The problem is Avida asked me to pay Capital Gains Tax right away. My understanding of CGT is you only pay it once you have the Deed of Absolute Sale already, or if you have paid all the monthly amortizations but before the DOAS is issued. My friend’s experience with DMCI is they only charged her a Transfer fee for a change in name amounting to PhP5,000 when she assumed a property from someone else during the pre-selling stage. My question is: Is Avida right in charging CGT at this stage of the transaction when there is no DOAS yet and the unit will only be fully paid next year?
Thanks very much for you help.