Eternal Plans, Inc.

August 1, 2008 BIR RULING [DA-(OSL-003) 102-08] RR # 4-2006; DA-004-2001 Eternal Plans, Inc. Domingo Building III 2113 Pasong Tamo cor., Dela Rosa Sts. Makati City Gentlemen : This refers to your undated letter requesting on behalf of the following senior citizens for their individual tax exemption, viz. : HSacEI NAME DATE OF BIRTH AGE 1. Fidela S. Rosario November 24, 1947 60 2. Asuncion Manalaysay 60 3. Alejandra Sonido February 28, 1945 63 4. Vivencia F. Gordola 72 5. Natividad C. Bobier 60 6. Elena Talabis October 15, 1947 60 7. Juan Crisostomo P. Salvador January 27, 1945 63 8. Federico Gorospe 60 9. Elizabeth Gorospe 60 In reply thereto, please be informed that pertinent portion of Section 3 of Revenue Regulations No. 4-2006 provides, viz. : "SEC. 3. Income Tax Benefit and Privileges for the Senior Citizens. Senior citizen shall be entitled to the following tax benefits and privileges: a. Exemption from the payment of individual income tax provided that their annual taxable income does not exceed the poverty level as determined by the National Economic and Development Authority (NEDA) for the corresponding taxable year; xxx xxx xxx." Based on the foregoing, a senior citizen is exempt from the payment of income tax provided that his annual taxable income does not exceed the poverty level as determined by the National Economic and Development Authority (NEDA). The current poverty threshold as determined by the NEDA is Sixty Thousand Pesos (P60,000.00). Accordingly, in the absence of any proof that the income of the aforementioned senior citizens does not exceed the P60,000.00 poverty threshold, we regret to deny your request for lack of factual basis. CEHcSI Very truly yours, Commissioner of Internal Revenue By: (SGD.) JAMES H. ROLDAN Assistant Commissioner Legal Service