BIR Ruling No. 472-2017

RFPURLIC O; THE PHILIPPINES DEPARIMFNT OF FINANCE BUREAU OF INTERNAL REVENUE

Quc: on City

Certificate of Tax Exemption No: 47-3C 1

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

This certifies that 77 LIVING SPACES, INC.'. with Tax Identification Number

is exempt from income tax and creditable withholding tax on its income received

City. a project duly registered with the Board of Investments (BOI) under Registration No. directly in connection with its economic and low-cost housing project, Florence by Aidea Premier -- Cubacub, Mandauc City. consisting of 241 units located at Cubacub. Mandaue dated January 25. 2016. for a period of 3 years beginning from January 2016 or actual start of commercial operations/selling. whichever is earlier. but in no case earlier than the date of registration of the project with the BO1. pursuant to Executive Order No. 226] otherwise known as the "Omnibus Investments Code of 1987" and Section 2.57.5 (B)(2) of Revenue Regulations No. 2-98, as amended.

below, or house and lot and other residential dwellings valued at P3.199.200.00 and below. is VA7-exempt under Section 109(1)(P) of the 1997 Tax Code, as amended. Moreover, the sale by the Company of residential lot valued at P1,919.500.00 and

The grant of tax exemption herein is subject to the compliance with the provisions of 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.

This Certificatc of Tax Exemption is being issued on the basis of thc 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 I..I

K-1-JAC Commissioner of Internal Revenuc CAESAR R. DULAY 0 09 6 2 9

' Doing business under the names and styles of Aldea Homes: Seventy-Seven Living Spaces and Aldea Homes Dumaguete.

Page 2 of 2 77 Living Spaces, Inc CtE No. Date issued 1 72-X7 ..:

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

The exemption from income and creditable withholding taxes covers oniy income directly attributabic to the revenues generated from the project, Florence by Aldea Premier Cubacub, Mandauc City consisting of 241 units. located at Cubacub. Mandaue C'ity. Such exemption shall not cover revenues from units with selling price exceeding P3.000.000.00.

D The Company is obligated to construct and sell 241 housing units based on the foliowing schedules/sales revenues:

Year (No. of Units) Volume Va|ue (Php '000)

81

Total 24 1

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. 10708. the Company is required to filc its tax

returns and pay its tax liabilities. on or before the deadline as provided under the 1997 Tax Code, as anended, using the electronic system for filing and payment of taxes of the BIR. It VAt' and duty exemptions. deductions. credits or exciusions fron the tax base. as may be shall file with BOI a complete annual tax incentives report of its income-based tax incentives.

provided under E.0. 226, within the periods prescribed under R.A. 10708's impiementing Rules and Regulations and Joint Memorandum Circuiar No. 1-2016 dated September 1, 2016.

6. The Company shail be constituted as a withholding agent for the government if it acts as employer and any of its employees received compensation income subject to compensation withholding tax. or if it makes payments to individuals or corporations suhject to the

1997. as amended and implemented by Revenue Regulutions (RR) No. 2-98. as amended. withholding taxes as source as required under Chapter XIH and Section 57 of the Tax Code of

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

taxable year.

8. Finaily. 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 exemption or tax incentives and its tax liability. if any- pursuant to Section 235 of the Tax Code ascertaining whether it is complying with the conditions under which it has been granted tax

of i997. as amended.

2 An Act Enhancing I'ransparency in the Management and Accounting of Tax Incentives Administered hy Investment Promotion Agencies.