BIR Ruling No. 640-2019

EU: HUCFINTERA. ENUJE 3OF THE....: EEPARI'MENTCF HI AR :

Duezon tif?

tartificate of Tax Exern io n [ :

0840-2018

CERTIFTC TE OFTAREMPTION

issued - ..

THE CNVERSIT YT.H THE PHILIPIE E FOUNDATION, Rm. 102 Fonacier Hall Ma+ y sy Avenue E+ T p"ar ipus Diliman Quez . Ci+ T

II.+.pany Re:

and hzs proven by actual ope** :. that its prima.- I ++ C -: fe..s under Section 3t I +.. he Natio..l Internal Revenue C.: ..f 1:, as amer..t...1: : :.:npt from INCOME .*.+ 1y "his certifies that rhe a+e--mr: ed corpo... r. : .. -ct-stock, non-profit ( : rp :t on

on th: fcllowing revenues of re.: : .pis:

I. Donations and Grat Is.

nothing I'ok++ 'w..

subjecr: to the provisions o a": cle BIR rules u. - ations and the tax e.: tis, integral part hereof. It is liable. owe -er, to all ot: er a.: :: : at &numerated above. liabilrties and responsibilities t. :. ir ".e Terms l ": .in s hereto attached e : :1 : ar

earlier ravoked by this Office fc :.olario of any pr st: n: : applicable rules and Iul:t t ns Ihis certificaticn shall : : valid for three : 3+ y.: it : :c:n the date of issua tae : : :ss

of BIF, or the terms and concit+. rei:. set fort)

provic.ed under Revenue Mer+.ar.dr.m Order (*: *..:. 2-2013. Failure to .: e :.- is Certiric.e shall be deemed a. : :cation thereo: up 1: th: expiration of the thre : ": This Certificate may se r: e tpon filin:* t: t: . Luant application for .al d.. ion I.t period.

docurrets as represented ard :. : -.r:itied. However, :* :. ": : investigation, the BIR. : sc :+: ins. that the: facts are different, thel : .. Ccricate shal. t: : .. : : lared null and void. "his Certificate of Ta: terrlion is bea : +r.:: (r the basis of the : act: td

Issued this day ot..I I 2

I ry . :.SRR. DULAY

K-1-JAC +. i i : : + c ner of Internal Reve he 0298 2: :

Page 2 or 3 Fhe t'rnversiry of the Philippines Foun } icn, . Ns. D:te issued DC) "TE No. D&e:E

OF THE C : RTTFHCATE O: F L.S T : EHIPTION T-RMS ANDCO TE

TAXENEMPTION

1)INCOME TAX.THE LNIM SHY OF THE EHIL.: HE FOUNDATION E : C :Y exer.pt fron the paymer.t .1. Frcome tax on 1ev :1.: 1! receipts enumerat ::l : ..Ite

Certificare of Tax Exemp:io:. Moeever, to be: en i: . d t t:.e tax exemptions err (t ted set forth under Revenue Iver: . rarduu Order Ho.: +. ! , hereu, the association/co.p..-:tion crganizatien : : : t : :mtinue to meet the rec r.rs rts E &s

LIABHUTY FOR INTERNALECETUE TATE

1) INCOME TAX

activity conducted for profit + E:ar-less. of the d:'sw : - +:: :rereof, which income :hc uic te THE_UNIVERSITYOF THE,:HPINES F I+ !IN,INC. is subject to I :O T HX on ai its income/receipts/ret..+ues not expressl? : .. +.:it :ind stated in the Cet .fi. :r: of returrei for taxation. Tax Exernption. Moreover, i. :. suE ject to the cc tr:: r. v.: g iriternal revenue taxe : i.: : s ed ureer the NIRC on its incor. derived from a : 3 : :perties, real or persct .: [. ..- .y

depc sitory bank under the e: Pardec. foreign c:r r :+ .e posit system shall be: : .is :: to fifeen pereent(15%1 final .nhc.ding income a .. r: . nt to Section27(D)(1) : [: on to ec. 5'7(A) both of the NIi: :: benefits from deposit substir:.+ +: instrunents anl fre n.r .:. funds and similar arra : e. r: s, and royalties derived fromr. st iees within the F t.i.i >:: r.. :. ar:. subject to the twen :- pc ant (20>) final withholding tax.: rovided, howev1,t : in1est income derived b it : a Likewise, interest incore f: t c-rency bank e: u.: t. ind: yield or any other :nar:ry

