BIR Ruling No. 596-2020

BUREAU OFINTERNAL REVENUE REPUBLICOFTHE PHILIPPINES DEPARTMENT OF FINANCE

Certificate of Tax Exemption No: b01-LH-0590-2020

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

PAGSIBOL VILLAGE -Brgys.Catmon & Bulac, Sta.Maria,Bulacan, consisting of 550 house and lot units used solely for family home or dwelling purposes, located at Brgys. Catmon & Bulac, Sta. Maria, Bulacan, a project duly registered with the Board of years beginning from June 2020 or actual start of commercial operations/selling, whichever is to Executive Order No. 226, otherwise known as the "Omnibus Investments Code of i987" and Section 2.57.5 (B) (2) of Revenue Regulations (RR) No. 2-98, as amended. income received directly in connection with its economic and low-cost housing project, Investments (BOI) under Registration No. earlier, but in no case earlier than the date of registration of the project with the BOI, pursuant (TIN) This certifies that RAEMULAN LANDS, INC. with Taxpayers Identification Number is exempt from income tax and creditable withholding tax on its dated June 22, 2020, for a period of 4

below, or house and lot and other residentiai dwellings valued at P3,199,200.00 and below, is amended. Provided, however, that beginning January 01, 2021, the VAT exemption shall only apply to sale of house and lot and other residential dwellingsi with selling price of not more than P2,000,000.00. VAT-exempt under Section 109(1)(P) of the National Internal Revenue Code of 1997, as Moreover, the sale by the Company of residential lot valued at P1,919,500.00 and

registered with the BOI, if any, including those house and lot units used for commercial purposes such as leasing, retail stores, offices, etc. shall be subject to the payment of appropriate taxes under the National Internal Revenue Code of 1997, as amended. However, the sale of house and lot units in excess of the 550 house and lot units

The Company is liable, however, for all other applicable taxes not discussed above. applicable BIR rules and regulations and the Terms and Conditions stated at the back hereof. 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_nCl i 5 2020

A0

K-1-MDT Commissioner of Internal Revenue CAESAR R.DULAY 03704 W

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

RAEMULAN LANDS,INC.(PAGSIBOL VILLAGE) (page 2 of 2) Date issued UCT 1 5 2UZ0 CTENo.BOLLH0596-202

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

The exemption from income and creditable withholding taxes covers only income directly & Bulac, Sta. Maria, Bulacan, consisting of 550 house and lot located at Brgys. Catmon & Bulac, exceeding P2,000,000.00. Moreover, the 550 house and lot units covered by License to Seli No. attributable to the revenues generated from the project,PAGSIBOL VILLAGE-Brgys.Catmon Sta. Maria, Bulacan. Such exemption shall not cover revenues from units with selling price shall not be sold for more than P1,700,000.00 per house and lot.

2.The enterprise shall observe the following project timetable:

Activity Period

Secure necessary Land Acquisition license/permit/registration from the April-November2019 January-March 2019

Start of Commercial Operations Building/House construction Site preparation and development government/training costs December 2019 -May 2022 July 2013 -February 2020 June 2020

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 incentives, VAT and duty exemptions, deductions, credits or exclusions from the tax base, as may be provided under E.O. 226, within the periods prescribed under RA No. 10708's Implementing returns and pay its tax liabilities, on or before the deadline as provided under the National Internal the BIR. It shall file with BOI a complete annual tax incentives report of its income-based tax Rules and Regulations and Joint Memorandum Circular No. 1-2016 dated September 1, 2016. Revenue Code of 199'7, as amended, using the electronic system for filing and payment of taxes of

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

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

year. :

8.Finally, 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 examination by revenue enforcement officers of this Bureau for the purpose of ascertaining whether

as amended.

2 An Act Enhancing Transparency in the Management and Accounting of Tax Incentives Administered by Investmen Promotion Agencies.