BIR Ruling No. 438-2017

BUREAU OF INTERNAL REVENUE REPUBLIC OF THE PHILIPPINES DEPARIMINT OF FINANGE

Quezon City

Certificate of Tax Exemption No. 4E-7

CERTIFICATE OF TAX EXEMPTION

issued to

PEER COUNSELLING FOUNDATION OF THE PHILIPPINES,INC 420 Family Village. Gov. Pedro F. Espiritu St., Panapaan. Bacoor City SEC Company Reg. No. TIN

30 (H) of the National Internal Revenuc Code of 1997. as amended. It is exempt from iNCOME proven by actual operation that its primary purpose is one of those enumerated under Section TAX only on the following revenues or receipts: This certifies that the above-named entity is a non-stock. non-profit corporation and has

1 2 3 PEER COUNSELLING FOUNDATION OF THE PHILIPPINES INC. to be actually, directly and exclusively used for educationai Donations; and bookstores located within its premises, owned and operated by purposes. Tuition fees and other fees: income derived from the operation of cafeterias/canteens and

nothing follow. 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. lt is liable, however. to atl other taxes not enumerated ahove.

for violation of any provisions of applicable rules and regulations of the BIR. or the terms and conditions herein set forth. It shatl Hikewise be revoked if' there are material changes in the character. purpose or method of operation of the corporation which are inconsistent with the basis for its inconme tax cxemption. This certification shall be valid from the date of issuance until revoked by this Office

documents as represented and submitted. However. if upon investigation. the BIR ascertains that the facts are different, then this (ertificate shall be considered null and void. This Certificate of Tax Fxemption is being issued on the basis of the facts and

Issued this. day of .I - C 2?

Commissioner of Internal Revenue CAESAR R. DULAY

K-1-RFR

CELIA C. KiNO C: C

Peer Counselling Foundation of the Philippines, inc. Page 2 of 4 Date Issued: CTE NO. 4EO1

TAX EXEMPTION Under Section 30 (H) of the National Internal Revenue Code of 1997, as amended OF THE CERTIFICATE OF TAX EXEMPTION For Non-Stock, Non-Profit Educational Institution TERMS AND CONDITIONS

1) INCOME TAX

following requisites as set forth under Revenue Memorandum Order (RMO) No 44-2016. from the paymcnt of income tax only on revenues and receipts enumerated on the Certificate of Tax Exemption. It is understood that the school must continue to mcet the to wit: PEER COUNSELLING FOUNDATION OF THE PHILIPPINES, INC. is eXCmpt

b) Its revenues are actually, directly and exclusively used for cducational a) It is a non-stock. non-profit educational institution: and purposes.

actually. directly and exclusively in pursuance of its purpose as an educational institution. Revenue Code of 1997, as amended, subject to compliance with the conditions that as a PEER COUNSELLING FOUNDATION OF THE PHILIPPINES, INC.'s interest income from currency bank deposits and yield from deposit substitute instruments used are exempt from the 20% final tax and 7 1/2% tax on inierest income under thc expanded foreign currency deposit system imposed under Section 27 (D) (1) of the National Internal tax-exempt educational institution it shall on an annual basis submit to the Revenue District together with the following: Office concerncd an annual information return and duly audited financiai statement

a) Certification from their depository banks as to the amount of interest income earned from passive investment not subject to the 20% final withholding tax and 7 1/2% tax on interest incomc under the expanded foreign currency deposit system imposed by Section 27 (D) (1) of thc National Internal Revenue Code of i997, as amended:

b) Certification of actual utilization of the said income; and

c) Board Resolution by the school administration on proposed projects (i.c.. construction and/or improvement of school buildings and facilities. acquisition of equipment. books and the like) to be funded out of the money deposited in banks or placed in money markets. on or before the 15th day of the fourth month following the end of its taxable year (Sec. 4, Finance Department Order No. 137-87)'.

2} VALUE-ADDED TAX (VAT) ON EDUCATIONAL SERVICES. Pursuant to Section operations as a non-stock, non-profit educational institution are exempt from V AT . 109(1)H) of the National Internal Revenue Code of i997. as amended. PEER COUNSELLING FOUNDATION OF THE PHILIPPINES INC.'s gross receipts from

: Department Order No. 149-95 dated November 24, 1995 amending Department Order No. 137-87

Peer Counselling Foundation of the Philippines. Inc. Pagc 3 of 4 Date Issued: CTE No. 438-2017

LIABILITY FOR INTERNAL REVENUE TAXES

1) INCOME TAX

the Certificate of Tax Exemption. Moreover, it is subject to the corresponding internal revenue taxes imposed under the National Internal Revenuc Codc of 1997. as amended, on its income derived from any of its properties. real or personal. or any activity conducted for profit, which income should bc returned for taxation. unless said revenues are actually. directly and exclusively used for educational purposes. PEER COUNSELLING FOUNDATION OF THE PHILIPPINES INC. is subject to income tax on all its income/receipts/revenues not expressiy exempted and stated in

2) VALUE-ADDED TAX (VAT)

incidental thereto, in general. it shall be liable for VAT on the revenues derived therefrom. in the sale of goods or services in the course of a business pursuit. including transactions If PEER COUNSELLING FOUNDATION OF THE PHILIPPINES, INC. is engaged

Notwithstanding that it is a non-stock. non-profit corporation. its purchase of goods or amended. properties or services and importation of goods shall nevertheless be subiect to the 12% VAT pursuant to Sections 106 and 107 of the National Internal Revenue Code of 1997, as

3) WITHHOLDING TAX

constituted as withholding agent for the government if it acts as an employer and its employees receive compensation income subject to the withholding tax under Section 79 implemented by Rcvenue Regulations No. 2-98. as amended. or if it makes income Revenue Regulations No. 2-98, as amended. PEER COUNSELLING_FOUNDATION OF THE _PHILIPPINES, INC. sha!I bc (A), Chapter XIII. Title'Il of the National Internal Revenue Code of 1997, as amended, as payments to individuals or corporations subject to the withholding tax pursuant to Section 57 of the National Internal Revenue Code of 1997, as amended. and as implemented by

TAXPAYER DUTIES & RESPONSIBILITIES

1) PEER COUNSELLING FOUNDATION OF THE PHILIPPINES,INC. is required to a Profit and Loss Staiement and Balance Sheet with the Annual Information Return under oath. stating its gross income and expenses incurred during the preceding period and a file on or before the 1 5th day of the fourth month following the end of the accounting period certificate showing that there has not been any change in its By-laws, Articles ol 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 incentives. and its tax liabilities, if any. incentives shall be subject to examination by the BIR for purposes of asccrtaining compliance with the conditions under which it has been granted tax exemptions or tax 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

Peer Counselling Foundation of the Philippines. Inc. Page 4 of 4 Date issued: CTE NO.

3) Further. it is also required under Section 6(C) in relation to Section 237 of the National commercial invoices for cach sale or transfer of merchandise or for services rendered which Internal Revenue Code of 1997. as amended, to issue duly registered receipts or sales or are not directly related to the activities for which the corporation is registered. (Revcnue Memorandum Circular No. (RMCj No. 76-2003).

4) Finally. it is subject to the payment of registration fee of PhP500.00 as prescribed in Section 236(B) of the National Internal Revenue Code of 1997, as amended.