BIR Ruling [DA-195-99]

March 30, 1999 BIR RULING [DA-195-99] Mr. Arturo A. Borjal 1615 Cambridge Street Brookside Subdivision Cainta, Rizal S i r : This refers to your letter dated March 24, 1999 requesting for an exemption from the payment of donor's tax prescribed under Section 101 (A)(3) of the Tax Code of 1997. Documents submitted disclosed that you donated a parcel of land to Good Samaritan Foundation For the Disadvantaged, Inc., a charitable corporation organized and existing under Philippine Laws; that you are the absolute owner of a parcel of land covered by Transfer Certificate of Title No. 258030 issued by the Registry of Deeds for the Province of Rizal; that the subject property is located at Barrio Sto. Domingo, Cainta, Rizal and has an area of Three Hundred and Six (306) sq. m. In reply, please be informed that inasmuch as the donee is a charitable institution, the aforementioned 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 for administration purposes. Moreover, the aforesaid Deed of Donation is not subject to documentary stamp tax prescribed under Section 196 of the Tax Code of 1997, but only to the documentary stamp tax of P15.00 imposed under Section 188 of the same Code. (BIR Ruling No. DA-28-98 dated January 29, 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. casia Very truly yours, Commissioner of Internal Revenue By: (SGD.) SIXTO S. ESQUIVIAS IV Deputy Commissioner Legal and Enforcement Group