Republic of the Philippines
Congress of the Philippines
Metro ManilaThirteenth Congress
Second Regular SessionBegun and held in Metro Manila, on Monday, the twenty-fifth day of July, two thousand and five.
Republic Act No. 9343
AN ACT AMENDING REPUBLIC ACT NO. 9182, OTHERWISE KNOWN AS THE SPECIAL PURPOSE VEHICLE ACT OF 2002 FOR THE PURPOSE OF ALLOWING THE ESTABLISHMENT AND REGISTRATION OF NEW SPVs AND FOR OTHER PUPOSES
Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
SECTION 1. Section 6 of Republic Act No. 9182 is hereby amended to read as follows:
"SEC. 6. Period for filing of Applications. - Applications for the establishment and registration of an SPV shall be filed with the Commission within eighteen (18) months from the date of effectivity of this amendatory Act."
SECTION 2. Section 15 of the same Act is hereby amended to read as follows:
"SEC. 15. Tax Exemptions and Fee Privileges. – Any existing law to the contrary notwithstanding the transfer of NPAs from the...
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Republic Acts
AN ACT AMENDING REPUBLIC ACT NO. 9182
Republic Act No. 9343
Summary of Republic Act No. 9343 Amending the Special Purpose Vehicle Act of 2002
Period for Filing Applications
- Applications for the establishment and registration of a Special Purpose Vehicle (SPV) shall be filed with the Commission within eighteen (18) months from the date of effectivity of this amendatory Act. (Section 1)
Tax Exemptions and Fee Privileges
- The transfer of Non-Performing Assets (NPAs) from Financial Institutions (FIs) to an SPV, and from an SPV to a third party or dation in payment (dacion en pago) by the borrower or a third party in favor of an FI or SPV shall be exempt from the following taxes: (Section 2)
- Documentary stamp tax on the transfer of NPAs and dation in payment.
- Capital gains tax on the transfer of lands and/or other assets treated as capital assets.
- Creditable withholding income taxes on the transfer of land and/or buildings treated as ordinary assets.
- Value-added tax or gross receipts tax on the transfer of NPAs.
- The following fees shall be reduced by 50%: (Section 2)
- Mortgage registration and transfer fees on the transfer of real estate mortgage and chattel mortgage registrations to and from the SPV.
- Filing fees for any foreclosure initiated by the SPV in relation to any NPA acquired from an FI.
- Land registration fees prescribed under the existing circulars of the Land Registration Authority (LRA).
- The tax exemptions and fee privileges shall be applicable for the following periods: (Section 2)
- Sales or transfers of NPAs from FIs to an SPV or transfers by way of dation in payment by the borrower or a third party to the FI shall be entitled to the privileges for not more than two (2) years from the date of effectivity of this amendatory Act.
- Transfers from an SPV to a third party of NPAs acquired by the SPV within the two-year period or transfers by way of dation in payment by a borrower to the SPV shall enjoy the privileges for not more than five (5) years from the date of acquisition by the SPV.
- Properties acquired by an SPV from government financial institutions (GFIs) or government-owned and controlled corporations (GOCCs) which are devoted to socialized or low-cost housing shall not be converted to other uses.
- The tax exemptions, incentives, and fee privileges shall also be extended to individuals under the following conditions: (Section 2)
- The transaction is limited to a single family residential unit Real and Other Properties Acquired (ROPOA) or Non-Performing Loan (NPL) secured by real estate mortgage on a residential unit.
- There shall only be one transaction consisting of one residential unit per individual.
- The two-year transfer and the five-year entitlement period granted to NPAs shall also apply to the single family residential unit.
- The Act includes a separability clause, a repealing clause for inconsistent laws, and an effectivity clause stating that it shall take effect fifteen (15) days following its complete publication in the Official Gazette or in at least two newspapers of general circulation. (Sections 3-5)
Period for Filing Applications
- Applications for the establishment and registration of a Special Purpose Vehicle (SPV) shall be filed with the Commission within eighteen (18) months from the date of effectivity of this amendatory Act. (Section 1)
Tax Exemptions and Fee Privileges
- The transfer of Non-Performing Assets (NPAs) from Financial Institutions (FIs) to an SPV, and from an SPV to a third party or dation in payment (dacion en pago) by the borrower or a third party in favor of an FI or SPV shall be exempt from the following taxes: (Section 2)
- Documentary stamp tax on the transfer of NPAs and dation in payment.
- Capital gains tax on the transfer of lands and/or other assets treated as capital assets.
- Creditable withholding income taxes on the transfer of land and/or buildings treated as ordinary assets.
- Value-added tax or gross receipts tax on the transfer of NPAs.
- The following fees shall be reduced by 50%: (Section 2)
- Mortgage registration and transfer fees on the transfer of real estate mortgage and chattel mortgage registrations to and from the SPV.
- Filing fees for any foreclosure initiated by the SPV in relation to any NPA acquired from an FI.
- Land registration fees prescribed under the existing circulars of the Land Registration Authority (LRA).
- The tax exemptions and fee privileges shall be applicable for the following periods: (Section 2)
- Sales or transfers of NPAs from FIs to an SPV or transfers by way of dation in payment by the borrower or a third party to the FI shall be entitled to the privileges for not more than two (2) years from the date of effectivity of this amendatory Act.
- Transfers from an SPV to a third party of NPAs acquired by the SPV within the two-year period or transfers by way of dation in payment by a borrower to the SPV shall enjoy the privileges for not more than five (5) years from the date of acquisition by the SPV.
- Properties acquired by an SPV from government financial institutions (GFIs) or government-owned and controlled corporations (GOCCs) which are devoted to socialized or low-cost housing shall not be converted to other uses.
- The tax exemptions, incentives, and fee privileges shall also be extended to individuals under the following conditions: (Section 2)
- The transaction is limited to a single family residential unit Real and Other Properties Acquired (ROPOA) or Non-Performing Loan (NPL) secured by real estate mortgage on a residential unit.
- There shall only be one transaction consisting of one residential unit per individual.
- The two-year transfer and the five-year entitlement period granted to NPAs shall also apply to the single family residential unit.
- The Act includes a separability clause, a repealing clause for inconsistent laws, and an effectivity clause stating that it shall take effect fifteen (15) days following its complete publication in the Official Gazette or in at least two newspapers of general circulation. (Sections 3-5)