Diocese of Tarlac

August 12, 2008 BIR RULING [DA-(DT-007) 135-08] 101 (A) (3); DA-429-2003 Diocese of Tarlac Bishop's Residence F. Taedo Street Tarlac City Attention: Florentino F. Cinense DD Bishop of Tarlac Gentlemen : This refers to your letter dated June 30, 2008 requesting for exemption from the payment of donor's tax over a parcel of land donated by Spouses Vivencio and Hernandalina Tayag in favor of the Roman Catholic Bishop of Tarlac, Inc. THCSEA It is represented that Spouses Vivencio and Hernandalina Tayag are the registered owners of a parcel of land covered by Transfer Certificate of Title No. 337457 issued by the Registry of Deeds of Tarlac City, containing an area of 1,157 square meters more or less, located at Barrio of Canan, Paniqui, Tarlac; that on the other hand, the Roman Catholic Bishop of Tarlac, Inc. is a corporation sole duly organized and existing under the laws of the Philippines with principal office at San Sebastian Cathedral, Tarlac City; that on April 30, 2007, a Deed of Donation was executed by the parties as an act of liberality, generosity and the unflinching support to the worthy religious causes of the Roman Catholic Bishop of Tarlac, Inc.; and that Spouses Vivencio and Hernandalina Tayag voluntarily and freely give, transfer and convey the said property free from all liens, encumbrances and charges whatsoever. In reply thereto, please be informed that inasmuch as the donee is a religious corporation, the aforementioned donation is exempt from the payment of donor's tax pursuant to Section 101 (A) (3) of the Tax Code of 1997, as amended, subject to the condition that not more than 30% of said gift shall be used by the donee for administration purposes. DcCHTa 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, as amended. 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. CADacT Very truly yours, (SGD.) JAMES H. ROLDAN Assistant Commissioner Legal Service