Donation to a Charitable and Social Welfare Organization is Exempt from Donor's Tax

August 2, 1991 BIR RULING NO. 145-91 94 (a) (3) 217-89 145-91 Gentlemen : This refers to your letter dated May 12, 1991 requesting exemption from the payment of donor's tax on the donation of One Hundred Fifty Thousand Pesos (P150,000.00) you made in favor of the Pag-asa Human Development Foundation, Inc. by virtue of a Deed of Donation executed on April 22, 1991. It appears that the Pag-asa Human Development Foundation, Inc. is a non-stock, non-profit charitable and social welfare organization duly registered as donee institution under Batas Pambansa Blg. 45, amending Section 29 (h) of the Tax Code, as implemented by BIR-NEDA Regulations No. 1-81 as Amended by Revenue Regulations No. 1-82 and 10-82. In reply, please be informed that inasmuch as the donee is a charitable and social welfare organization, the aforementioned donation is exempt from the payment of donor's tax pursuant to Section 94 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. cdta Very truly yours, (SGD.) JOSE U. ONG Commissioner