BIR Ruling No. 374-2022

REPUBLICOF THE PHILIPPINES

BUREAU OF INTERNAL REVENUE DEPARTMENT OF FINANCE

Certificate of Tax Exemption No: PSHE: 3 7 4 -.2 0 2 2

CERTIFICATE OF TAX EXEMPTION TO ALL WHOM IT MAY CONCERN:

P480,000.00 per house and lot. income tax and creditable withholding tax (CWT) pursuant to Section 20 (d) (1) of Republic Amendments) dated July 17, 2016, on its income received directly in connection with its sale of socialized house and lot units to qualified beneficiaries in Lynville Homes San Marcos Pablo City, Laguna, a project duly registered with the Department of Human Settlements and Urban Development (DHSUD) under Provisional Certificate of Registration No. Provisional License to Sell No. Act (RA) No. 7279, as amended by RA No. 10884 (Balanced Housing Development Program Phase 1, consisting of 940 socialized house and lot units, located at Brgy. San Marcos, San This certifies that LYNVILLE LAND DEVELOPMENT CORP.1 is exempt from :, provided that the selling price of said units does not exceed and

below, or 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 (Tax Code) of 1997, as amended. Provided, however, that beginning January 01, 2021, the exemption 'from VAT shall only apply to sale of house and iot and other residential dwellings2 with selling price of not more than P3, 199,200.00.3 Moreover, the sale by the Company of residential lot valued at P1,919,500.00 and

Internal Revenue Code of 1997, as amended, based on the consideration contracted to be paid the same Code, whichever is higher. Likewise, lots/units classified as Economic Housing, not covered by the tax exemption clause in Section 20 of RA No. 7279. Thus, the documents conveying the properties shall be subject to DST imposed under Section 196 of the National being covered by RA No. 7279, shall be subject to the payment of appropriate taxes. for such realties or on their fair market value determined in accordance with Section 6 (E) of It is observed, however, that documentary stamp tax (DST) is not one of the taxes

applicable BIR rules and regulations and the Terms and Conditions stated at the back hereof. The Company is liable, however, for other applicable taxes not discussed above. The grant of tax exemption herein is subject to the compliance with the provisions of

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. This Certificate of Tax Exemption is being issued on the basis of the facts and

Issued this. day of AHG '2 5 23?

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K-1/220977 Commissioner of Internal Revenue LILIA CATRIS GUILLERMO 000866

: Formerly: Lynville Realty & Development Corporation 2 Sale of lot only, regardless of the price. shall be subject to VAT starting january 01. 2021 pursuant to RA No. 10963. 3 As adjusted using the 2010 Consumer Price Index values per RR No. 8-2021 dated June 1i, 2021.

LYNVILLE REALTY AND DEVELOPMENT CORPORATION (Ly nville Hontes San Marcos Phase I) CTE NO. Date issued

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

1 The exemption from income tax and creditable withholding tax covers only income directly attributable to the revenues generated from the 940 socialized house and lot units in Lynville Homes San Marcos Phase 1, located at Brgy. San Marcos, San Pablo City, Laguna.

2 The developer shall submit the sworn statement of the buyer that he is eligible as a socialized housing beneficiary under Section 5 (A) of Revenue Regulations (RR) No. l1-97 to the BIR title of the socialized housing unit. during the processing of the Certificate Authorizing Registration (CAR) for the transfer of the

3. It is understood that the Certificate Authorizing Registration (CAR) shall only be issued after it considering the'rules on valuation of real property, the actuat selling price per sale transaction of is established upon proper verification by the Revenue District Officer (RDO) concerned that. the socialized house and lot packages in this case does not really exceed P480,000.00.

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