BIR Ruling No. 314-2021

REPUBLICOF THE PHILIPPINES

D>EPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE

Quezon City

Certificate of Tax Exemption No:

Pu-3iE

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

This certifies that PRIMEROSE PROPERTIES & DEVELOPMENT, INC., with

withholding tax (CWT) pursuant to Section 20 (d)(1) of Republic Act (RA) No. 7279, as amended Taxpayer's Identification Number , is exempt from income tax and creditable

by RA No. 10884 (Balanced Housing Development Program Amendments) dated July 17, 2016, on its income received directly in connection with its sale of socialized house and lot units for residential and dwelling purposes to qualified beneficiaries in Viila Norisa II Subdivision, consisting of 129 and lot package does not exceed f450,000.00. socialized house and lot units, located at Brgy. Masalukot I, Candelaria, Quezon, a project duly registered with the Housing and Land Use Regulatory Board (HLURB) under Certificate of Registration No. and License to Sell No. provided that the ceiling price per house

to sale of house and lot and other residential dwellings3 with selling price of not more than exempt under Section 109(1)(P) of the National Internal Revenue Code of 1997 (Tax Code), as or house and lot and other residential dwellings valued at P3,199,200.002 and below, is VAT- amended. Provided, however, that beginning January 1, 2021, the VAT exemption shall only apply P3.199.200.00. Moreover, the sale by the Company of residential lot valued at P1,919,500.00 and below,

Housing, not being covered by RA No. 7279, shall be subject to the payment of appropriate taxes. owner/project developer/seller shall be liable to pay the DST on the documents conveying the Section 6 (E) of the same Code, whichever is higher. Likewise, lots/units classified as Economic covered by the tax exemption clause in Section 20 of RA No. 7279. Such being the case, the properties imposed under Section 196 of the Tax Code, as amended, based on the consideration contracted to be paid for such realties or on their fair market value determined in accordance with Nonetheless, it is observed 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 all other applicable taxes not discussed above. The grant of tax exemption herein is subject to the compliance with the provisions of

different, then this Certificate shall be considered null and void. as represented and submitted. However, if upon investigation, the BIR ascertains that the facts are This Certificate of Tax Exemption is being issued on the basis of the facts and documents

Issued this day of_AliG 2 { D21

8e80M CAESAR R. DULAY Commissioner of Internal Revenue K-I-JAC : 3

1 The maximum seiling price is pegged at #450,000.00 based on HLUR8 License to Sell No. 2 As adjusted in 2011 using the 2010 Consumer Price Index values per Revenue Regulation No. 8-2021 3 Sale of lot only, regardless of the price, shall be subject to VAT starting January 01, 2021 pursuant to RA No. 10963.

Primerose Properties & Development, Inc. Page 2 of 2 Date issued CTE No.

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

1. The exemption from income and creditable withholding taxes covers only income directly attributable to the revenues generated from the i29 socialized house and lot units in Villa Norisa HII Subdivision, located at Brgy...Masalukot I, Candelaria Quezon.

2. T`he devetoper sha!l 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. (CAR) for the transfer of the title of the socialized housing unit. 11-97 to the BIR during the processing of the Certificate Authorizing Registration

3. It is understood that the Certificate Authorizing Registration (CAR) shall only be issued concerned that, considering the rules on yaluation of real property, the actuat selling after it is established upon proper verification by the Revenue District Officer (RDO) price per sale transaction of the socialized house and lot packages in this case does not really exceed f450,000.00 per house and lot unit.

4. List of Non-saleable iots per HLURB License to Sell No. Region STR, Dencris Business Center, Brgy. Hatang, Calamba City, Laguna to wit: granted by the HLURB.

Non-saleable lots:

Excluded Area - Block 11; Block l, Lot 22 Open Space - Block 3 & Block 12, Lot 22 Ai! Road Lots & Alleys