Internal Revenue Taxes — Non-Stock, Non-Profit Foundation
BIR Ruling No. 111-79 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Dec 12, 1979
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December 12, 1979 BIR RULING NO. 111-79 Internal revenue taxes non-stock, non-profit Foundation This refers to your letter of the 9th instant requesting information on behalf of one of your clients, a private, non-stock, non-profit Foundation which is operating and subsidizing a Technical School, as to whether or not it is liable to pay taxes if it would engage in profit-making ventures by using students and faculty, in order to reduce its subsidy which amounts to about P700,000.00 per annum. In reply thereto, I have the honor to inform you that the income derived from any of the properties, real or personal, or any activity conducted for profit by non-profit Foundations, regardless of the disposition thereof, shall be subject to the corresponding internal revenue taxes imposed under the National Internal Revenue Code. (Section 27 of the Tax Code, as amended by P.D. No. 1457). cdt
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