BIR Ruling No. 077-12

February 15, 2012 BIR RULING NO. 077-12 BIR Ruling No. 027-2011 Local Superior of the Daughters of Charity of the Most Precious Blood, Inc. Thomas M. Fusco Formation House 242 Kabatuhan St., Deparo, Novaliches, Quezon City Attention: Sr. Vincenza Iacopinelli, DCPB Local Superior Gentlemen : This refers to the 2nd Indorsement from Revenue Region 13-Cebu City for an amendment of BIR Ruling No. 027-2011 dated February 2, 2011 exempting Daughters of Charity of the Most Precious Blood from payment of the donor's tax. The pertinent portion of the said ruling is quoted as follows: "Inasmuch as Daughters of Charity of the Most Precious Blood is a religious corporation, any donation to it is exempt from the payment of donor's tax pursuant to the above provisions of the Tax Code subject to the condition that not more than 30% of said gift shall be used by the donee for administration purposes. In case of donation of real property, the Register of Deeds shall annotate this condition at the back of the title because failure to comply with the said condition shall be a ground for the revocation of the donation pursuant to Article 764 of the New Civil Code. Section 185 of Regulations No. 26, otherwise known as the Revised Documentary Stamp Tax Regulations, implementing Title VII of the Tax Code, provides that conveyances of realties not in connection with a sale, to trustees or other persons without consideration are not taxable. Accordingly, the deed of donation is likewise not subject to the documentary stamp tax prescribed under Section 196 of the Tax Code, as amended, but only to the documentary stamp tax of P15.00 imposed under Section 188 of the same Code. (BIR Ruling Nos. 252-93 dated January 17, 1993 and DA-028-98 dated January 29, 1998)" You now request for confirmation that the correction of donee's name from Daughters of Charity of the Most Precious Blood to its SEC registered name, Local Superior of the Daughters of Charity of the Most Precious Blood, Inc. is still exempt from donor's tax and accordingly, seek an amendment of the donee's name on the above ruling. In support of your request, you have submitted an amended copy of the Deed of Donation executed on November 10, 2009 and a sworn certification that the documents bearing the name Local Superior of the Daughters of Charity of the Most Precious Blood, Inc. and Daughters of Charity of the Most Precious Blood are one and the same. cSEAHa In reply, please be informed that your request for an amendment of BIR Ruling No. 027-2011 dated February 2, 2011 is hereby granted since the amendment would just correct the donee's name to its SEC registered name, Local Superior of the Daughters of Charity of the Most Precious Blood, Inc. Accordingly, this office confirms that donation made to Local Superior of the Daughters of Charity of the Most Precious Blood, Inc. is exempt from the payment of donor's tax and documentary stamp tax prescribed under Section 196 of the Tax Code, as amended, but subject only to the documentary stamp tax of P15.00 imposed under Section 188 of the same Code. This amends BIR Ruling No. 027-2011 dated February 2, 2011. 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. Very truly yours, (SGD.) KIM S. JACINTO-HENARES Commissioner of Internal Revenue