BIR Ruling No. 60-2020

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE

BUREAU OF INTERNAL REVENUE

Quezon City

Certificate of Tax Exemption No: PSH-004-200

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

consisting of 348 house 2nd lot units, used solely for family home or dwelling purposes, located at and Land Use Regulatory Board (HLURB) under Certificate of Registration No. house and lot packages. of socialized housing units to qualified beneficiaries in Tanghal Country Homes Subdivision, Purok San Vdn te, Brg San Isidro, Gen. Santos City, a project duly registered with the Housinge Sell No. Program Amendments) dated July 17, 2016, on its income received directly in connection with its sale 20(d)(1) of Republic Act (RA) No.7279.as amended by R.A.10884 (Balanced Housing Development This certifies that E.C.TANGHAL AND COMPANY,INC.. with Tax Identification Number provided that the selling price of said housing units does not exceed P530,000.00' per is exempt from income tax and creditable withholding tax (CWT) pursuant to Section and License to

apply to sale of house and lot and other residential dwellings2 with selling price of not more than house and lot and other residential dwellings valued at P3,199,200.00 and below, is 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 exemption from VAT shall only P2,000,000.00. Moreover, the sale by the Company of residential lot valued at P1,919,500.00 and below, or

classified as Economic Housing, not being covered by R.A. No. 7279, shall be subject to the payment the tax exemption clause in Section 20 of RA No. 7279. Thus, the documents conveying the properties 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 the same Code, whichever is higher. Likewise, lots/units of appropriate taxes. shall be subject to DST imposed under Section 196 of the National Internal Revenue Code of 1997, as It is observed, however, that documentary stamp tax (DST) is not one of the taxes covered by

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

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 documents as

Issued this day of JAN 1 0 2020

10e5a

CAESAR R.DULAY Commissioner of Internal Revenu

031992

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The maximum selling price pegged at P450.000.00 per house and lot based on HLURB License to Sell No.031661 was Sale of lot only.regardless of the price.shall he subject to VAT starting January 01.2021 pursuant to RA No.10963 adjusted to P530.000.00 per Certification issued by the HLURB dated December I1.2018.

E.C. Tanghal and Company, Inc. Page 2 of 2 CTENPS02020 Date issued _JAN 1 0 2020

1.The exemption from income, creditable withholding taxes and VAT covers only income Country Homes Subdivision, located at Purok San Vicente, Brgy. San Isidro, Gen. directly attributable to the revenues generated from the 348 house and lot units in Tanghal Santos City. OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

The developer shall submit the sworn statement of the buyer that he is eligible as a during the processing of the Certificate Authorizing Registration (CAR) for the transfer of socialized housing beneficiary provided under Section 5 (A) of R.R. No. 1 1-97 to the BIR the socialized housing unit.

3 It is understood that the Certificate Authorizing Registration (CAR) shall only be issued

after it is established upon proper verification by the Revenue District Officer (RDO) per sale transaction of the house and lot packages in this case does not really exceed. concerned that, considering the rules on valuation of real property, the actual selling price P450,000.00.