Adrian Salceda to File Bill Removing Documentary Stamp Tax on Personal Documents

May 26th, 2025

“Mag-aaffidavit ka na lang kasi namatayan ka, may tax pa. Halos wala namang kinikita ang gobyerno dito. Pahirap lang talaga.”

Polangui, Albay — Congressman-elect Adrian Salceda will file a bill in July to exempt non-commercial documents from the documentary stamp tax (DST), targeting what he describes as “small but needless burdens” on ordinary Filipinos.

The bill will cover documents that currently incur DST despite not involving any financial transaction, including:

• Diplomas and transcripts – typically charged ₱15 to ₱30 in DST through school clearance fees

• Police and NBI clearances – some LGUs impose ₱15 DST under broad interpretations of tax law

• Birth, marriage, and death certificates – not taxed by the PSA, but DST is sometimes required when these are attached to affidavits or legal filings

• Powers of attorney for personal or medical use – subject to ₱5 DST even in non-commercial contexts

• Deeds of donation or intrafamily transfers – often taxed despite no money changing hands

“Mag-aaffidavit ka na lang kasi namatayan ka, may tax pa. Halos wala namang kinikita ang gobyerno dito. Pahirap lang talaga,” Salceda said.

The bill will amend seven provisions of the National Internal Revenue Code, Sections 173, 185, 189, 190, 191, 193, and 196, to make clear that only documents that record commercial or financial transactions should be taxed. It will remove DST from documents that arise from the mere incidents of living.

Salceda clarified that the fiscal impact is negligible. In 2022, the Bureau of Internal Revenue collected ₱116.3 billion in DST, more than 97% of which came from banks, corporations, real estate, and formal financial transactions. The kinds of documents this bill exempts contribute less than ₱1 billion, according to revenue estimates.

“We’re not touching the DST on bank loans, insurance policies, or property sales. This is about cleaning up the tax code and giving people relief from needless compliance costs.”

As President of the League of Municipalities of the Philippines – Albay Chapter, Salceda emphasized the support of local government officials.

“Every mayor has heard this story: someone can’t get a diploma or a legal document because of a ₱15 or ₱30 stamp tax. The amounts are small, but the inconvenience and delay are real—especially for those with the least.”

Salceda says the measure will be among his first formal acts as a member of the 20th Congress when session opens in July.

The bill is also ready for filing.