Exemption from the Payment of Donor's Gift Tax
BIR Ruling No. 490-88 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Oct 12, 1988
Full text
October 12, 1988 BIR RULING NO. 490-88 94 307-87 490-88 Gentlemen : This refers to your letter dated September 14, 1988 requesting a ruling to the effect that the donation of properties made by St. Joseph's Missionary Institute Inc. in favor of Oblates of Saint Joseph (Philippine Province) Inc. is exempt from donor's tax. It appears that the donee is a religious corporation duly organized and existing under the laws of the Philippines. In reply, I have the honor to inform you that since the donee is a religious corporation, the aforementioned donation is exempt from the payment of donor's gift tax pursuant to Section 94 of the Tax Code, as amended. However, the exemption from the donor's gift tax is subject to the condition that not more than 30% of the said gifts shall be used by the donee for administration purposes. Very truly yours, (SGD.) EUFRACIO D. SANTOS Deputy Commissioner
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