P25M in real estate revenues lost to fake electronic registration

AROUND P25 million in real estate property taxes has been lost due to the proliferation of fake Electronic Certificate Authorizing Registration (e-CAR) in Cebu City.

Lawyer Eleodoro Diaz IV, officer-in-charge of the City Assessor’s Office, said he discovered the proliferation of fake e-CARs. They are meant to avoid payment of taxes before the Bureau of Internal Revenue (BIR).

Diaz said an e-CAR is issued by the BIR as proof that one has paid either the capital gains tax, donor’s tax, estate tax or documentary tax.

It is also one of the requirements to be submitted to the Registry of Deeds to support the transfer of title of a property to the new owner.

It is also one of the requirements at the Local Assessor’s Office to transfer the tax declaration to the new owner.

If there will be no payment of taxes through the e-CAR, the City’s share of the internal revenue allotment (IRA) might decrease, Diaz said.

“Most of the payment in BIR will go to the IRA and it might lessen our share if there will be no collection,” he said.

So far, they suspect that 15 e-CARs submitted to their office were fake, said Diaz.

The BIR can verify the authenticity of an e-CAR through its serial number.

Diaz said their office received complaints that fake e-CARs were issued and they are now investigating two City Hall employees who might be responsible for them.

If found guilty, these employees will face administrative sanctions.

He said their office has intensified its efforts to get rid of “cheaters” in the government, particularly on taxes.

“Mayor Tomas Osmeña really wants to get rid of tax cheaters because this affects the city’s share in the IRA,” he said.

Diaz warns the public to ensure that the documents and tax declaration they are submitting are true and genuine. (RVC)

Trending

No stories found.

Just in

No stories found.

Branded Content

No stories found.
SunStar Publishing Inc.
www.sunstar.com.ph