BIR Ruling No. 488-2017

E

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE

Quezon City

Certificate of Tax Exemption No: 8-01

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

This certifies that 8990 HOUSING DEVELOPMENT CORPORATION, with T`ax Identification Number (TIN) withholding tax on its incoine received directly in connection with its economic and low-cost is exempt from income tax and creditable

housing project. Deca Homes Baywalk Talisay 3 -- Dumlog, Talisay City, Cebu. consisting of 570 housing units located at Dumlog, Talisay City, Cebu. a project duly registered with the Board of Investments (BOI) under Registration No. dated October 04. 2016. for a period of 3 years beginning from October 2016 or actual start of comniercial operations4 selling, whichever is earlier, but in no case earlier than the date of registration of the project with the BOl. pursuant to Executive Order No. 226, otherwise known as the "Omnibus Investments Code of 1987" and Scction 2.57.5 (B) (2) of Revenue Regulations (RR) No. 2-98. as amended.

Moreover. the sale by the Company of residential tot valued at P1.919.500.00 and below, or house and lot and other residential dwellings valued at P3.199.200.00 and below. is VAT-exempt under Section (09(1)(P) of the National Internal Revenue Code of 1997. as amended.

The grant of tax exemption herein is subject to the compliance with the provisions of applicable BIR rules and regulations and the Terns and Conditions stated at the back hereof. The Company is liable, however. for all other applicable taxes not discussed above.

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 of0C1 19 2017

K-1-I'DPM /LMAT Commissioner of Internal Revenue CAESAR R. DULAY 010057

8990 HOUSING DEYELOPMENT CORPORATION (Deca Hlottes Bavn'alk Talisay 3) CTE NO. Date issued 1 ...10-.13-2017 488-:017

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

The exemption from income and creditable withholding taxes covers only income directly not be sold for more than P1.700.000.00 per house and lot and P500.000.00 for lot only attributable to the revenucs gencrated from the project. Deca Homes Baywalk Talisay 3 - Dumlog, Talisay City, Cehu, consisting of 570 housing units located at (umlog. Talisay City. Cebu. Such exemption shall not cover revenues from housing units with sclting price exceeding P3.000.000.00. Moreover. the 570 housing units covered by License to Sell No. shall

2 The Company is obligaied to construct and sell 570 housing units based on the following

schedules sales revenues

Tota Year 2 3 Volume (No. of Units) 200 200 570 0 Value (Php '000)

3 In the computation of the project's II'H. interest income from in-house financing shatl not be

considered as part of the revenues gencrated froin the registered housing projcct

A 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.

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

base, as may be provided under E.O. 226. within the periods prescribed under RA No. 10708's September I. 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 clectronic 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 Implementing Rules and Regulations and Joint Memorandum Circular No. 1-2016 dated

1 The Company shal! be constituted as a withholding agent for the government if it acts as

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

The Company is required to file on or before the tsth day of the fourth month tollowing the close of its accounting period of a Profit and Loss Statement and Balance Sheet with the Annual Information Return under oath. stating is 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 revenuc 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 Transparency in the Managenient and Accounting of Tax Incentives Administered hy Investment Promotion Agencies.

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