BIR Ruling No. 479-2021

^tippv5*i REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE BUREAU OEINTEM^AL REVENUE Quezon City Certificate ofTax Exemption No: - 'f ' t 'i, ~ 7 T "T" s CERTIFICATE OF TAX EXEMPTION TO ALL WHOM IT MAY CONCERN: This certifies that COMMUNITIES DAVAO, INC. with Taxpayer Identification Number(TIN) .0, is exempt from income tax and creditable withholding tax on its income received directly in connection with its economic and low-cost housing project, Lessandra Toril- Brgy. Bate,Tori! District, Davao City, consisting of 172 house and lot units used solely for family home or dwelling purposes, located at Brgy Bato,Toril District, Davao City,a project dulv registered with the Board ofInvestments(B01)under Certificate of Registration No.' ^ dated December 19,2019, for a period of 4 years beginning from December 2019 or actual start ofcommercial operations/selling,w lichever is earlier, but in no case earlier than the date ofregistration ofthe project with the BOI, pursuantto Executive Order(EG)No.226,otherwise known as the"Omnibus Investments Code of1987"and Section 2.57.5(B)(2)ofRevenue Regulations(RR)No.2-98, as amended. Moreover, the sale by the Company of residential lot valued at PI,919,500.00 and 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) ofthe National Internal Revenu(; Code(Tax Code)of 1997, as amended. Provided, however,that beginning January 01, 2021,the VAT exemption shall only apply to sale of house and lot and other residential dwellings' with selling price of not more than P3,199,200.00^. However, the sale of house and lot units in excess of the 172 house and lot units registered with the BOI, if any, including those units used for commercial purposes such as leasing, retail stores,offices,etc. shall be subject to the payment ofappropriate taxes under the Tax Code of 1997,as amended. The grant oftax 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 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 a nd void. Issued this day of ijhC CAESAR R.DULAY Commissioner ofInternal Revenue K-l-GPS 'Sale oflot only,regardless ofthe price,shall be subjectto VATstarting January 01.2021 pursuantto RA iMo. 10963. ^ As adjusted using the 2010 Consumer Price Index values pursuant to RR No.8-2021 dated Jutte 11,2021.