BIR Ruling No. 596-2019

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE

Quezon City

Certificate of Tax Exemption No: 0596-2019

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

This certifies that BRIA HOMES, INC. with Taxpayers Identification Number (TIN)

.s exempt from income tax and creditable withholding tax on its income received aireciy in connection with its economic and low-cost housing project (horizontal) Northridge Central Lane Subdivision - Gaya-Gaya, San Jose del Monte City, Bulacan

3 years beginning from December 2017 or actuai start of commercial operations/selling, consisting of 145 house and lot units used solely for family home or dwelling purposes, located at Gaya-Gaya, San Jose del Monte Citv. Bulacan. a nroject duly registered with the Board of whichever is earlier, but in no case earlier than the date of registration of the project with the BOI, 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 (RR) No. 2-98, as amended. Investments (BOI) under I jated , for a period of

Moreover, the sale by the Company of residential lot valued at P1,919.500.00 and

apply to sale of house and lot and other residential dwellingst with selling price of not more below, or house and lot and other residential dwellings valued at P3,199,200.00 and below, is amended. Provided, however, that beginning January 01, 2021, the VAT exemption shall only than P2.000.000.00. VAT-exempt under Section 109(1)(P) of the National Internal Revenue Code of 1997, as

However. the sale of house and lot units in excess of the 145 house and lot units registered with the BOI, if any, including those house and lot units used for commercial

Revenue Code of 1997, as amended. purposes shall be subject to the payment of appropriate taxes under the National Internal

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

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

Issued this day of OCT 1 1 2019

0emy

Commissioner of Internal Revenue CAESAR R. DULAY

029561 K-1-MDT

Sale of Jot only: regardless of the price, shall be subject to VAT starting January 01. 2021 pursuant to RA No. 10963

(page 2 of 2) BRIA HOMES, INC. (NORTHRIDGE CENTRAL LANE SUBDIVISION) Date issued CTE NO 05 9 6 -2 0 19 UCT"1 2019

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

1. The exemption from income and creditable withholding taxes covers only income directly house and lot package. revenues from units with seiling price exceeding P2,000,000.00. Moreover. the 145 house and lot attributable to the revenues generated from the project Northridge Central Lane Subdivision located at Gaya-Gaya, San Jose del Monte City, Bulacan. Such exemption shali not cover units covered by - Gaya-Gaya, San Jose del Monte City, Bulacan, consisting of 145 house and lot units shail not be sold for more than Pl,700,000.00 per

2. The Company is obligated to construct and sell 145 house and lot units based on the following schedules/sales revenues:

Year 2 A Volume (No. of Units) 64 51 Value (Php'000)

3 30 Total 145

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. 107082. the Company is required to file its tax the BIR. It shall file with BOI a complete annual tax incentives report of its income-based tax be provided under E.O. 226, within the periods prescribed under RA No. 10708's Implementing Rules and Regulations and Joint Memorandum Circular No. 1-2016 dated September 1, 2016. returns and pay its tax liabilities, on or before the deadline as provided under the National Internal Revenue Code of 1997, as amended, using the electronic system for filing and payment of taxes of incentives, VAT and duty exemptions, deductions, credits or exclusions from the tax base, as may

6. The Company shall 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. required under Chapter XIII and Section 57 of the National Internai Revenue Code of 1997. as amended, and implemented by Revenue Regulations (RR) No. 2-98, as amended. or if it makes payments to individuals or corporations subject to the withholding taxes as source as

The Company is required to file on or before the 15th day of the fourth month following the close of its accounting period of a Profit and Loss Statement and Balance Sheet with the Annua! Information Return under oath, stating its gross income and expenses incurred during the taxabie year.

8. Finatly, the Company's books of accounts and other pertinent records shall be subject to periodic and its tax liability, if any. pursuant to Section 235 of the National internal Revenue Code of 1997. it is complying with the conditions under which it has been granted tax exemption or tax incentives as amended. examination by revenue enforcement officers of this Bureau for the purpose of ascertaining whether

2 An Act Enhancing T'ransparency in the Management and Accounting of Tax incentives Administered by Investment Promotion Agencies.