BIR Ruling No. 651-2017

REPUBLIC OF "HE PHILIPPINES

BUREAU OF INTERNAL REVENUE DEPARTMENT OF FINANCE

Quezon City.

Certificate of Tax Exemption No: 651-2017

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

This certifies that HOUSEHOLD DEVELOPMENT CORPORATION, with Tax

start of commercial operations/selling, whichever is earlier, but in no case earlier than the date known as the "Omnibus Investments Code of 1987" and Section 2.57.5 (B) (2) of Revenue housing project, Camella Silang Phase 1 - Brgys. Buho (Maitim) and Malabag, Silang. Regulations (RR) No. 2-98, as amended. Identification Number (TIN) withholding tax on its income received directly in connection with its economic and low-cost Cavite, consisting of 113 housing units located at Brgys. Buho (Maitim) and Malabag, Silang. Cavite. a project duly registered with the Board of Investments (BOl) under Registration No. of registration of the project with the BOl, pursuant to Execulive Order No. 226, otherwise dated March 30. 2017, for a period of 4 years beginning from March 2017 or actual is exempt from income tax and creditable

below, or house and lot and other residential dwellings valued at P3,199.200.00 and below. is amended. 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

payment of appropriate taxes under the National Internal Revenue Code of 1997. as amended However, the sale of units in excess of 113 residential units shall be subject to the

applicable BIR ruies 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

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_DEC_1 9_2017

K-I Commissioner of Internal Revenue CAESAR R. DULAY 011996

{Camella Silaug Phase 1} HOUSEHOLD DEYELOPMENT CORPORATION CTE NO. Date issued_1--19-20-17 1-2017

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

1 The exemption from income and creditable withhoiding taxes covers only incoine directly

attributable to the revenucs generated from the project. Cameila Silang Phase I -- Brgys. Buho Buho (Maitim) and Malabag. Silang. Cavite. Such exemption shatl not cover revenues from housing units with selling price exceeding P3,000,000.00. (Maitim) and Malabag, Silang, Cavite, consisting of i13 housing units located at Brgys.

2 The Company is obligated to construct and sell 113 housing units based on the following schedutes/sales revenues:

Tota Year 3 (No. of Units) Volume 3 48 38 27 (Php '000) Value

3 In the computation of the project's IT'H, 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. 10708', the Company is required to file its tax base, as may be provided under F.O. 226, within the periods prescribed under KA No. 10708's of taxes of the BIR. It shall file with BOI a complete annual tax incentives report of its income- Implementing Rutes 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 Revenue Code of 1997, as amended, using the electronic system for fiting and payment based tax incentives, VAT and duty exemptions, deductions, credits or exclusions fron the tax

6. The Company shall be constituted as a withholding agent for the governnent if it acts as

withholding taxes as source as required under Chapter XH1 and Section 57 of the National employer and any of its employees received compensation income subject to compensation Internal Revenue Code of 1997, as amended, and implemented by Revenue Regulations (RR) No. 2-98, as amended. withholding tax, or if it makes payments to individuals or corporations subject to the

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

8. Finally. the Company's books of accounts and other pertinent records shall be subject to ascertaining whether it is complying with the conditions under which it has been granted tax exemption or tax incentives and its tax liability, if any, pursuant to Section 235 of the National Internal Revenue Code of 1997, as amended. periodic examination by revenue enforcement officers of this Bureau for the purpose of

An Act Enhancing Transparency in thc Management and Accounting of 'Tax Incentives Administered by Investment Promotion Agencics.

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