Donations to a Religious Corporation are Exempt from Donor's Tax

1991 BIR RULING NO. 057-91 94 (a) (3) 213-90 057-91 Gentlemen : This refers to your letter dated February 5, 1991 requesting exemption under Section 94 (a) (3) of the Tax Code, of the donations of two (2) parcels of land situated in Quezon City, covered by TCT's Nos. 271587 and 274290 both of the Registry of Deeds for Metro Manila District II made by Ms. Maria E. Dy in favor of Philippine Karma Kagyu Buddhist Society, Inc. by virtue of a Deed of Donation executed on October 17, 1990. Investigation conducted by this Office disclosed that the Philippine Karma Kagyu Buddhist Society, Inc., is a religious corporation duly organized and existing under the laws of the Philippines. In reply, 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 94 (a) (3) of the Tax Code, as amended, subject to the condition that not more than 30% of said gift shall be used by the donee for administration purposes. Very truly yours, (SGD.) JOSE U. ONG Commissioner