BIR Ruling [DA-172-00]

March 24, 2000 BIR RULING [DA-172-00] 101 (A) (3), 481-98 DA-172-2000 Glory In the Highest Christian Ministry, Inc. L21 B5 Broadway St., Northwind Subd. Pasacola, Bgy. Nagkaisang Nayon Novaliches, Quezon City Attention: Ms . Gloria Lansangan Treasurer Gentlemen : This refers to your undated letter requesting exemption from the payment of donor's tax on the donation of two (2) parcels of land by Mr. Noel S. Guerrero to the Glory In the Highest Christian Ministry, Inc. It appears that the Glory In the Highest Christian Ministry, Inc. is a non-stock, non-profit religious corporation duly registered with the Securities and Exchange Commission on December 7, 1992 under SEC Registration No. AN092-05013; that the primary purpose for which the corporation was formed is for the administration of its affairs, properties and temporalities; that Mr. Noel S. Guerrero is the registered owner of two (2) parcels of land situated at Nagkaisang Nayon, Novaliches, Quezon City covered by Transfer Certificates of Title Nos. 54804 and 43830 issued by the Registry of Deeds for Quezon City with an area totalling One Hundred Eight (180) square meters; that Noel S. Guerrero ceded, transferred and conveyed by way of donation to the Glory In the Highest Christian Ministry, Inc. together with all the improvements existing thereon free and clear from all liens and encumbrances. In reply, please be informed that inasmuch as the donee is a religious institution, the aforesaid donation is exempt from the payment of donor's tax pursuant to Section 101(A)(3) of the Tax Code of 1997, subject to the condition that not more than 30% of said gift shall be used by the donee for administration purposes. Moreover, the Deed of Donation is not subject to documentary stamp tax. However, the acknowledgment on said deed is subject to the documentary stamp tax of P15.00 imposed under Section 188 of the Tax Code of 1997. (BIR Ruling No. DA-481-98 dated November 9, 1998) This ruling is being issued on the basis of the foregoing facts as represented. However, if upon investigation, it will be disclosed that the facts are different then this ruling shall be considered null and void. LibLex Very truly yours, Commissioner of Internal Revenue By: (SGD.) SIXTO S. ESQUIVIAS IV Deputy Commissioner (Legal and Enforcement Group)