Did you know that you are allowed a one-time capital gains tax exemption when selling your principal residence? 
 
Sellers of their principal residence may be exempted from Capital Gains Tax (CGT) imposed by the Bureau of Internal Revenue (BIR) if they intend to use the sales proceeds to construct or acquire a new principal residence within 18 months from the date of sale and execution of the BIR Capital Gains Tax Exemption Escrow Account within 30 days from the date of sale. 

 

Funds that are intended for CGT are initially placed with LANDBANK-Trust Banking Group for safekeeping and maintenance. Upon compliance with regulatory requirements, together with the BIR’s instruction, the funds shall be released to the seller.