BIR Ruling No. 38-2018

REPUBLIC OF THE PHILIPPINES

BUREAU OF INTERNAL REVENUE DEPARTMENT OF FINANCE Quezon City

Certificate of Tax Exemption No: 038-2018

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

exempt from income tax and creditable withholding tax on its income received directly in earlier, but in no .case earlier than the date of registration of the project with the BOI 1987" and Sec.2.57.5 (B)(2) of RR No, 2-98, as amended. connection with. its economic and low-cost housing project, Evissa Subdivision -- Barangay Calawisan, Lapu-Lapu City, Cebu consisting of 492 lots or units located Barangay Calawisan, Lapu-Lapu City, Cebu. a project duly registered with the Board of Investments beginning from June 2017 or actual start of commercial operations/selling, whichever is pursuant to Executive Order No. 226, otherwise known as the "Omnibus Investments Code of (BOI)under RegistrationNo. This certifies that Johndorf Ventures Corporation with TIN dated June 20,2017 for a period of 3 years IS

below, or house and lot and other residential dwellings valued at P3, 199,200.00 and below, is VAT-exempt under Section 109(1)(P) of the 1997 Tax Code, as amended. Moreover, the sale by the Company :of residential lot valued at Pl,919,500.00 and

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

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

Issued this day of JAN 2 4 2018

Me3

K-1-JHB Commissioner of Internal Revenue CAESAR R.DULAY 012748

Johndorf Ventures Corporation CTE No. 038-2018

Page2of2 Date issued12018

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

l. The exemption from income and creditable withholding taxes covers only income directly attributable to the revenues generated from the project, Evissa Subdivision - Barangay lots or units covered by License. to Sell No. Calawisan, Lapu-Lapu City, Cebu consisting of 492 lots or units, located at Barangay Calawisan Lapu-Lapu City, Cebu. Such exemption shall not cover revenues from housing units with selling price exceeding P2,000,000.00. Moreover, the 492 P1,700,000.00 per house and lot. shall not be sold for more than

The Company is obligated to. construct and sell 492 lots or units based on the following schedules/sales revenues:

Year 2 1 Volume (No. of Units) 300 90 Value(Php 000)

Pi Total 3 492 102

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.

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. 10708', the Company is required to file its provided under E.O.226, within the periods prescribed under R.A. 10708's Implementing tax returns and pay its tax liabilities, on or before the deadline as provided under the 1997 Tax Code, as amended, using the electronic system for filing and payment of taxes of the BIR. It Rules and Regulations and Joint Memorandum Circular No. 1-2016 dated September 1, 2016. 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

The Company shall be constituted as a withholding agent for the government if it acts as withholding tax, or if it makes payments to individuals or corporations subject to the employer and any of its employees 'received compensation income subject to compensation withholding taxes as source as required under Chapter XI1I and Section 57 of the Tax Code of 1997, as amended and implemented by Revenue Regulations (RR) No. 2-98, as amended

The Company is required to file on or before the 15th day of the fourth month following the close of its accounting period of a Profit and Loss Statement and Balance Sheet with the the taxable year. Annual Information Return under oath, stating its gross income and expenses incurred during

8: Finally, the Company's books of accounts and other pertinent records shall be subject to Code.of1997as amended exemption or tax incentives and its tax liability, if any, pursuant. to Section 235 of the Tax 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

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