BIR Ruling No. 438-2018

BUREAU OF INTERNAL REVENUE REPUBLIC OF THE PHHLIPPINES DEPARTMENT OF FINANCE Quczon City

Certificate of Tax Exemption No. 458-2018

CERTIFICATE OF TAX EXEMPTION

issucd to

Bik. 37, Lot. 8, Marquez St., Diamond Villagc. Anabu It, Imus. Cavitc. 4 I 03 ANGELORUM SCHOOL, INC. SEC Company Rcg. No. TIN

and has proven by actual operation that its primary purpose is one of those enumerated under Section 30 (H) of the National Internal Revenue Code of 1997, as amended. It is exempt from iNCOME TAX only on the fotlowing revenues or receipts: This certifics that the above-named corporation is a non-stock, non-profit corporation

2 Tuition Fecs & Other School Related Fees: and Income derived from the operation of cafeterias/canteens and educational purposes. bookstores located within its' premises, owned and opcrated by Angelorun Sehool, Inc., to be actuafly, directly and exclusively used for

iothing foilow:

for violation of any provisions of applicable rules and regulations of the BIR, or the terms and basis for its income tax cxemption. subject to the provisions of applicable BiR rules and regulations and the tax cxemptions. integral part hereof. it is liable, howevcr, to all other taxes not enumerated above. conditions herein set forth. It shall likewise be revoked if there are material changes in the character. purpose or method of operation of the corporation which are inconsistent with the lJiabilities and responsibilities stated in thc Terms and Conditions hereto attached and made an This certification shall be valid from the date of issuance until revoked by this Office

that thc facts are different, then this Certilicate shall be corsidercd null and void. documents as represcnted and submitted. However,if upon investigation, the BIR ascertains This Certificate of Tax Exemption is bcing issued on the basis of the facts and

Issued this day ofAR_12,2018

Commissioner of Internal Res enue CAESAR R. DULAY 0 14 37

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ANGELORUM SCHOOL, INC. CTE No. _438-2018 Date issued_3-12-301&

CA X EXEMPTION OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

1) INCOME TAX

(RMO) No 44-2016, to wit: must continue to meet the following requisites as set forth under Revenue Memorandum Order ANGELORUM SCHOOL, INC. is exempt from the payment of income tax only on revenues and receipts enumerated on the Certificate of Tax Exemption. It is understood that the school

a) It is a non-stock, non-profit educational institution; and b Its revenues are actually, directly and exclusively used for educational purposcs.

T National internal Revenue Code of 1997, as amended, subject to compliance with the conditions that as a tax-exenpt educational institution it shall on an annual basis submit to thc Revenue District Office concerned an annual information return and duly audited financial stateinent together with the following: deposit substitute instruments used actuafly, directly and exclusively in pursuance of its purpose as under the expanded foreign currency deposit systein imposed under Sectiori 27 (D) (1) of the an educational institution, arc exempt from the 20% final tax and 7 1/2% tax on intcrest income ANGELORUM SCHOOL, INC.'s interest incoine from currency bank deposits and yield from

a of 1997, as amended; Certification from their depository banks as to the ainount of interest inconie and 7 1/2% tax on interest income under the expanded foreign currency deposit system imposed by Section 27 (D) (1) of the National internal Revenuc Code earned from passive investment not subject to the 20% final withholding tax

b) Certification of actual utilization of thc said incomc; und C} Board Resolution by the school administration on proposed projects (i.e.. No. 137-87). banks or piaced in money markets, on or before the 15th day of the fourth month following the end of its taxable ycar (Sec. 4, Finance Department Order construction and/or improvement of school buildings and facilities, acquisition of equipment, books and the like) to be funded out of the money deposited in TiA-

LIABILITY FOR INTERNAL REVENUE TAXES 1) INCOME TAX 2) VALUE ADDED TAX (VAT)ON EDUCATIONAL SERVICES Pursuant to Section 109(H) of the National Internal Revenue Code of 1997, as aniended. educational institution are exempt from VAT. ANGELORUM SCHOOL, INC.'s gross receipts from opcrations as a non-stock, non-profit F

actually, directly and exclusively used for educational purposes. to the corresponding internal revenue taxes imposed under the National Internal Revenue Code of conducted for profit, which income should be returned for taxation, unless said revenues are 1997, as ainended, on its income derived from any of its properties, reat or personal, or any uctivity ANGELORUM SCHOOL, INC. is subject to incone tax on all its income/reccipts/revenues not expressly exompted and stated in the Certificate of Tax Exemption. Moreover, it is subject A

: Depariment Order No. 149-95 dated November 24, 1995 amending Departmcnt Order No. 137-87 wi

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ANGELORUM SCHOOL, INC Date issued _3-12-2018. CTE No. _438-2018

2) VALUE ADDED TAX (VAT)/ PERCENTAGE TAX

business pursuit, including transactions incidentat thercto, its revenues derived therefrom shall be subject to the tweive pcrcent (12%) VAT, in case the gross reccipls from such sales exeecd One Miifion Nine Hundred Nineteen Thousand Fivc Hundred Pesos (P1,919,500.00), or to the thred percent (3%) percentage tax, if gross receipts do not exceed One Million Ninc Hundred Nineteen Thousand Five Hundred Pesos (P1.,9:9,500.00). If ANGELORUM SCHOOL, INC. is engaged in the salc of goods or serviccs in the coursc of a

Notwithstanding that it is a non-stock, non-protit corporation, its purehase ot goods or properties or services and importation of goods shall neverthcless be subject to the 12% VAT pursuant to Sections 106 and 107 of the National Internal Revenue Codc of [997, as amended. 3) WITHHOLDING TAX

No. 2-98, as amended. tax under[Section 79 (A), Chapter XI!1, Titte HI of the'National Internal Revenue Code of 1997. as amended, as implemented by Revenue Regulations No. 2-98, as amended, or if it makes income it acts astan empioyer and its employees receive compensation income subject to the withholding payments to individuals or corporations subject to the withholding tax pursuant to Section 57 of the National Internal Revenue Code of 1997, as ainended, and as implemented by Revenuc Regulations ANGELORUM SCHOOL, INC. shall be constituled as withholding agent for'the government if

TAXPAYER DUTIES & RESPONSIBILITIES 1) ANGELORUM SCHOOL, INC. is required to filc on or beforc the 15th day of thc fourth month incone. Copy of this Certificate of Tax Exemption shall be attached to the aforemcntioned Annual preceding period and a certificate showing that there has not been any change in its By-laws. Articles of Incorporation, manner of operation and activities as well as sources and disposition of Information Return. following the end of the accounting period a Profit and Loss Statemcnt and Balance Sheet with the Annual Information Return under oath, stating its gross incoine and expenses incurred during the

2) Under Section 235 of the National Internal Revenue Code of 1997, as anended, any provision of pcrtinent records of tax-exempt organization or grantees of tax incentives shall be subject to it has been granted tax exemptions or tax incentives, and its tax liabilities, if any. existing general and special law to the contrary nolwithstanding, the books of accounts and other examination by the BiR for purposes of ascertaining compliance with the conditions under which

3) Further, it is also required under Section 6(C) in relation to Section 237 of the National internal No. [RMC] No. 76-2003) Reveniuc Code of 1997, as amended, to issue duly registered receipts or sales or commercial invoices for each sale or transfer of merchandise or for services rendered which arc not directly related to the activities for which the Association is registercd. (Revenuc Memorandum Circular

4)Finally, it is subject to the payiment ofregistration fee of PhP 500.00 as prescribed in Section 236(B) of the National interna! Revenue Code of 1997, as amended.

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