BIR Ruling No. 521-2020

REPUBLIC OFTHE PHILIPPINES

BUREAU OF INTERNAL REVENUE DEPARTMENT OF FINANCE

Quezon City

Certificate of Tax Exemption No:

BOI-LEH-521-Z

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

March 2016 or actual start of commercial operations/selling, whichever is earlier, but in no family home or dwelling purposes, located at Misamis and Nueva Ecija Streets, Brgy. Sto. Cristo, Quezon Citv. a project duly registered with the Board of Investments (BOD under case earlier than the date of registration of the project with the BOI, pursuant to Executive housing project (vertical), Fern @ Grass Residences Tower 5 - Misamis and Nueva Ecija Streets, Brgy. Sto. Cristo, Quezon City, consisting of Registration No. Order (EO) No. 226, otherwise known as the Omnibus Investments Code of.1987 and Section 2.57.5 (B) (2) of Revenue Regulations (RR) No. 2-98, as amended. Identification Number (TIN) withholding tax on its. income received directly in connection with its economic and low-cost This certifies that SM DEVELOPMENT CORPORATION, with Taxpayers dated July 22, 2015, for a period of three (3) years beginning from , is exempt from income tax and creditable housing units used solely for

Revenue Code of 1997, as amended. Provided, however, that beginning January 01, 2021, the exemption from VAT shall only apply to sale of house and lot and other residential dwellings with selling price of not more than P2,000,000.00. below, or house and lot and other residential dwellings valued at P3,199,200.00 and below, is exempt from value-added"tax (VAT) pursuant to Section 109 (1) (P) of the National Internal Moreover, the sale by the Company of-residential lot valued at P1,919,500.00 and

of 1997, as amended. the BOI (per License to Sell No. including those units used for commercial purposes such as leasing, retail stores, offices, etc.. shall be subject to the payment of appropriate taxes under the National Internal Revenue Code However, the sale of housing units in excess of the 1,887 housing units registered with dated May 15, 2015, the excess is 70 housing units),

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

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

Issued this day of

ix,M

CAESAR R.DULAY

K Commissioner of Internal Revenue 036702

Sale of lot only, regardless of the price, shall be subject to VAT starting January 01, 2021 pursuant to Republic Act (RA) No. 10963.