BIR Ruling No. 511-2017

REPUBLIC F THE PHILIPPINES

BUREAU OF I"NTERNAL REVENUE DEPARTMENT OF FINANCE

czon Gity

Certificate of Tax Exemption No.

CFRTIFICATE OF TAX EXEMPTION

issuect to

COUNCIL FOR THE RESTOFATION OF FILIPINO

YALUES.INC. 24 Nagutlian Road. Strawberry Hotse. Baguio City TIN:

SEC Company Reg. Ne

has proven by actual operation that. its primzry nurpose falls under Seetion 30 (G) of the Nationat following revenues or rece'pis: Internal Revenue Code of 1997. as amended. It is exempt from !NCOME TAX only on the This certiffes that :he e tove- n m ed couporaiti..n .s a no.-stot . no i-rofit corporation and

I. Donations.

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and responsibilities stated in the lerms and Conditions hereto attached and made an integral part hereof. It is liable. ho+ ye r. tos all -ther *as subject to the provisions of applicabte BiR. rules and regiations and ine tax exemptions. liabitities y tnrad rkeve

revoked by this Office tor violation o ary r rovi:io? "f applicabie rules and regulations of BIR. or the terms and co.ntit.ons iereia set iorth. This certification shall be valid tor three -3: yerrs trom the date of issuance unless earlier

provided under Revenue Memorandun Order +RM No. 20-2013. Failure io renew this Certificate shall be deemed a revoeaten theriof unrn te expiration of the three (3)-year period. This Certificate may be renewed upor :in : : + a subsequent appiication for revalidation

as represented and submitled. However. if upon investigation. the BiR ascertains that the facts are different, then this ('ertificte shelt h-- eonskered u!l g' voia. This Certificate of Fax Fxerrtio is being is -ux c n the basi: of the facts and documents

Issued this y..:*,.[ NOV 0 7 2017

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K-IVDPM4 Councit fof the Restofution i;". ff Jir". I'afvesi. ti. ormissjoner . internal Reven CAESR R. DCLAY 810974

COUNCIL FOR THE RESTORATION OF FILIPINO VALUES, INC. Page 2 of 3 CTE NO. Date issued

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

TAX EXEMPTION

1) INCOME TAX. COUNCIL FOR THE RESTORATION OF FILIPINO VALUES. requirements set forth under Revenue Memorandum Order No. 20-2013. INC. is only exempt from the payment of income tax on revenues and receipts cnumerated on the Certificate of Tax Exemption. Moreover, to be entitled to the tax cxemptions cnumerated herein. thc association/corporation/ organization must continue to meet the

LIABILITY FOR INTERNAL REVENUE TAXES

1) INCOME TAX

personal. or any activity conducted for profit regardiess of the disposition thereof. which income should be returned for taxation. income tax on all its income/receipts/revenues not expressly exempted and stated in the Certificate of Tax Excmption. 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 COUNCIL FOR THE RESTORATION OF FILIPINO VALUES,INC. is subject tc

Likewise. interest income from currency bank deposits and yield or any other monetary 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. benefits from deposit substitute instruments and from trust funds and similar arrangements. and royalties derived from sources within the Philippines are subicct to the twenty percent (20%) final withholding tax: Provided. however, that interest income derived by it from a

2) VALUE ADDED TAX

incidental thereto, in general. it shall be liable for VAT on the revenues derived therefrom. If COUNCHL FOR THE RESTORATION OF FILIPINO VALUES, INC. is engaged in the sale of goods or services in the course of a business pursuit. including transactions

Notwithstanding that it is a non-stock. non-profit corporation. its purchase of goods or properties or services and importation of goods shall nevertheiess be subject to the 12% VAT pursuant to Sections 106 and 107 of the NIRC. 3) WITHHOLDING TAX

Regulations No. 2-98, as amended. constituted as withholding agent for the government if it acts as an employer and its (A). Chapter XIII, I'itle II of the NIRC, as implemented by Revenue Regulations No. 2-98. as amended. or if it makes income payments to individuals or corporations subject to the withholding tax pursuant to Section 57 of the NIRC, as implemented by Revenuc COUNCIL FOR THE RESTORATION OF FILIPINO VALUES, INC. shalI be employees receive compensation income subject to thc withholding tax under Section 79

COUNCIL FOR THE RESTORATION Page 3 of 3 OF FILIPINO VALUES, INC. Date issued_11-?-20 1 CTE No. 511-2017

TAXPAYER'S DUTIES & RESPONSIBILITIES

1) COUNCIL FOR THE RESTORATION OF FILIPINO VALUES,INC. is required tc a Profit and Loss Statement and Balance Sheet with the Annual Information Return under file on or before the 15th day of the fourth month following the end of the accounting period oath, stating its gross income and expenses incurred during the preceding period and a certificate showing that there has not heen any change"in its By-laws, Articles of Incorporation. manner of operation and activities as well as sources and disposition of income. Copy of this Certificate of Tax Exemption shall be attached to the aforementioned Annual Information Return.

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

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) Section 236(B) of the NIRC Finally, it is subject to the payment of registration fee of PhP 500.00 as prescribed in

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