BIR Ruling

August 30, 1976 Atty. Tomas G. Mapa & Associates Certified Public Accountants-Lawyers Mapa Annex 625 Retiro, Quezon City Attention: Atty . Tomas G . Mapa Gentlemen : This refers to your request in behalf of your client, the Philippine Columbian Association, for a ruling on whether donations to your client-association are fully deductible from the gross income of the donors under Presidential Decree No. 507. In reply, I have the honor to inform you that your client is not qualified to avail of the benefits of Presidential Decree No. 507 for the reason that according to the investigation conducted by this Office, your client is a social club. Under said Decree, only social welfare, cultural or charitable institutions as defined in Section 3(a) (b) (c) of Revenue Regulations No. 8-74, implementing the Decree, are qualified to avail of the benefits prescribed therein one of which is that donations to said institutions are 100% deductible from the gross income of the donor. In view thereof, your query is answered in the negative. Very truly yours, EFREN I. PLANA Acting Commissioner of Internal Revenue TAN-1456-040-3 "TAXPAYERS SHOULD INDICATE THEIR TAN IN ALL COMMUNICATIONS TO THE BIR."