BIR Ruling No. 610-2017

REPUBLIC OF THE PHILIPPINES

BUREAU OF INTERNAL REVENUE DEPARTMENT OF ( INANCE Quezon City

Certifica*e af Tax Exemption No: 631. 1

CERTIFICATE OF TAX EXEMPTION

TO ALL WHOM IT MAY CONCERN:

Jose. Antipolo City, a project duly registered with the Board of Investments (BOI) under Jose, Antipolo City, consisting of 86 housing units located at M. Santos Extn.. Brgy. San June 2016 or actual start of commercial operations/selling, whichever is earlier, but in no case earlier than the date of registration of the project with the BOi, pursuant to Executive Order 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. Taxpayers Identification Number (TIN) creditable withholding tax on its income received directly in connection with its economic and low-cost housing project, Grand Monaco -- Casa Mia -- M. Santos Extn., Brgy. San Registration No. This certifies that GRAND MONACO ESTATE DEVELOPERS, INC., with dated June 3. 2016, for a period of four (4) years beginning from is exempt from income tax and

below, or house and lot and other residential dwellings vaiued at P3,199,200.00 and below, is VAT-exempt under Section 109(1)(P) of the National Internal Revenue Code of 1997, as amended. Moreover. the sale by the Company of residential lot valued at P1,919.500.00 and

payment of appropriate taxes under the National Internal Revenue Code of 1997, as amended. However, the sale of units in excess of 86 residential units shall be subject to the

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

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

Issued this day of_DEC 1 u 2017

1csv

K-I-LMAT Commissioner of Internal Revenue CAESAR R. DULAY 011731

GRAND MONACO ESTATE DEVELOPERS, INC. (Grand Monaco -- Casa Mia) CTE NO. Date issued1214m2017 610-2017

OF THE CERTIFICATE OF TAX EXEMPTION TERMS AND CONDITIONS

1 The exemption from income and creditable withholding taxes covers only income directly

units with selling price exceeding P3,000,000.00. Santos Extn., Brgy. San Jose, Antipolo City, consisting of 86 housing units, located at M Santos Extn., Brgy. San Jose, Antipolo City. "Such exernption shall not cover revenues from attributable to the revenues generated from the project, Grand Monaco -- Casa Mia - M.

2 The Company is obligated to construct and selt 86 housing units based on the following

schedules/sales revenues:

Total Year 2 3 Y (No. of Units) Volume 86 30 39 13 4 Value(Php)

3 In the computation of the project's ITH, interest income from in-house financing shall not be considered as part of the revenues generated from the registered housing project. 4.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.

Pursuant to Section 4 of Republic Act (RA) No. 10708', the Company is required to file its its income-based tax incentives, VAT and duty exemptions, deductions, credits or exciusions tax returns and pay its tax liabilities, on or before the deadline as provided under the Nationat payment of taxes of the BIR. It shall filc with BOI a complete annual tax incentives report of RA No. 10708's implementing Rutes and Regulations and Joint Memorandum Circular No. Internal Revenue Code of 1997. as amended, using the electronic system for filing and from the tax base, as may be provided under E.O. 226, within the periods prescribed under 1-2016 dated September i, 2016.

6. The Company shall be constituted as a withholding agent for the government if it acts as withholding tax. or if it makes payments to individuals or corporations subject to the employer and any of its emplovees received compensation income subiect to compensatior Internal Revenue Code of 1997, as amended, and implemented by Revenue Regulations (RR) No. 2-98, as amended. withholding taxes as source as required under Chapter XII1 and Section 57 of the National

I. The Company is required to file on or before the tsth day of the fourth month following the close of its accounting period of a Profit and Loss Statement and Balance Sheet with the the taxable year. Annual Information Return under oath, stating its gross income and expenses incurred during

8. FinaHy, the Company's-books of accounts and other pertinent records shall be subject to periodic examination by revenue 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 Management and Accounting of Tax Incentives Administered by Investment Promotion Agencies

PAGE 2 0F 2