BIR Ruling No. 355-2018

BUREAU OF INTERNAL REVENUE REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE Quezon City

Certificate of Tax Exemption No

0

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

creditable withholding tax on its income received directly in connection with its economic and low-cost housing project. Grand Monaco -Casa Verde McArthur Highway, Pio Cruzcosa, Calumpit, Bulacan, consisting of 59 housing units located at McArthur Highway Pio Cruzcosa, Calumpit, Bulacan. a project duly registered with the Board of Investments 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. (BOI) under Registration No. beginning from June 2016 or actual start of commercial operations/selling, whichever is earlier, but in no case earlier than the date of registration of the project with the BOI, pursuant Taxpayers Identification Number (TIN) This certifies that GRAND MONACO ESTATE DEVELOPERS, INC. with dated June 02, 2016, for a period of four (4) years is exempt from income tax and

below, or house and lot and other residential dwellings valued at P3, 199,200.00 and below, is VAT-exempt under Section 109(1)(P) of the National Internal Revenue Code of 1997, as amended. 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 59 residential units shall be subject to the

applicable 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

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 MAR u 8.2018

a

&-K-1-LMAT Commissioner of Internal Revenue CAESAR R. DULAY 014168

GRAND MONACO ESTATE DEVELOPERS, INC. (Grand Monaco - Casa Verde) CTE No. Date issued 3-8-2018 355-2018

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

I The exemption from income and creditable withholding taxes covers only income directly

attributable to the revenues generated from the project, Grand Monaco Casa Verde - MeArthur Highway, Pio Cruzcosa, Calumpit, Bulacan, consisting of 59 housing units, located at McArthur Highway, Pio Cruzcosa, Calumpit, Bulacan. Such exemption shall not cover revenues from units with selling price exceeding P3,000,000.00.

2. The Company is obligated to construct and sell 59 housing units based on the following

schedules/sales revenues:

Year I (No. of Units) Volume 21 Va|ue(Php)

2 26

3 9

D 3 Total 59

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.

S Pursuant to Section 4 of Republic Act (RA) No. 10708', the Company is required to file its tax

Implementing Rules and Regulations and Joint Memorandum Circular No. 1-2016 dated returns and pay its tax liabilities, on or before the deadline as provided under the National base, as may be provided under E.O.226,within the periods prescribed under RA No. 10708's Internal Revenue Code of 1997,as amended,using the electronic system for filing and payment of taxes of 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 September 1, 2016.

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 XII1 and Section 57 of the National Internal Revenue Code of 1997, as amended, and implemented by Revenue Regulations (RR) No.2-98, as amended.

I The Company is required to file on or before the 15t 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.

8. Finally, the Company's books of accounts and other pertinent records shall be subject to periodic 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 and its tax liability, if any, pursuant to Section 235 of the National Internal Revenue Code of 1997, as amended.

+ An Act Enhancing Transpareney in the Management and Accounting of Tax Incentives Administered by Investment Promotion Agencies.

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