BIR Ruling No. 88-2018

REPL-iBl.]C ()F l-i"li- pl ili-lPPil'lES DEPA}iTNIENT OF FINANIJI., BUREAU C}F INTERI{AL E.E\E.I"] i T-" Quezon Citl' Certificasi rt issueii to E.g'tffiaffiry###m- -'' - " -.'' Brg-r,,. San Vicente- Bacolor' Pampa::': 'l Il.l!rl I S:.C Crmrran-. Reg. No. ''; ' Knl.;ir;.:;\;lr;!;.\r'''D:i,:iL.;i!f^t-L,--i":"1,ei!lieiisq:- oqrritrr,acteort-l,lt'aeiml;i1oe1ns;dc,reiEeo-i.ilulIJr:.iiiliels'-rieda.xt:tecdlm;pip'r-r:rrtaJfricoicrmnShclNlcLstclrop)ilrl\;.*-1"".'-'. ' :: :::,i1 l fc'\'f ['lu,j: ci lr.ccillts: l] fionations trtlrn I'ru{ii }c,cal and *ilroad -nothing follaws----- sliiiLaiirbrb;i!iteit.:i;te;s;ir;i;attnl-drierree$rse;-pooofi.,nilsi;tilci'i*isis;rli;acr,lbti'iaesp.irphii!*oiccwaeibt*rl"gtehie,1t:TolRgaixli-iit:soittasiienrd1niCacxloeruscdgnituois"iriL::r-ir-:rii,r:::'r:'':'::.r"-':rt'':'''I:::':. ' eariier ifririios fc*eirlifbic)ar;iio;in; :siiall tit' l'aiicl.fbr thret:'i3) vears frc-'r- r 'r: ' ' ;.' i;1:';":-' irgrii-tli", 'riginl or llie i-; ;',''1.11 Cilt'Li** for ',,ioiatic,ti of'any provisli:,-i:r -'"':;: j lerirs and conditistis hcrein set fortli' rreevllaeii\ciiztlhL-itisiroisrCue(rroctirufilciitdaicetieJtl,Lus-ii,icamifelli'iRrl.\--ce[lverier::irtnricteenCel'v.ai'lecrneiitvooulacita'Ltrti\jounrmttitlOhiireidgreero"olf ii-t't'i;'li'i'r.::r'""--'r'"';';""';'' ": ; - '- ' ': '" ' ': ( 3 )-lri-:ar pcriocl. dccume-nfthsisi:rl{:,ilecprtriefrscealliteedoai rli'd31s.uFbr'xneittttelpdr.iolinowise' vbeerin. gii'uispsouerld.ir:it;r;' ' il* tfrt: racrs are'iiiff.r"ent. then this Cgriifir:ate shall be consider':'' " : "::: issued tii ili dav o{ .$,4!:$_ ".r_'t Affid_ &.-6-t -t.,vA'l Comi:, i hi1:'..:

I;A PA M PA N 6'1h D E I/E L OP II'1 E N T ('Ti; i'';; FOUND,4TIOA', INC. OF T'F{E CT^EgR,nI\{f'r5u'/t'Cil{ailT' [il'Gi' }'il}'-i!-ltT']i" :r-i'H';;i,'1.;- 1'L r-; I) NF{CONEE T'AX. I{APAMPANGAN tr,}E\ts.LC}PMEN'J F'{i 'iOloaatrVhleErcxbneetmnoenffittiioncncfo. arpnnrcyovmtiaderumdo-b:n.ethlrl.aoct !ri1gloafnpVi.zlCrenIr],uot'i:ri1i.l-'i1'::1:'t^'r:';:i;' li eB t i-{fi ' FOR SdTERS.SI- F^E-{EW{.},:.L} l) INCOME TAX .::,: rif _; t. /rq ,:-1i--\lIe :r:'t-lfii 'J'.ir, its, i l i.:r,.;--ll"t"-., .'l-,,.-i ilg ., -;r::. -.-: .;)'!u ',:-i::: :.1:,: ' r -i .-- aS ' .,- ..:. : .. j"-.,{r,l^l .:.: _1 -- -Y,I.r .di\r ,'o,i,ir'i,ii,tr'i,lIln,,'"hirtLl,le,rln,.rrisrf"cirirttuirltr,i'Tti't!cl,l;r-rr'lotr^,t"n,ir,nfr.aiirfnilnop'rdt'arri:spv;p:.:tr.ttn;o'lah;tgtni;umip'firtdiii'tsniiralt;ieeb.;xor;liue.iLfLisuiutfiokiS{irp:f:,'fer"ieos.c:"'ti'ci'c"isioosrtntn'iioia.utcnuielA(^ii:'vigi-0cx@rtcen'ap"l'ldn)0a.bit;ic'Tn'eGctSin.tt,iid-s,oDat(t;tip(*"it|;eir';iili.rttr(:cettStgt*3ie.e:riil'::c,\n:tixotiin,;lciunticiIlLr.o::i3J't:-n:ri.':a;"'!;t.:r,'bitit!1''ii|;i"i.,:''L,'ii:,";t:tr::'!.:it';i'';.::i;:{t't' I Ci.l{. No. l9-i909 & G.R. No. 195960. SepLenrber 26-2il11

