BIR Issuances – RR 1-2024

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The BIR further amended the implementation of Adjustment of the Selling Price Threshold of the Sale of House and Lot, and Other Residential Dwellings for Value-Added Tax Exemption Purposes under Section 2, Sub-section 4.109-1 (B) (p) of Revenue Regulations No. 4-2021, as amended by Revenue Regulations No. 8-2021.


Revenue Regulations (RR) No. 1-2024

15 January 2024


The adjustment is prescribed under Section 109 (P) of the NIRC of 1997, as amended, that “every three (3) years thereafter, the amount herein stated shall be adjusted to its present value using the Consumer Price Index, as published by the Philippine Statistics Authority (PSA).”



CURRENTLY, the selling price threshold of the sale of house and lot, and other residential dwellings is at Three Million One Hundred Ninety-Nine Thousand Two Hundred (Php 3,199,200.00) Pesos, for value-added tax (VAT) exemption purposes.


Taking into account the Consumer Price Index (CPI) values for 2023 as published by the PSA, the NEW PRICE THRESHOLD, for sale of house and lot and other residential dwellings for VAT-exemption purposes, rounded is Three Million Six Hundred Thousand (Php 3,600,000.00) Pesos, computed using the following formula:


                        New Threshold = Current Threshold x CPI (2023)

                                                                                      CPI (2021)



These Regulations shall take effect fifteen (15) days after the date of publication in the Official Gazette or newspaper of general circulation, whichever comes first.


Published in Manila Bulletin on 18 January 2024.


Copy of the RMO can be accessed

RR No. 1-2024.pdf

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