BIR Ruling No. 388-2018

REPUBLIC OF THE PHILIPPINES A DEPARTMENT OF FINANCE

BUREAU OF INTERNAL REVENUE

Quezon City

Certificate of Tax Exemption No. 388-2018

CERTHFICATE OF TAX EXEMPTION

issued to

DASARANG CHURCH, INC B6 L1 Brgy. Zone 1-A, Dasmarinas City, Cavite

SEC Company Reg. No. TIN:

This certifies that the above-named corporation is a non-stock, non-profit corporation

and has proven by actual operation that its primary purpose falls under Section 30 (E) of the

National Internal Revenue Code of 1997, as amended. It is exempt from INCOME TAX only

on the following revenues or receipts:

1. Support, Donation, Tithes and Offerings.

nothing follows.

subject to the provisions of applicable BIR rules and regulations and the tax exemptions.

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.

This certification shall be valid for three (3) years from the date of issuance unless

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 Certificate may be renewed upon filing of a subsequent application for revalidation

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

period.

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

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.

Issued this day of MAR 0 8 2018

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Comsner f nteng Reve 8 CAESAR R. DULAY 014

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Page 2 of 3 Dasarar.g Church. Inc. Date issued 3-&-2018 CTE No. 388-2018

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

TAX EXEMPTION

1) INCOME TAX. DASARANG CHURCH,INC. is only exempt from the payment of income tax on revenues and receipts enumerated on the Certificate of Tax Exemption Moreover,: to be entitled to the tax: : exemptions enumeratedherein, the association/corporation/ organization must continue to meet the requirements set forth under Revenue Memorandum Order No. 20-2013. .

LIABILITY FOR INTERNAL REVENUE TAXES

1). INCOME TAX

subject to the corresponding internal revenue taxes imposed under the NIRC on its income regardless of the disposition thereof, which income should be returned for taxation. not expressly exempted and stated in the Certificate of Tax Exemption. Moreover, it is derived from any of its properties, real or personal, or any activity conducted for profit DASARANG CHURCH, INC. is subject to income tax on all its income/receipts/revenues

Likewise, interest income from currency bank deposits and yield or any other monetary (20%) final withholding tax: Provided, however, that interest income derived by it*from a to Sec. 57(A) both of the NIRC. benefits from deposit substitute instruments and from trust funds and similar arrangements, depository bank under the expanded foreign currency deposit system shall be subject to fifteen percent (15%)' final withholding income tax pursuant to Section 27(D)(1) in relation and royalties derived from sources within the Philippines are subject to the twenty percent

2) VALUE ADDED TAX/PERCENTAGE TAX

therefrom shall be subject to the 12% VAT, in case the gross receipts from such sales exceed Three Million Pesos (P3,000,000.00)2, or to the 3% percentage tax, if gross receipts do not exceed P3,000,000.00. of a business pursuit, including transactions incidental thereto, its revenues derived If DASARANG CHURCH, INC. is engaged in the sale of goods or services in the course

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% VA'T pursuant to Sections 106 and 107 of the NIRC.

3) WITHHOLDING TAX

DASARANG CHURCH, INC. shall be constituted as withholding agent for the government if it acts as an employer and its employees receive compensation income subject : to the withholding tax under Section 79 (A), Chapter XIII, Title II of the NIRC, as implemented by Revenue Regulations No. 2-98, as amended, or if it makes income payments to individuals or corporations subject to the withholding tax pursuant to Section 57 of the NIRC, as implemented by Revenue Regulations No. 2-98, as amended.

: Republic Act No. 10963 increased the tax rate from 7.5% to 15% effective Jan. 1, 2018 2 Dnn..hl f A D3 NNn nNA AN effective

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Page 3 of 3 Dasarang Church, Inc. CTE No. 388-2018 Date issued_3-8-2018

TAXPAYER'S DUTIES & RESPONSIBILITIES

1) DASARANG CHURCH, INC. is required to file on or before the 15th day of the fourth

month following the end of the accounting period a Profit and Loss Statement and Balance Sheet with the Annual Information Return under oath, stating its gross income and expenses incurred during the preceding period and a certificate showing that there has not been any change in its By-laws, Articles of Incorporation, manner of operation and activities as weil as sources and disposition of income. Copy of this Certificate of Tax Exemption shall be attached to the aforementioned Annual Information Return.

2) Under Section 235 of the NIRC, any 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 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 incentives, and its tax liabilities, if any.

3) Further: it is also required under Section 6(C) in relation to Section 237 of the NIRC to issue L

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 Memorandum Circular No. [RMC] No. 76- 2003)

4) Finally, it is subject to the payment of registration fee of PhP 500.00 as prescribed in Section

236(B) of the National Internal Revenue Code of 1997, as amended.

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