How to get an exemption from capital gains tax on sale of my principal residence in the Philippines?
The sale of you principal residences may be exempted from capital gains tax, subject to the following conditions;
1. Sale or disposition of principal address
2. By natural person
3. Proceeds of which is fully utilized in acquiring or constructinga new principal residence within eighteen (18) calendar months from the dale of sale or disposition
4. The historical cost or adjusted basis of the real property sold or disposed shall be carried over to the new principal residence built or acquired
5. The Commissioner shall have been duly notified by the taxpayer within thirty (30) days from the date of sale or disposition
6. The said tax exemption can only be availed of once every ten (10) years.
7. Execution of Excrow Agreement
8. If there is no full utilization of the proceeds of sale or disposition, the portion of the gain presumed to have been realized from the sale or disposition shall be subject to capital gains tax.