BIR Ruling No. 739-2019

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE

Quezon City

Certificate of Tax Exemption No.

0739-2019

CERTIFICATE OF TAX EXEMPTION

issued to

EAST ASIAN PASTORAL INSTITUTE, INC.

Ateneo De Manila University Campus, Loyola Heights, Quezon City

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 amenaed. It is exempt from INCOME TAX only

on the following revenues or receipts:

1. Donations.

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.

This certification shall be valid for three (3) years from the date of issuance unless

earlier revoked by this Office for violation of any provisions of applicable rules and regulations

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

This Certificate may be renewed upon filing of a subsequent application for revalidation

provided under Revenue Memorandum Order (RMO) No. 20-2013. Failure to renew this

Certificate shall be deemed a revocation thereof upon the expiration of the three (3)-year

period.

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 of_DEC 0 9 2019.

Aaie

CAESARR. DULAY Commissioner of Internal Revenue

031108

K-1-MDT

0739-2019

EAST ASIAN PASTORAL INSTITUTE, INC Page 2 of 3 Date issued DEC 0 9 2019

TERMS AND CONDITIONS OF THE CERTIFICATE OF TAX EXEMPTION

TAX EXEMPTION

1) INCOME TAX. EAST ASIAN PASTORAL INSTITUTE,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.

LIABILITY FOR INTERNAL REVENUE TAXES

1) INCOME TAX

EAST_ASIAN PASTORAL INSTITUTE. INC. is subject to income tax on all its

income/receipts/revenues not expressly exempted and stated in the Certificate of Tax

Exemption. Moreover, it is subject to the corresponding internal revenue taxes imposed

under the National Internal Revenue Code of 1997, as amended on its income derived 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 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 withhoiding tax: Provided, however, that interest income derived by it from a

depository bank under the expanded foreign currency deposit system shall be subject to

fifteen percent (15%) final withholding income tax pursuant to Section 27(D)(1) in relation

to Sec. 57(A) both of the National Internal Revenue Code of 1997, as amended.

2) VALUE ADDED TAX/PERCENTAGE TAX

If EAST ASIAN PASTORAL INSTITUTE, INC.. is engaged in the sale of goods or

services in the course of a business pursuit, including transactions incidental thereto, its

revenues derived therefrom shall be subject to the 12% VAT, in case the gross receipts

from such sales exceed Three Million Pesos (P3,000,000.00)2, or to the.3% percentage tax,

if gross receipts do not exceed P3.000.000.00.

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 National Internal Revenue Code of 1997, as

amended.

3) WITHHOLDING TAX

EAST ASIAN PASTORAL INSTITUTE, INC 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 Regulations 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 National Internal Revenue Code of 1997, as amended, as implemented by

Revenue Regulations No. 2-98, as amended.

iRepublic Act No. 10963 increased th0 te from 7.5% to 15% effective January 1, 2018. 919,500.00 to P3,000,000.00 effective January 1, 2018.

0339-2019

EAST ASIAN PASTORAL INSTITUTE, INC Date issued DEC 0 9 2019 Page 3 of 3

TAXPAYER'S DUTIES & RESPONSIBILITIES

1) EAST ASIAN PASTORAL INSTITUTE, INC. 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 National Internal Revenue Code of 1997, as amended, 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.

3) Further, it is also required under Section 6(C) in relation to Section237 of the National

Internal Revenue 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

are not directly related to the activities for which the Association is registered. (Revenue

Memorandum Circular No. [RMC] No. 76-2003).

4) Finally, it is subject to the payment of registration fee of PhP 500.00 as prescribed in

Section 236(B) of the National Internal Revenue Code of 1997, as amended.