BIR Ruling No. 52-2018

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE

BUREAU OF INTERNAL REVENUE

Quezon City

Certificate of Tax Exemption No.

052-2018

CERTHFICATEOF TAXEXEMPTION

issued to

FOUNDATION FOR RESOURCE LINKAGE AND DEVELOPMENT; INC.

7 FRLD Bldg., AFP-RSBS Industrial Park, Km. 12, East Service Rd.,

Western Bicutan, Taguig City 1630

TIN: SEC Company Reg. No.

This certifies that the above-named corporation is a non-stock, non-profit corporation

and has proven by actual operation that its primary purpose falls under Section 30 (E) of the

National Internal Revenue Code of 1997, as amended. It is exempt from INCOME:TAX only

on the following revenues or receipts:

1. Participation fees of related government agencies.

nothing follows

subject to the provisions of applicable BIR rules and regulations and the tax exemptions, liabilities and responsibilities stated in the Terms and Conditions hereto attached and made an

integral part hereof. It is liable, however, to all other taxes not enumerated above...

earlier revoked by this Office for violation of any provisions of applicable rules and regulations This certification shall be valid for three (3) years from the date of issuance unless

of BIR, or the terms and conditions herein set forth.

provided under Revenue Memorandum Order (RMO) No. 20-2013. Failure to renew this period. Certificate shall be deemed a revocation thereof upon the expiration of the three (3)-year This Certificate may be renewed upon filing of a subsequent application for revalidation.

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

Issued this day of_JAN242018

Cornmissioner of Internal Revenue CAESARR.DULAY

K-1-JAC Denuty Commissioner CELAC.KING Ca C.W

Foundation for Resource Linkage and Development, Inc. Page 2 of3 CTE No. Date issued 052-2018 1-24-2018

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

TAX EXEMPTION

1INCOME TAX. FOUNDATIONFORRESOURCELINKAGEAND

DEVELOPMENT,INC. is only exempt from the payment of income tax on revenues and receipts enumerated on the Certificate of Tax Exemption. Moreover, to be entitled to the

tax exemptions enumerated herein,the association/corporation/ organization must continue

to meet the requirements set forth under Revenue Memorandum Order No.20-2013.

LIABILITYFORINTERNALREVENUETAXES

D INCOME TAX

FOUNDATION FOR RESOURCE LINKAGE AND DEVELOPMENTINCiS -subject to income tax on all its income/receipts/revenues not expressiy exempted and stated in the Certificate of Tax ExemptionMoreover, it is subject to the corresponding internal revenue taxes imposed under the NIRC on its income derived from any of its properties.

.. which income should be returned for taxation. real or personal, or any activity conducted for profit regardless of the disposition thereof.

Likewise,"iriterest income from currency bank deposits and yield or any other monetary

benefits from deposit substitute instruments and from trust funds and similar arrangements,

and royalties derived from sources within the Philippines are subject to the twenty percent

20%) final withholding tax: Provided,however,that interest income derived by it from a

depository bank under the expanded foreign currency deposit system shall be subiect to seven and one-half percent (7-1/2%) final withholding income tax pursuant to Section 27(D)1) in relation to Sec. 57(A) both of the NIRC.

2)VALUEADDED TAX

If FOUNDATION FOR RESOURCE LINKAGE AND DEVELOPMENT,INC.iS

transactions -incidental thereto; in general, it shall be liable for V AT on the revenues derived engaged in the sale of goods or services in the course of a business pursuit, including

therefrom..

Notwithstanding that it is a non-stock, non-profit corporation, its purchase of goods or properties or services and importation of goods shall nevertheless be subject to the-12% VAT pursuant to Sections 106 and 107 of the NIRC.

3WITHHOLDING TAX

FOUNDATION FOR RESOURCE LINKAGE AND DEVELOPMENTINC.shall be constituted as withholding agent for the government if it acts as an employer and its

employees receive compensation income subject to the withholding tax under Section.79

A),Chapter XIII,Title II of the NIRC,as implemented by Revenue Regulationis No.2-98 as amended, or if it makes income payments to individuals or corporations subject to the withholding tax pursuant to Section 57 of the NIRC, as implemented by Revenue Regulations:No. 2-98, as amended.

Foundation for Resource Linkage and Development, Inc. CTE No.0522018

Page 3 of 3 Date issued. 1m2$2018

TAXPAYER'S DUTIES & RESPONSIBILITIES

1) FOUNDATION FOR RESOURCE LINKAGE ANDDEVELOPMENTINC.is

required to file on or before the 15th day of the fourth month following the end of the

accounting period a Profit and Loss Statement and Balance Sheet with the Annual

Information Return under oath, stating its gross income and expenses incurred during the

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 income: Copy of this Certificate of Tax Exemption shall be attached to the

aforementioned Annual Information Return.

2) Under Section 235 of the NIRC, any provision of existing general and. special law to .the

contrary notwithstanding, the books of accounts and other pertinent records of tax-exempt.

organization or grantees of tax incentives shall be'subject to examination by the BIR for purposes of ascertaining compliance with the.conditions under which it has been granted

tax exemptions or tax incentives, and its tax liabilities, if any.

3Furtherit is also required under Section 6C in relation to Section 237:of the NIRC to

issue duly registered receipts or sales or commercial invoices for each sale or transfer ofr

merchandise or for services rendered which are not directly related to the activities for

which the Association is registered.Revenue Memorandum Circular No.[RMC] No.76 2003

Finally, it is subject to the payment of registration fee of PhP 500.00 as prescribed in. Section236(B)of the NIRC