BIR Ruling [UN-002-94]

January 7, 1994 BIR RULING [UN-002-94] Congregation Of The Augustinian Recollect Sisters, Inc. Plaza del Carmen Quiapo, Manila Attention: Sister Cresencia Vailoces Vicar General & Donor Gentlemen : This refers to your letter dated December 1, 1993, requesting exemption under Section 94(a)(3) of the Tax Code, as amended, of the donation made by the Congregation of the Augustinian Recollect Sisters, Inc. represented by the Vicar General, Sister Cresencia Vailoces, of six parcels of land as follows: cdt TCT Number Area (Square meters) Location T 1923 36,998 Tagaytay City 1924 2,624 -do- 14381 9,348 & 10,088 -do- 137281 4,245.10 Manila 45394 224 Cebu City 45395 239 Cebu City in favor of the Superior General, Congregation Of The Augustinian Recollect Sisters, Inc. by virtue of a Deed of Donation executed on November 22, 1993. Investigation conducted by this Office shows that the Superior General, Congregation Of The Augustinian Sisters, Inc. is a religious corporation sole organized for the principal purpose of administering its temporalities. In reply, please be informed that inasmuch as the donee is a religious institution, the aforementioned donation is exempt from the payment of donor's tax pursuant to Section 94(a)(3) of the Tax Code, as amended, subject to the condition that nor more than 30% of said gift shall be used by the donee for administration purposes. Moreover, the aforesaid Deed of Donation is 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 P3.00 imposed under Section 188 of the same Code. cd Very truly yours, JAIME M. MAZA Assistant Commissioner (Legal Service)