Stateland, Inc.

May 30, 2008 BIR RULING [DA-328-08] 101 (A) (2); DA-019-01; DA-302-03 Stateland, Inc. 3/F, State Center Building 333 Juan Luna St., Binondo, Manila Attention: Mr. Bernardo M. Nicolas, Jr. Head Prop. Acqui. & Proc. Dept. Gentlemen : This refers to your letter dated February 2, 2007 indorsed to this Office by Revenue Region No. 9, San Pablo City, on July 31, 2007, requesting exemption from the payment of donor's tax on the donation of open spaces and road lots by Stateland, Inc. in favor of the Municipal Government of Dasmarias, Cavite, in its subdivision projects (the Ivory Crest Village and Crescent Hills Village). CTHDcE Submitted in support of your request are the following documents: 1. Copy of the notarized Deed of Donation; 2. Secretary's Certificate; 3. Copy of the corresponding Transfer Certificate of Title; 4. Copy of the corresponding Tax Declarations; and 5. Subdivision Plan. In reply, please be informed that under Section 101 (A) (2) of the Tax Code of 1997, as amended, gifts made to or for the use of the National Government or any entity created by any of its agencies which is not conducted for profit, or to any political subdivision of the said Government are exempt from donor's tax. Considering that the donation of open spaces and road lots was made by Stateland, Inc. in favor of the Municipal Government of Dasmarias, Cavite, a political subdivision of the National Government, said donation, therefore, is exempt from donor's tax. (BIR Ruling Nos. DA-019-2001 dated February 15, 2001 and DA-302-2003 dated September 16, 2003) 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. SCaEcD Very truly yours, (SGD.) JAMES H. ROLDAN Assistant Commissioner Legal Service