BIR Ruling No. 633-2020

BUREAU OF INTERNAL REVENUE REPUBLIC OF THE.PHILIPPINES DEPARTMENT OF FINANCE

Quezon City

Certificate of Tax Exemption No:

BOI-LEH-633-2

CERTIFICATE OF TAX EXEMPTION TO ALL WHOM IT MAY CONCERN:

San Pablo City, Laguna. a project duly registered with the Board of Investments (BOI) under November 2018 or actual start of commercial operations/selling, whichever is earlier, but in no case tax on its income received directly in connection with its economic and low-cost housing project, 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. Identification Number (TIN) Lynville Residences San Nicolas II2 - Brgy. San Nicolas, San Pablo City, Laguna, consisting of 4213 house and lot units used solely for family home or dwelling purposes, located at Brgy. San Nicolas, Registration No. This certifies that LYNVILLE LAND DEVELOPMENT CORP.1, with Taxpayer dated November 8, 2018, for a period of four (4) years beginning from is exempt from income tax and creditable withholding

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

the BOI, if any, including those 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 421 house and lot units registered with

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 applicable

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

Issued this day of NOV 1 0 2020

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K-1 Commissioner of Internal Revenue CAESAR R. DULAY 037682

3 The ManCom. in its meeting on March 9, 2020 and by virtue of Resolution No. 09-18, Series of 2020, noted and confirmed 2 Per Affidavit of One and the Same dated March 5, 2020 of Mr. Kerwin V. Padua, the President of Lynville Land Formerly:Lynville Realty& Development Corporation September 19, 2019 and Lynville Residences San Nicolas II registered with the BOI under COR No. Development Corp., Lynville Residences San Nicolas Il Phase 2 registered with the Housing and Land Use Regulatory November 8. 2018 refer to one and the same project. the amendment of its registered capacity from 41 1 to 421 house and lot units. Board (HLURB under Certificate of Registration (COR No. and License to Sell(LTS No. both dated dated

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

LYNVILLE LAND DEVELOPMENT CORPORATION (Lynville Residences San Nicolas I1) Date issued:0V20 CTE No.: BOI-LEH-3533-Z2

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

1. The exemption from income and creditable withholding taxes covers only income directly shall not cover revenues from units with selling price exceeding P2,000,000.00. attributable to the revenues generated from the project, Lynville Residences San Nicolas II-- Brgy. San Nicolas, San Pablo City, Laguna, consisting of 421 house and lot units used solely for family home or dwelling purposes, located at Brgy. San Nicolas, San Pablo City, Laguna. Such exemption

2.In the computation of the project's ITH, the following shall apply:

a. Only income generated from the sale of housing units (Lynville Residences San Nicolas

and used solely for family home or dwelling purposes and not for commercial purposes Such as leasing, retail stores, offices, etc. shall be qualified. II -- Brgy. San Nicolas, San Pablo City, Laguna) with selling price not exceeding Php2.0M

b. Interest income from in-house financing shall not be considered as revenues generated from the registered activity.

3.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.

4 Pursuant to Section 4 of Republic Act (RA) No. 107085, the Company is required to file its tax

Revenue Code of 1997, as amended, using the electronic system for filing and payment of taxes of 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 the BIR. It shall file with BOI a complete annual tax incentives report of its income-based tax incentives, VAT and duty exemptions, deductions, credits or exclusions from the tax base, as may

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.

6 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 Annual Information Return under oath, stating its gross income and expenses incurred during the taxable year.

1 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, examination by revenue enforcement officers of this Bureau for the purpose of ascertaining whether it is complying with the conditions under which it has been granted tax exemption or tax incentives as amended.

An Act Enhancing Transparency in the Management and Accounting of Tax Incentives Administered by Investment

Promotion Agencies.