2) VALUE ADDED TAX/PECENTAGE TA

If IHE UNIVERSITYOFTHPHEIPPINESEC +EC NS, INC. is engaged.+ h: le of goods or services in the ct urse of a busine: : p ir.: i. ricluding transactions .:ci l.: lal

pereentage tax, if gross recei : :. co rot exceed 1 3.: (c " C++ .001 receipts from such sales: e? .ed Three Milli or: thereto, its revenues derived + :erefrorn shall be: .st.t : :++ :k : 12% VAT, in case te :r 1ss *. :*.000.000.00, or t :: -1::*

Notvithstarding that it is it .Jr-ct r, non-pr.- ... I . Dn, its purchase cf ..s sr VAl pursuant to Sections 1(. ard 107 of the N . preerties cr services and ir: :otatioa of gooc : +1 :+::r :heless be subject te :.1 ?/

3) WITHHOLDING TAX

it makes ineome paymerts :. fr:divicnuals or cer: n i...3 5.*bject to the withhe i .: nx pursuant to Section 57 of the .- IF. is implem : i: + y :venue Regulations N. 2 tas compensation income subjed . t.e ithholdi: : t:. x: section 79 (A), Ch [ e: +. THE UNVERSITY OFTEHILLPINES FL INC. shall be cOn: i te s witholding agent for the ge. -r'nr.ent if it act: is r- a::ip-c er and its employe : : r : a 'e Titte II of the NIRC, as irip. : -e.d by Revent.e. :+ .ions No. 2-98, as amet:er.." if

amerded

TRepu 3ic Act No. 10963 inereasec th. :x :it fre m 7.5% to I5+..7.: is : J11try l, 2018. 2Repu5.ic Act No. 10963 increasec th.. AT :1:re$id from P1 5 .t :. P:000,000.00 effective Jant 'y : .: i3.

Fhe-Univarsiry of the Philippines Fou: .no li. Page 3 c:f 3 Iate issued OCi... (TE No. 6 4 0 -

TAXPALYER'S DUTIES & RT: PONSIBHLITIFS

D THE UNTVERSITYOFTH HILIFPINESFE befere the I5th day of the fo. ta re.onth follow+ ......IC is required -i er :. t the accounting peri. I e+'+ : f

an Loss Statement and Ba.te Sheet with t t! i I Ir formation Return u:er o 1h. marrer of operation and ac::I it: e: as well as ::: +.: : :l c.sposition of incom:. t +- of this: Certificate of Tax E:.ctio: shall be: a i. t. stating its gross income ard .: .pere.: incurred :...: - shcving that there has rot .ee any change I .: Informatior Return. "las, Articles of Incx .:+ *ri. :re ceding period and a : er :+i. nte .: the aforementiorie :: ++.'T.

2) Ut1:- Section 235 of the :: ..tio..ai Internal (ie.. .1: 3.. of 1997, as ame +:le:.. ty provision of existing gerera. speeial law t. tr.: :: n ty notwithstanding, t1: ac : k . of Incentives, and its tax liabilii :s. if any. accotnts and other per:ift:I fercris of ta,-:: :i :+.inization or grante :s :," tx incetives shall be subjeet3 exanination y I : .13.- for purposes of as ta.riig compliarce with the condit.. :s une.er which i o 1. *+::n fanted tax exempti r *r tax

3) Furtier, it is also required t.1.ler Seton 6(Ct.n - .1 . Section 237 of the ' aaal are r.ot direetly related to th : ..c i ities for wh: h h.: : ::or ation is registered. : Re v: ue Merorandum Circular No. C. T. 76-2003). Interr.al Revenue Code of 1:+ :7. a.s a.nended, +:. .: comr:erciat invoices for eaclul : or tansfer ot et &. F- :lis : ar for services rende .- .+th .. :egistered receipts t st :.wr

4) Fira:y, it is subject to the : -ymen: of registri +: f: : (-f PhP 500.00 as pre nri ::r. in Section 236(B) of the Nat:or. I Hr.terrl Revent... C. .:.:1 15.7, as amended