BIR Ruling No. 437-2019

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE :: BUREAU OF INTERNAL REVENUE

Quezon City Certificate of Tax Exemption No.

0437 -2015

CERTIFICATE OF TAX EXEMPTION

issued to

ROMAN CATHOLIC ARCHBISHOP OF MANILA

EDUCATIONAL SYSTEM (RCAMES). INC. G/F St. John Bldg., Paco Catholic School, 1521 Paz St.

Brgy. 679, Zone 74. Dist..V, Paco, Manila 1007

SEC Company Reg. No. TIN:

This certifies that the above-named corporation is a non-stock, non-profit corporation 'and has proven by actual operation that its primary purpds falls under Section 30 (E) of the National Internal Revenue Code (NIRC) of 1997, as amended. It is exempt from INCOME TAX only on the foilowing revenues or receipts:

1. Membership dues; and 2. Donations 'and Grants.

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'violati'on 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 AUG 0.6 2019]

CAESAR R DULAY Commissioner of Internal Revenue K-1-JAC 027.463

4 m.T

Roman Catholic Archbishop of Manila Educational System (RCAMES), Inc. Page 2 of 3 :CTE No. Date issued AUG 0 5_2019 0437 - 2.013

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

TAX EXEMPTION

1) INCOME TAX.

meet the requirements set forth under Revenue Memorandum Ofder No. 20-2013 enumerated on the Certificate of Tax Exemption. Moreover, to be entitled to the tax exemptions enumerated herein, the association/corporation/ organization must continue to ROMAN CATHOLIC ARCHBISHOP OF MANILA EDUCATIONAL SYSTEM (RCAMES) INC. is only exempt from the payment of income tax on revenues and receipts

LIABILITY FOR INTERNAL REVENUE TAXES

1) INCOME TAX

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 (RCAMES). INC. is subject to income tax on all its income/receipts/revenues not income should be returned for taxation. : ROMAN CATHOLIC ARCHBISHOP OF MANILA EDUCATIONAL SYSTEM personal, or any activity conducted for profit regardless of the disposition thereof, which

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 to Sec. 57(A) both of the National Internal Revenue Code of 1997,'as amended. Likewise, interest income from currency bank deposits and yield or any other monetary (20%) final withholding tax: Provided, however, that ir.terest income derived by it from a depository bank under the expanded foreign currency deposit system shall be subject to fifteen percent (15%)1 final withholding income tax pursuant to Section 27(D)(1) in relation

2) VALUE ADDED TAX/PERCENTAGE TAX

If ROMAN CATHOLIC ARCHBISHOP OF MANILA EDUCATIONAL SYSTEM Pesos (P3,000,000.00)2, or to the 3% percentage tax, if gross receipts do not exceed (RCAMES). 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 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

ROMAN CATHOLIC ARCHBISHOP OF MANILA EDUCATIONAL SYSTEM (RCAMES), INC. shall be constituted as withholding agent for the government if it acts as an employer and its employees receive compensatio: income subject to the withhoiding tax under Section 79. (A); Chapter XIII, Title fI of the National Internal Revenue Code of 1997, as amended, 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

1 Republic Act No. 10963 increased the tax rate from 7.5% to 15% effective January 1, 2018. . b2 nn ffer narv 1 2018 2

i

Roman Catholic Archbishop of Manila Educational System (RCAMES), Inc. Page 3 of 3 CTE No Date issued 0 4 37 - 2019 AUG 0 6 2019

pursuant to Section 57 of the National Internal Revenue Code of 1997, as amended, as implemented by Revenue Regulations No. 2-98, as 'amended.

TAXPAYER'S DUTIES & RESPONSIBILITIES

1) ROMAN CATHOLIC ARCHBISHOP OF MANILA EDUCATIONAL SYSTEM

(RCAMES). 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 Section 237 of the National

Internai 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

Memorandum'Circular No. [RMC] No. 76-2003). are not directly related to the activities for which the Association is registered. (Revenue

4) Finally, it is subject to the payment of registration fee of P500.00 as prescribed in Section

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