BIR Ruling No. 515-2020

BUREAU OF INTERNAL REVENUE REPUBLIC OF THI, PHILIPPINES DEPARTMENT OF FINANCE

Quezon City

Certificate of Tax Exemption No:

PSH-0515-2020

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

Taxpayers Identification Number (TIN) creditable withholding tax (CWT) pursuant to Section 20 (d) (1) of Republic Act (RA) No. dated July 17, 2016, on its income received directly in connection with its sale of socialized house and lot units for residential and dwelling purposes to qualified beneficiaries in Bela Rosa Sto. Tomas, Batangas, a project duly registered with the Housing and Land Use Regulatory Board (HLURB) under Certificate of Registration No. provided that the selling price of said units does not exceed P580,000.00' per house and lot. 7279, as amended by RA No. 10884 (Balanced Housing Development Program Amendments) Residences Extension, consisting of 439 house and lot units, located at Brgy. Sta. Teresita, This certifies that SUMMERHILLS HOME DEVELOPMENT CORP. with is exempt from income tax and and License to Sell No.

exemption from VAT shall oniy apply to sale of house and lot and other residential dwellings? below, or house and lot and other residential dwellings valued at P3,199,200.00 and below, is with selling price of not more than P2,000,000.00. exempt from value-added tax (VAT) pursuant to Section 109 (1) (P) of the National Internal Revenue Code of 1997, as amended. Provided, however, that beginning January 01, 2021, the Moreover, the sale by the Company of residential lot valued at P1,919,500.00 and

being covered by RA No. 7279, shall be subject to the payment of appropriate taxes. covered by the tax exemption clause in Section 20 of RA No. 7279. Thus, the documents conveying the properties shall be subject to DST imposed under Section 196 of the National the same Code, whichever is higher. Likewise, lots/units classified as Economic Housing, not Internal Revenue Code of 1997, as amended, based on the consideration contracted to be paid for such realties or on their fair market value determined in accordance with Section 6 (E) of It is observed, however, that documentary stamp tax (DST) is not one of the taxes

applicable BIR rules and regulations and the Terms and Conditions stated at the back hereof. The Company is liable, however, for other applicable taxes not discussed above. The grant of tax exemption herein is subject to the compliance with the provisions of

This Certificate of Tax Exemption is being issued on the basis of the facts and 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.

Issued this day ofSEP 15 2020

1ate&awa S

CAESAR R.DULAY

$-K-1-LMAT Commissioner of Internal Revenue B 036699

2Sale of lot only, regardless of the price, shall be subject to VAT starting January 01, 2021 pursuant to RA No. 10963. + Per HLURB License to Sell No. dated June 4, 2019

SUMMERHILLS HOME DEVELOPMENT CORP (Bela Rosa Residences Extension) CTE No.: Date issued: SEP T 5 2UZU PSH - 3515-2030

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

The exemption from income and creditable withholding taxes covers only income directly attributable to the revenues generated from the 439 socialized house and lot units in Bela Rosa Residences Extension, located at Brgy. Sta. Teresita, Sto. Tomas, Batangas.

2. The developer shall submit the sworn statement of the buyer that he is eligible as a socialized

housing beneficiary under Section 5 (A) of Revenue Regulations (RR) No. 11-97 to the Bureau of Internal Revenue (BIR) during the processing of the Certificate Authorizing Registration (CAR) for the transfer of the title of the socialized housing unit.

3.It is understood that the CAR shall only be issued after it is established upon proper verification by the Revenue District Officer (RDO) concerned that, considering the rules on valuation of real property, the actual selling price per sale transaction of the socialized house and lot packages in this case does not really exceed P580,000.00.

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