BIR Ruling [UN-127-94]

April 5, 1994 BIR RULING [UN-127-94] Don Manuel Lopez Memorial District Hospital Balayan, