BIR Ruling No. 354-2017

BUREAU OF INTERNAL REVENUE REPUBLICOF THE PHILIPPINES DEPARTMENT OF FINANCE

Certificate of Tax Exemption No.

354-2017

CERTIFICATE OF TAX EXEMPTION

issued to

MOTHERFRANCISCA SPIRITUALITY CENTER OFGENERAI

Arradaza St.. Lagao. General Santos City SEC Reg. No. SANTOS CITY,INC. TIN

National Internal Revenue Code of 1997, as amended. It is exempt from INCOME TAX only and has proven by actual operation that its primary purpose falls under Section 30(E) of the on the following revenues or receipts: This certifies that the above-named corporation is a non-stock, non-profit corporation

1. Donations

-nothing follows

liabilities and responsibilities stated in the Terms and Conditions hereto attached and made an integral part hereof. It is liable, however, to all other taxes not enumerated above. subject to the provisions of applicable BIR rules and regulations and the tax exemptions.

of BIR, or the terms and conditions herein set forth. earlier revoked by this Office for violation of any provisions of applicable rules and regulations This certification shall be valid for three (3) years from the date of issuance unless

This Certificate may be renewed upon filing of a subsequent application for revalidation provided under Revenue Memorandum Order (RMO) No. 20-2013. Failure to renew this

period. Certificate shall be deemed a revocation thereof upon the expiration of the three (3)-year

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 and void.

Issued this day of AUG 082017

1es

K-1 Commissioner of Internal Revenue CAESAR R.DULA 008408

MOTHER FRANCISCA SPIRITUALITY CENTER OF GENERAL SANTOS CITY, INC Page 2 of 3 Date issued CTE No. 354-2017

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

TAX EXEMPTION

1) INCOME TAX. MOTHER FRANCISCA SPIRITUALITY CENTER OF GENERAL to meet the requirements set forth under Revenue Memorandum Order No. 20-2013 SANTOS CITY,INC.is only exempt from the payment of income tax on revenues and receipts enumerated on the Certificate of Tax Exemption. Moreover, to be entitled to the tax exemptions enumerated herein, the association/corporation/ organization must continue

LIABILITY FOR INTERNAL REVENUE TAXES

1 INCOME TAX

MOTHER FRANCISCA SPIRITUALITY CENTER OF GENERAL. SANTOS CITY, INC. is subject to income tax on all its income/receipts/revenues not expressly exempted and stated in the Certificate of Tax Exemption. Moreover, it is subject to the corresponding internal revenue taxes imposed under the NIRC on its income derived from any of its properties,real or personal.or any activity conducted for profit regardless of the disposition thereof, which income should be returned for taxation.

In particular, income from the rental of venue for retreats and seminars are subject to income tax pursuant to the last paragraph of Section 30 of the NIRC.

Likewise, interest income from currency bank deposits and yield or any other monetary benefits from deposit substitute instruments and from trust funds and similar arrangements. and royalties derived from sources within the Philippines are subject to the twenty percent (20%) final withholding tax: Provided, however, that interest income derived by it from a depository bank under the expanded foreign currency deposit system shall be subject to seven and one-half percent (7-1/2%) final withholding income tax pursuant to Section 27(D)(1) in relation to Sec. 57(A) both of the NIRC.

2) VALUE ADDED TAX

If MOTHER FRANCISCA SPIRITUALITY CENTER OF GENERAL SANTOS including transactions incidental thereto, in general, it shall be liable for VAT on the CITY,INC.is engaged in the sale of goods or services in the course of a business pursuit

revenues derived therefrom.

Notwithstanding that it is a non-stock, non-profit corporation, its purchase of goods or properties or services and importation of goods shall nevertheless be subject to the 12% VAT pursuant to Sections 106 and 107 of the NIRC.

3) WITHHOLDING TAX

MOTHER FRANCISCA SPIRITUALITY CENTER OF GENERAL SANTOS

employer and its ernployees receive compensation income subject to the withholding tax CITY,INC.shall be constituted as withholding agent for the government if it acts as an

corporations subject to the withholding tax pursuant to Section 57 of the NIRC, as Regulations No. 2-98, as amended, or if it makes income payments to individuals or implemented by Revenue Regulations No. 2-98, as amended. under Section 79 (A), Chapter XIII, Title II of the NIRC, as implemented by Revenue

MOTHER FRANCISCA SPIRITUALITY CENTER OF GENERAL SANTOS CITY, INC Page 3 of 3 Date issued CTE No. 3O 82017

TAXPAYER'S DUTIES &RESPONSIBILITIES

MOTHER FRANCISCA SPIRITUALITY CENTER OF GENERAL SANTOS CITY, INC. is required to file on or before the 15th day of the fourth month following the its By-laws, Articles of Incorporation. manner of operation and activities as well as sources Annual Information Return under oath. stating its gross income and expenses incurred during the preceding period and a certificate showing that there has not been any change in the aforementioned Annual Information Return. end of the accounting period a Profit and Loss Statement and Balance Sheet with the and disposition of income. Copy of this Certificate of Tax Exemption shall be attached to

2) Under Section 235 of the NIRC, any provision of existing general and special law to the purposes of ascertaining compliance with the conditions under which it has been granted tax exemptions or tax incentives, and its tax liabilities, if any. contrary notwithstanding, the books of accounts and other pertinent records of tax-exempt organization or grantees of tax incentives shall be subject to examination by the BIR for

3) Further, it is also required under Section 6(C) in relation to Section 237 of the NIRC to issue duly registered receipts or sales or commercial invoices for each sale or transfer of merchandise or for services rendered which are not directly related to the activities for which the Association is registered.(Revenue Memorandum Circular No.[RMC] No.76 2003

4) Finally, it is subject to the payment of registration fee of PhP 500.00 as prescribed in

Section 236(B) of the NIRC