I A,\ Fi A I',4 f, 1 P'1 h' di {'TE Nr:. C}8E*m18 I) E 11E L i ) P'lI N T Date ksued "+*Ea-ee"*& I"OTlNDATIOA, !hC. cliuriiubl? or ,i\nosctiiloyltiowne!u/tntrcelerpuSrepcotsio'els3t0o(Eh)eocr o(mqpclelolee.cli'ncetxt elonsxepiit.sfi"tocnal intontt' ttLt. An exentptioil ii' it earns inconte .frorn it,s .for-pro-fit actit,ities. Such inconrc fi'ont ..iar-pt'qfit activities, uhder the last paragraph of Section 30, i's merelv .suh.1eci ttt irtconrc ie{. pre'riottsly s1 th. ordinarr'corparate rate but nov' at tl'tc prg.fgrcrtial I0'!t, rate pltrsuant ttt Seciiott 27 (81. .4 tcn excntption ls cffectitell; s :;ocial sitbsidy' granred bt' the State itecsrt.ge un e:r,enry)l institutiutt is spared Jt"om sharing in the expen,ses ttf -bfreomlintfii/teedm,lrTtrLin,:setixteumtiopntiosnhse.nfeo.rficcihaal rtiotabthlee gavcrnmenr anC .vel berrc.fits in.y!,ittttions shouid therirfbrc prrblfu uti i.Lnsa v'hich in4trot,e .g,oc:ial welfttre. A proiit-makinq entitl' shoLriti not ba ollovvetl ict e:;ploii this,sultsidt, Io the detrintenl o-f the gr tt; e rnttrcnl unti o I he r taxila\) rs. . i,iir,eu,r:;e. intere:;l incorne ii',rin currerlc) banl: deposits and yield or any other monetarl' beliefits liorl cieposir :i';nsritr-ite instrnments and from trusi funds and siniilar ariangenrenrs. and ro1'alrirs deriveC liom sources r.:ithin the Philippines are sub.lect to itre tlvcitt), percent, (2AV'a) final '',vithhciciing tax: Frot,ided, however, that interest iircome dsrived bi,it licm a cieposiiory Lra;ii,i ilnder the expalded foreign currenc) deposit systern siiail be subjecl ro seven and one-nalf percent (7-112%) final withhoiding incotne tax ;:ursuani to Seciion 27\tliil) in reiaiioir to Sec. 57{A) both of ihe National internal Fl-e\/enlie Cccie o1' 1997. as alren,led. .i.l \,/AL,UE ADDED T,A"ld ' Ii KA]-'Ai\4FA.iniGAN DhIVE{-',3Fn,iEI{-t'}r(}U1l\i}ATlON, trNC. is engagecl in the sale c1-goods or service:; in tiie course of'a br.;siness pirrsuit. inciucling transactions incidental thcleir-r. in genei-ai. ii sliall be liable ic,i iialue zrdded tax on the revenues derived thr:rcll r:tit. l'.irtvi'irhstanciing ti"lat it ls a ilol-stcck, nc.ri-lrrofit corlloratic'n" its purchase of goods or . properlie:. or services anii irnpoi-tation of'gorids shall nevertheless be subject to the 12% ,raiite added tij,.i pui^suant ro Ssctions i06 an,j i07 of the lrTa_tic_'nal internai Revenue Code of 1997. as amerrceci I ) 1'[,'ITbI]-{{}LDii\lG TAX