BIR Ruling No. 395-2021

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE

Quezon City.

3Ci-LEH-3 95 Certificate of Tax Exemption No: 2121

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

lot units used solely for family home or dwelling purposes, located at Brgy. Sabang, Naic, Cavite. a project duly registered with the Board of Investments (BOI) under Registration No start of commercial operations/selling, whichever is earlier, but in no case earlier than the date of registration of the project with the BOI, pursuant to Executive Order No. 226, otherwise Regulations (RR) No. 2-98, as amended. income received directly in connection with its economic and low-cost housing project, PAGSIBOL VILLAGE EAST - Brgy. Sabang, Naic, Cavite, consisting of 1,165 house and known as the "Omnibus Investments Code of 1987" and Section 2.57.5 (B) (2) of Revenue (TIN) This certifies that RAEMULAN LANDS, INC. with Taxpayer Identification Number dated August 5, 2021, for a period of 3 years beginning from August 2021 or actual is exempt from income tax and creditable withholding tax on its

apply to sale of house and lot and other residential dwellingst with selling price of not more below, or house and lot and other residentiai dwellings valued at P3,199,200.00 and below, is amended. Provided, however, that beginning January 01, 2021, the VAT exemption shall only VAT-exempt under Section 109(1)(P) of the National Internal Revenue Code of 1997, as than P3,199,2000.002. Moreover, the sale by the Company of residential lot valued at P1,919,500.00 and

purposes'such as leasing,_retail stores, Offices, etc._shall be subject to the payment of registered with the BOI, if any, including those house and lot units used for commercial appropriate taxes under the National Internal Revenue Code of 1997, as amended. However, the sale of house and lot units in excess of the 1,165 house and lot units

applicable 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

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

Issued this. day of OCT 2 5_2021]

Mea

Commissioner of Internal Revenue CAESAR R. DULAY

K-1-MDT 046606 C

Sale of lot only, regardless of the price, shall be subject to VAT starting January 01, 2021 pursuant to RA No.10963. 2 As adjusted using the 2010 Consumer Price Index values pursuant to RR N0. 8-2021 dated June 11, 2021.

(page 2 of 2) RAEMULAN LANDS, INC. (PAGSIBOL VILLAGE EAST) Date issued 0 CTE NO. 1ni-l

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

1. The exemption from income and creditable withholding taxes covers only income di.

P2.000,000.00. Moreover, the 1,165 house and lot units covered by Provisionai License to Sell No. attributable to the revenues generated from the project, PAGSIBOL VILLAGE EAST - B. Sabang, Naic, Cavite, consisting of 1,165 house and tot units located at Brgy. Sabang, Naic, Cavite. Such exemption shail not cover revenues from units with selling price exceeding

shall not be sold for more than P1,700,000.00 per house and lot.

2. The enterprise shall comply with the following milestones and total investment capital:

Milestone Period

Total Project Costs Building/House Construction Site preparation and development Start of Commercial Operations January 2021 -- October 2021 November 2020 -- May 202] August 202]

3. In the computation of the project's ITH, interest income from in-house financing shall not be considered as part of the revenues generated from the registered housing project

4. The Company's entitlement to ITH for its BOI-registered housing project is subject to the

compliance with the provisions of the Specific Terms and Conditions of its BOI Registration.

5 Pursuant to Section 4 of Republic Act (RA) No. 107083, the Company is required to file its tax

returns and pay its tax liabilities, on or before the deadline as provided under the National Internal Revenue Code of 1997, as amended, using the electronic system for filing and payment of taxes of the BIR. It shall file with BOI a complete annual tax incentives report of its income-based tax incentives, VAT and duty exemptions, deductions, credits or exclusions from the tax base, as may be provided under E.0. 226, within the periods prescribed under RA No. 10708's Implementing Rules and Regulations and Joint Memorandum Circular No. 1-2016 dated September 1, 2016.

6. The Company shall be constituted as a withholding agent for the government if it acts as employer amended, and implemented by Revenue Regulations (RR) No. 2-98, as amended. and any of its employees received compensation income subject to compensation withholding tax, or if it makes payments to individuals or corporations subject to the withholding taxes as source as required under Chapter XIII and Section 57 of the National Internal Revenue Code of 1997, as

7. The Company is required to file on or before the 15t day of the fourth month following the close

of its accounting period of a Profit and Loss Statement and Balance Sheet with the Annual Information Return under oath, stating its gross income and expenses incurred during the taxabie year.

8. Finally, the Company's books of accounts and other pertinent records shall be subject to periodic examination by revenue enforcement officers of this Bureau for the purpose of ascertaining whether

it is complying with the conditions under which it has been granted tax exemption or tax incentives and its tax liability, if any, pursuant to Section 235 of the National Internal Revenue Code of 1997, as amended.

An Act Enhancing Transparency in the Management and Accounting of Tax Incentives Administered by Investment Promotion Agencies.