BIR Ruling No. 376-2017

REPUBLICOETHEPHILIPPINES

DEPARTMENTOFFIVANCH BUREAUOFINTERNALRFYFNUE

Quczon City

Certificate of Tax Exemption No

CERTIFICATE OF TAX EXEMPTION

issued to

CONTEMPLATIVES OF THE TWO HEARTS.INC BrgySan Buenaventura San Pablo Ciy SEC Company Reg.No. TIN

proven by actual operation that its primary purpose is one of those enumcrated ander Scction 30(E) of the NationalInternalRevenue Code of1997.as amended Itis exempt from INCOMB TAX ony on the following revenues orreceipts This certifies that the above-named entity is a non-stock,non-profit corporation and ha

1 Donations and pledges

tothing follow

subiect 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 hereot.lt 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 andregulations of BiR. or the terms and conditions herein set forth.

provided under Revenue Memorandum Order (RMO No.20-2013. Failure to renew thi This Certificatemay berenewed apon filing ofa subsequent application forrevalidation

Certificaie shall be deemed a revoeation thereof upon the expiration of the three 3-year period

This Certificate of Tax Exemption is being issued on the basis of the facis and documents as represented and submitted However. if apon investigation. the BIR ascertains that the facts are different. then this Certiticate shall be considered null and void

Issued this day of

ca

Commissioner of Internal Revenue CAESARR.DULAY 008784

Conteplatives of the Two Hearts,Ine Paue 2 ot 3 C1ENo.326-207 Date Issued 84

TERMS AND CONDITIONS OF THE CERTIFICATE OF TAX EXEMPTION

TAX EXEMPTIONS

D INCOME TAX

CONTEMPLATIVES OF THE TWO HEARTS.INC.is exempt from the payment of incomc tax only on revenues and receipts emumerated on the Certificate of Tax Exemption provided. that no part of its net ineome or asset shall belong to. or inure to the benctit of any member. organizer.officer or any specific person.

LIABILITYFORINTERNALREVENUE TAXES

DINCOME TAX

CONTEMPLATIVES OF THE TWO HEARTS,INC.is subicctto income tax on allits income receipis/revenues not expressy exempted and stated in the Certificate of Tax Exempuon. Moreover it is subject io the corresponding internal revenue taxes mposed under the National Internal Revenue Code of 1997.as amended. on its income derived from any of its properties.real or personalor any activity conducted for profit regardless of the disposition thereof.which income should be returned for taxation

Likewise.interest income Trom curreney bank deposits and yield or any other monetary benetits from deposit substitute instruments and from trust funds and similar arrangements and royalties derived from sources within the 20% final withholding taxProvided. nilippines aresubiect to the twenty pereent that interest income derived by it from a depository bank under the expanded o cen urrene deposit svstem shall be subject to

27(D)(1) in relation to Sec.57(A) both of the National Internal Revenue Code of 1997.as seven and one-half percenf nnalwithholdine income tax pursuant to Secuon

amended

Z) VALUF-ADDEDTAX

If CONTEMPLATIVES OF THETWO HEARTS.INC.is engaged in the sale of goods or services in the course of a business pursuit.including transactions incidental thereto.in general.i shall be liable for value-added tax on the revenues derived therefrom

Notwithstanding that it is a non-stock. non-profit corporation its purchasc of goods or properties or services and importation of goods shall nevertheless be subiect to the 12% value-added tax pursuant to Sections 106 and 107 of the National Internal Revenue Code of1997.as amended

Contempiatives of the TwoHearts Ine Pae 3of 3 CTE No.376-17 Date 1ued8/14/201

3} WITHHOLDING TAX

CONTEMPLATIVES OFTHETWO HEARTS.INC.shall beconsttuted as withholding agent for the government if it acts as an employer and its employees receive compensation income subicct to the withholding tax under Section 79A.Chapter XI Title Ii of the National Internal Revenue Code of 1997. as amended. as implemented by Revenue Regulations No.2-98.as amended.or if it makes incomc 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

TAXPAYER'SDUTIES& RESPONSIBILITIES

CONTEMPLATIVES OFTHE TWOHEARTS.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 Siatement 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. Artictes of Incorporation. manner of operation and activities as well as sources and disposition of income.Copy of this Certifieate of Tax Exemption shall he attaehed to the aforementoned Annual Intormation Return.

2) Under Section 235 of the National Intermal Revenue Code of 1997.as amended. any provision of existing general aod special law to the contrary notwihstanding.the books ot

accounts and other peninent records of tax-exempt organization or grantees of iax 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

Internal Revenue Code of 1997,as amended.to issue duly registercd receipts or sales or commercial invoices foreach sale or transfer of merchandise or for services rendered wbich are not direetly related to the activities for which the corporation is registered (Revenue Memorandum Circular No.IRMCNo.76-2003

4 Finally.i issubjectto the payment of registration fce ofPhP500.00as prescribedin Section 236(Bof the National Internal Revenue Code of 1997.as amended