RR No. 14-2021 — Suspends the implementation of certain provisions of RR No. 5-2021 relative to taxation of proprietary educational institutions (Published in Malaya Business Insight on July 29, 2021)

REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE BUKEAU OPINTERNAL REVENUE NNNYYN BUREAU OF INTERNAL REVENUE JUL 28.2021 2:45 A P.M

RECKDS MGT.DIVISION 26 July 2021

REVENUE REGULATIONS NO. 14-20&

SUBJECT Suspending the Implementation of Certain Provisions of Revenue

Regulations No. 5-2021 dated 8 April 2021

TO All Internal Revenue Officials, Employees and Others Concerned

provisions of Revenue Regulations (RR) No. 5-2021' dated 8 April 2021 are hereby suspended during this time of COVID-19 pandemic, and taking into account the pending Bills in Congress Seeking to amend Section 27 (B) of the National Internal Revenue Code (NIRC) of 1997, as amended. to finally clarify the income taxation of schools, the implementation of the following pending passage of such appropriate legislation: To ease the burden of taxation among proprietary educational institutions. especially

Section 2 (C). on the definition of Proprietary Educational Institutions. insofar as it includes therein the phrase, "which are non-profit".

( Section2(E),on the definition of Non-Profit, insofar as it applies to Proprietary Educational Institutions": and.

(ii) Section 3 (B. which provides illustration on the tax treatment of Proprietary Educational Institutions that are non-profit.

Additional Allowable Deductions from Gross income of Persons Engaged in Business Implementing the NewIncome Tax Rates on the Regular Income of Corporations,on Certain Passive incomeIncluding s or Practice of Profession Pursuanttc Republic Act(RA) No.11534.or the Corporate Recovery and Tax Incentives for Enterprises Act(CREATE)

All other revenue issuances inconsistent herewith are hereby modified or amended accordingly

This Regulations shall take effect immediately

CARLOSG.DOMING

Secretary of Finance

JUL 2 7 2321

Recommending Approvat:

BUKEAU OF INTERNALREVENUE

Commissioner of Internal Revenue feesanuas CAESAR R.DULAY 044204 RECORDS MGT.DIVISION NNNIIYTN UU JUL 28 2221 2:45P.M Uaa 0fU