BIR Ruling No. 507-2018

REPUBLICOFTHE PHILIPPINES

BUREAU OF INTERNAL REVENUE DEPARTMENT OF FINANCE

Quezon City

Certificate of Tax Exemption No.

507-2018

CERTIFICATE OF TAX EXEMPTION

issued to

804 / 805 Cebu Holdings Condominium, Cebu Business Park, Cebu City JUANITO I.KING FOUNDATION,INC. SEC Company Keg. No. TIN:

and has proven by actual operation that its primary purpose is one of those enumerated under Section 30 (G) of the National Internal Revenue Code of 1997, as amended. It is exempt from INCOME TAX only on the following revenues or receipts: This certifies that the above-named corporation is a non-stock, non-profit corporation

I. Donations.

nothing follow.

liabilities and responsibilities stated in the Terms and Conditions hereto attached and made an integral part hereof. It is liable, however, to all other taxes not enumerated above. subject to the provisions of applicable BIR rules and regulations and the tax exemptions.

earlier revoked by this Office for violation of any provisions of applicable rules and regulations of BIR, or the terms and conditions herein set forth. This certification shall be valid for three (3) years from the date of issuance unless

period. provided under Revenue Memorandum Order (RMO) No. 20-2013. Failure to renew this Certificate shall be deemed a revocation thereof upon the expiration of the three (3)-year This Certificate may be renewed upon filing of a subsequent application for revalidation

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 ofR 142018

aa1

Commissioner of Internal Revenue CAESAR R. DULAY 014471

K-I-RSV

JUANITO I. KING FOUNDATION, INC CTE No. 507-2018

Date issued 3-14-2018

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

TAX EXEMPTIONS

1) INCOME TAX.

that no part of its net income or asset shall belong to, or inure to the benefit of any member. organizer, officer or any specific person. JUANITO I. KING FOUNDATION, INC. is exempt from the payment of income tax only on revenues and receipts enumerated on the Certificate of Tax Exemption provided

LIABILITY FOR INTERNAL REVENUE TAXES

1) INCOME TAX

income/receipts/revenues not expressly exempted and stated in the Certificate of Tax any of its properties, real or personal, or any activity conducted for profit regardless of the disposition thereof, which income should be returned for taxation. JUANITO I. KING FOUNDATION, INC. is subject to income tax on all its Exemption. Moreover, it is subject to ihe corresponding internal revenue taxes imposed under the National Internal Revenue Code of 1997,as amended, on its income derived from

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 National Internal Revenue Code of 1997, as and royalties derived from sources within the Philippines are subject to the twenty percent depository bank under the expanded foreign currency deposit system shall be subject to benefits from deposit substitute instruments and from trust funds and similar arrangements (20%) final withholding tax: Provided, however. that interest income derived by it from a amended. Likewise, interest income from currency bank deposits and yield or any other monetary

2) VALUE ADDED TAX/PERCENTAGE TAX

value added tax pursuant to Sections 106 and 107 of the National Internal Revenue Code Notwithstanding that it is a non-stock, non-profit corporation, its purchase of goods or properties or services and importation of goods shall nevertheless be subject to the 12% of 1997. as amended. in the course of a business pursuit, including transactions incidental thereto. its revenue derived therefrom shall be subject to the 12% VAT, in case the gross receipts from such sales exceed One Million Nine Hundred Nineteen Thousand Five Hundred Pesos (P1,919.500.00), or to the 3% percentage tax, if gross receipts do not exceed P1.919,500.00. 1f JUANITO I. KING FOUNDATION, INC. is engaged in the sale of goods or services

3 WITHHOLDING TAX

as amended, as implemented by Revenue Regulations No. 2-98, as amended. subject to the withholding tax under Section 79(A),Chapter XIII,Title I of the National Internal Revenue Code of 1997, as amended, as implemented by Revenue Regulations No. the withholding tax pursuant to Section 57 of the National Internal Revenue Code of1997. JUANITO I. KING FOUNDATION, INC. shall be constituted as withholding agent for the government if it acts as an employer and its employees receive compensation income 2-98, as amended, or if it makes income payments to individuals or corporations subject to

PIGE2OF

JUANITO I.KING FOUNDATION,INC. Date issued 3-14-2018 CTE NO. 502018

3) Further, it is also required under Section 6(C) in relation to Section 237 of the National 2) Under Section 235 of the National Internal Revenue Code of 1997, as amended, any TAXPAYER'S DUTIES & RESPONSIBILITIES 1) JUANITO I. KING FOUNDATION, INC. is required to file on or before the 15th day Memorandum Circular No. [RMC] No. 76-2003). Internal Revenue Code of 1997, as amended, 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 incentives shall be subject to examination by the BIR for. purposes of ascertaining compliance with the conditions under which it has been granted tax exemptions or tax provision of existing general and special law to the contrary notwithstanding. the books of accounts and other pertinent records of tax-exempt organization or grantees of tax incentives, and its tax liabilities, if any. not been any change in its By-laws, Articles of Incorporation, manner of operation and Exemption shall be attached to the aforementioned Annual Information Return. of the fourth month following the end of the accounting period a Profit and Loss Statement and expenses incurred during the preceding period and a certificate showing that there has activities as well as sources and disposition of income. Copy of this Certificate of Tax and Balance Sheet with the Annual Information Return under oath, stating its gross income

4)Finally, it is subject to the payment of registration fee of PhP500.00 as prescribed in Section 236(B) of the National Internal Revenue Code of 1997, as amended.

K--SY

PAGE 3 OF'3