Article 72p. 72

NATIONAL INTERNAL REVENUE CODE TAXATION, TARIFF and CUSTOMS LAWS

deliver to the buyer, and a copy thereof furnished the

corporation, company or association which issued the

stocks or other securities. Upon receipt of the copy of the

bill of sale, the corporation, company or association shall

make the corresponding entry in its books, transfer the

stocks or other securities sold in the name of the buyer,

and

issue,

if

required

to

do

so,

the

corresponding

certificates of stock or other securities.

Any residue over and above what is required to pay the

entire claim, including expenses, shall be returned to the

owner of the property sold. The expenses chargeable

upon each seizure and sale shall embrace only the actual

expenses of seizure and preservation of the property

pending the sale, and no charge shall be imposed for the

services of the local internal revenue officer or his deputy.

SEC. 210. Release of Distrained Property Upon Payment

Prior to Sale. - If at any time prior to the consummation

of the sale all proper charges are paid to the officer

conducting the sale, the goods or effects distrained shall

be restored to the owner.

SEC. 211. Report of Sale to Bureau of Internal Revenue. -

Within two (2) days after the sale, the officer making the

same shall make a report of his proceedings in writing to

the Commissioner and shall himself preserve a copy of

such report as an official record.

SEC.

212.

Purchase

by

Government

at

Sale Upon

Distraint. - When the amount bid for the property under

distraint is not equal to the amount of the tax or is very

much less than the actual market value of the articles

offered for sale, the Commissioner or his deputy may

purchase the same in behalf of the national Government

for the amount of taxes, penalties and costs due thereon.

Property

so

purchased

may

be

resold

by

the

Commissioner or his deputy, subject to the rules and

regulations prescribed by the Secretary of Finance, the

net proceeds therefrom shall be remitted to the National

Treasury and accounted for as internal revenue.

SEC. 213. Advertisement and Sale. - Within twenty (20)

days after levy, the officer conducting the proceedings

shall proceed to advertise the property or a usable

portion thereof as may be necessary to satisfy the claim

and cost of sale; and such advertisement shall cover a

period of a least thirty (30) days. It shall be effectuated by

posting a notice at the main entrance of the municipal

building or city hall and in public and conspicuous place

in the barrio or district in which the real estate lies and by

publication

once

a

week

for

three

(3)

weeks

in

a

newspaper of general circulation in the municipality or

city where the property is located. The advertisement

shall contain a statement of the amount of taxes and

penalties so due and the time and place of sale, the name

of the taxpayer against whom taxes are levied, and a

short description of the property to be sold. At any time

before the day fixed for the sale, the taxpayer may

discontinue all proceedings by paying the taxes, penalties

and interest. If he does not do so, the sale shall proceed

and shall be held either at the main entrance of the

municipal building or city hall, or on the premises to be

sold, as the officer conducting the proceedings shall

determine and as the notice of sale shall specify.

Within five (5) days after the sale, a return by the

distraining or levying officer of the proceedings shall be

entered upon the records of the Revenue Collection

Officer, the Revenue District officer and the Revenue

Regional Director. The Revenue Collection Officer, in

consultation with the Revenue district Officer, shall then

make out and deliver to the purchaser a certificate from

his

records,

showing

the

proceedings

of

the

sale,

describing the property sold stating the name of the

purchaser and setting out the exact amount of all taxes,

penalties and interest: Provided, however, That in case the

proceeds of the sale exceeds the claim and cost of sale,

the excess shall be turned over to the owner of the

property.

The Revenue Collection Officer, upon approval by the

Revenue

District

Officer

may,

out

of

his

collection,

advance an amount sufficient to defray the costs of

collection by means of the summary remedies provided

for

in

this

Code,

including

the

preservation

or

transportation in case of personal property, and the

advertisement and subsequent sale, both in cases of

personal

and

real

property

including

improvements

found on the latter. In his monthly collection reports, such

advances shall be reflected and supported by receipts.

SEC. 214. Redemption of Property Sold. - Within one (1)

year from the date of sale, the delinquent taxpayer, or any

one for him, shall have the right of paying to the Revenue

District Officer the amount of the public taxes, penalties,

and interest thereon from the date of delinquency to the

date of sale, together with interest on said purchase price

at the rate of fifteen percent (15%) per annum from the

date of purchase to the date of redemption, and such

payment shall entitle the person paying to the delivery of

the certificate issued to the purchaser and a certificate

from the said Revenue District Officer that he has thus

redeemed the property, and the Revenue District Officer

shall forthwith pay over to the purchaser the amount by

which such property has thus been redeemed, and said

property thereafter shall be free from the lien of such

taxes and penalties.

The

owner

shall

not,

however,

be

deprived

of

the

possession of the said property and shall be entitled to

the rents and other income thereof until the expiration of

the time allowed for its redemption.

SEC. 215. Forfeiture to Government for Want of Bidder.

- In case there is no bidder for real property exposed for

sale as herein above provided or if the highest bid is for an

amount insufficient to pay the taxes, penalties and costs,

the Internal Revenue Officer conducting the sale shall

declare the property forfeited to the Government in

satisfaction of the claim in question and within two (2)

days thereafter, shall make a return of his proceedings

and the forfeiture which shall be spread upon the records

of his office. It shall be the duty of the Register of Deeds

concerned, upon registration with his office of any such

declaration

of

forfeiture, to transfer the title of the

property

forfeited

to

the

Government

without

the

necessity of an order from a competent court.

Within one (1) year from the date of such forfeiture, the

taxpayer, or any one for him, may redeem said property

by paying to the Commissioner or the latter's Revenue

Collection Officer the full amount of the taxes and

penalties, together with interest thereon and the costs of

sale, but if the property be not thus redeemed, the

forfeiture shall become absolute.

SEC. 216. Resale of Real Estate Taken for Taxes. - The

Commissioner

shall

have

charge

of

any

real estate

obtained

by

the

Government

of

the

Philippines

in

payment or satisfaction of taxes, penalties or costs arising

under this Code or in compromise or adjustment of any

claim therefore; and said Commissioner may, upon the

giving of not less than twenty (20) days notice, sell and

dispose of the same of public auction or with prior

approval of the Secretary of Finance, dispose of the same

at private sale. In either case, the proceeds of the sale

shall be deposited with the National Treasury, and an

accounting of the same shall rendered to the Chairman

of the Commission on Audit.

SEC. 217. Further Distraint or Levy. - The remedy by

distraint of personal property and levy on realty may be

repeated if necessary until the full amount due, including

all expenses, is collected.

SEC. 218. Injunction not Available to Restrain Collection

of Tax. - No court shall have the authority to grant an

injunction

to

restrain

the collection of any national

internal revenue tax, fee or charge imposed by this Code.

SEC. 219. Nature and Extent of Tax Lien. - If any person,

corporation,

partnership,

joint-account

(cuentas

en

participacion), association or insurance company liable to

pay an internal revenue tax, neglects or refuses to pay the

same after demand, the amount shall be a lien in favor of

the Government of the Philippines from the time when

© Compiled by RGL

72 of 201