K-,{PAI|4PAF{GAN DEVE},OPh{8I\-T F{-D{JNDAT',IL}I{, INC. shall be constituted as i,r,;thholding agent fbr the governnienr if it acts as arr empioyer and its employees receive Section 79 (A), Chapter )illl. -cfoitrilepeInI soa1t'itohne incoile sr.rbject to the u'ithholding tax under National lnternal amended. as implemented b1' fter,'enue f]ocle of 1997. as Itevenue Regulations No. 2-98^ as amended. or if it makes income paymen-rs to indiviciLrals or corporations sub-iect tc tire wiihholciing tax pursuant to Section 57 of the National Internal Revenue Code: of 199'7, as amended, as impiemented by' R.evenue RegirlaLions No. 2-98. as rrncnded. T A-}i PAYEII' S DUTTES & }TE SPOJ-I*S{B{LITIES 1; L-{PAh4PANGA,N DEVE{,OPh4EFIT FOLIh'DATION, {NC. is required to fiie on or befil'e the i5th cia1, of the fourth month ibllowing the end of the accounting period a Profit and Li:ss Statement and Balance Sheet with the Annual lnformation Retum under oalii" stating its gross incr:,nre and expenses incurred during the preceding period and a certificate shou'ing tirat there has not been any' change in its By-lar,r's. Articles of incoqroration. manner o1'opeialion and activities as well as sources and disposition of iiicome" Cop) c,f this Certificate of Tax Exemotion shall be attached to the aforemeniicned Annual inforrnation Return. 6AF* P.,ti;E .; {tF 4

/ I;4 F A lPl PA N Gll N I, E E L O P tuLE I'l T f i F,\o. .---_59igryr.s#jui:_. __--. Dute i:;sut.C +*.- f,{ FOUNDA'ilON,INC. --Jde+d.ta!:hi?i?------- 2) lJnder Section 23i of thr.: llational lnterriai Revenue Code ol 1997, as;tmended, aily provisioit oflexisting general and special i;au, to thr: contrary notwithsla.nding, the books of accounts and other pertinent records of,tax-exempt otganization or granlees of tax incentives sirall be siibject to b-v the BiR for i:urposes of ascefiaining compiiarice with cxaminarion the conditions under which ir has been granted tax exemptions or mli in.Jeltive:'" and its tax liabilities, if'an1,. 3) ,r'ruffher. ii is aiso required under Section 5(C) iu relation ro Se*ion 237 of the National Internal Revenue.C}llle of 1997. as arnended, io issue ciull'registeled teceipts or sales or ccmmercial invoices for each sale or transfer of merchandise or fbr services rendered which are not'direr;fly relaied i:o the acrivities for which the Association is registerled. (Revenue l\tremorandr:rn Circular No. [RJi4Cl No. 76-200--l). 1) Firtali;v. it i:: sr.rbject to the payrntsni o1'regisria.tion fee of PhP 500.00 as prescribed in Siection 2.36{Hi of the hiational internal F.ev.enue Cocle of 1Qg7. as amenried.' .*..1r-t-L'rtaT P,.li'd; ill* ,{