certain property transfer transactions.
Documentary-Stamp Transfer Tax is a tax imposed on the sale, donation, or transfer of real property or shares of stock in the Philippines.
The buyer or transferee is generally responsible for paying the Documentary-Stamp Transfer Tax.
The Documentary-Stamp Transfer Tax is computed based on the selling price or fair market value of the property or shares of stock being transferred.
Yes, certain transfers, such as those involving government entities, charitable institutions, and certain family transfers, may be exempt from paying the Documentary-Stamp Transfer Tax.
The Documentary-Stamp Transfer Tax is due upon the execution of the deed of sale or transfer.
Failure to pay the Documentary-Stamp Transfer Tax may result in penalties, interest, and potential legal consequences.
No, the Documentary-Stamp Transfer Tax cannot be included in the purchase price. It must be paid separately.
No, the Documentary-Stamp Transfer Tax is generally non-refundable, even if the sale or transfer does not push through.
No, the Documentary-Stamp Transfer Tax must be paid in full upon the execution of the deed of sale or transfer.
No, the Documentary-Stamp Transfer Tax is not deductible as an expense for tax purposes.
This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.
This glossary post was last updated: 17th April 2024.
To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.
- Page URL:https://dlssolicitors.com/define/documentary-stamp-transfer-tax/
- Modern Language Association (MLA):Documentary-Stamp Transfer Tax. dlssolicitors.com. DLS Solicitors. May 09 2024 https://dlssolicitors.com/define/documentary-stamp-transfer-tax/.
- Chicago Manual of Style (CMS):Documentary-Stamp Transfer Tax. dlssolicitors.com. DLS Solicitors. https://dlssolicitors.com/define/documentary-stamp-transfer-tax/ (accessed: May 09 2024).
- American Psychological Association (APA):Documentary-Stamp Transfer Tax. dlssolicitors.com. Retrieved May 09 2024, from dlssolicitors.com website: https://dlssolicitors.com/define/documentary-stamp-transfer-tax/
Our team of professionals are based in Alderley Edge, Cheshire. We offer clear, specialist legal advice in all matters relating to Family Law, Wills, Trusts, Probate, Lasting Power of Attorney and Court of Protection.
All author posts