BIR Ruling No. 419-2017

BUREAU OE INTERNAL REVENUE REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE Quezon Ciy

Certificate of Tax Exemption No.

19-207

CERTIFICATE OF TAX EXEMPTION

issucd to

Unit 211 La Fuerza Plaza Bidg. 2. Sabio St. cor. Chino Roces Ave.. Makati City HANDS ON MANILA FOUNDATION, INC SEC Reg. No. TIN

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

1 Donations

lothing follow

integral part hereof. It is liable, however. to all other taxes not enumerated above. liabilities and responsibilities stated in the Terms and Conditions hereto attached and made an subiect to the provisions of applicable BIR rules and regulations and the tax exemptions.

earlier revoked by this Office for violation of any provisions of applicabie rules and reguiations of BIR, or the tcrms and conditions hercin set forth. This certification shall be valid for three (3) years from the datc of issuance unless

Certificate shail be decmed a revocation thercof upon the expiration of the three (3)-year provided under Revenue Memorandum Order (RMO) No. 20-20i3. Failure to renew this This Certificate may be renewed upon filing of a subsequent application for revalidation

period.

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

that the facts are different. then this Certificate shall be considered null and void. documents as represented and submitted. However, if upon investigation, the BIR ascertains

Issucd this day of

Commissioner of Internal Revenue CAESAR R. DULAY

CELiA C. KiNG

Resource Management Group Deputy Commissioner Officer-In-Charge

HASDS ON MANLA FOE NDA HON. ING Date issued (TE M. -

TERMS AND CONDITIONS OF THE CERTIFICATE OF TAX EXEMPTION

TAX EXEMPTIONS

I) INCOME TAX.

HANDS ON MANLA FOUNDATION, INC.is exempt from thc payment of income tax only on revenues and receipts enumerated on the Certificate of Tax Exemption provided. that no part of its net income or asset shall belong to. or inure to the benefit of any mcmber. organizer. officer or any specific person.

LIABILITY FOR INTERNAL REVENUE TAXES

1) INCOME TAX

HANDS ON MANHLA FOUNDATION , INC..is subject to income tax on all its income/receipts/revenues not expressly exempted and stated in the Certificate of Tax Exemption. Morcover, it is subject to the corresponding internal revenue taxes imposed under the National Internal Revenue Code of 1997. as amended. on its income dcrived from any of its properties. real or personal, or any activity conducted for profit regardless of the disposition thereof. which income should be returned for taxation.

Likewise, interest income from currency bank deposits and yicld or any other monetary benefits from deposit substitute instrumcnts and from trust funds and similar arrangements. and royalties derived from sources within the Philippines are subiect 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 subject to seven and one-half percent (7-1/2%) final withholding income tax pursuant to Scetion 27(D)( 1) in relation to Sec. 57(A) both of the National Internal Revenue Code of 1997. as amended.

2) VALUE-ADDED TAX

If HANDS ON MANILA FOUNDATION ,INC_is engaged in the salc of goods or services in the course of a business pursuit, including transactions incidental thereto. in general, it shall be liable for value-added tax on the revenues derived 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% value-added tax pursuant to Sections 106 and 107 of the National Internal Revenue ('ode of 1997, as amended.

Date issue. CTE NO. 4122017 2C4

3) WITHHOLDING TAX

as amended. as implemented by Revenue Regulations No. 2-98, as amended. HANDS ON MANILA FOUNDATION , INC.shall be constituted as withholding agent subject to the withholding tax under Section 79 (A), Chapter XIII, Title iI of the National 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 National Internal Revenue Code of 1997. for the government if it acts as an employer and its employees receive compensation income Internal Revenue Code of 1997, as amended, as implemented by Revenue Regulations No

TAXPAYER'S DUTIES & RESPONSIBILITIES

1) HANDS ON MANILA FOUNDATION ,INC._is required to file on or before the 15th Certificate of Tax Exemption shall be attached to the aforementioned Annual Information day of the fourth month following the end of the accounting period a Profit and Loss 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 Return. 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

2) Under Section 235 of the National Internal Revenue Code of 1997. as amended. any incentives, and its tax liabilities, if any. provision of cxisting generat and special law to the contrary notwithstanding, the hooks of 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 accounts and other pertinent records of tax-exempt organization or grantees of tax

3) Further, it is also required under Section 6(C) in relation to Section 237 of the National are not directly related to the activities for which the corporation is registered. (Revenue Internal Revenue Code of 1997, as amended, to issue duly registered receipts or sales or commerciai invoices for each sale or transfer of mcrchandise or for services rendered which Memorandum Circular No. (RMC] No. 76-2003).

4) Finally, it is subject to the payment of'registration fee of PhP500.00 as prescribed in Section 236(B) of the National Internal Revenue Code of 1997, as amended.