Deductibility of Contributions/Donations to Quezon City Government's "Project: Save a Child" for Income Tax Purposes

November 14, 1986 BIR RULING NO. 247-86 30 (h) 000-00 247-86 Gentlemen : In reply to your letter dated September 25, 1986, I have the honor to inform you that contributions and/or donations to the "Project: Save a Child" being undertaken by the Quezon City Nutrition Committee in coordination with the People's Welfare Council, being in the nature of contributions to the Quezon City Government, a political subdivision of the Philippine Government for public purposes, are deductible for income tax purposes but only to the extent of 6% in the case of an individual donor, and 3% in the case of a corporate donor, of the donor's taxable income derived from business as computed without the benefit of said deduction pursuant to Section 30(h)(1) of the Tax Code, as amended by Executive Order No. 37. However, the above contributions to the Quezon City Government to finance priority activities in health, shall be deductible in full if the same are in accordance with a national priority plan to be determined by the NEDA, in consultation with appropriate government agencies, including its regional development council, and private philanthropic persons and institutions. (Sec. 30(h)(2)(A), Tax Code). cdta Very truly yours, (SGD.) BIENVENIDO A. TAN, JR. Commissioner of Internal Revenue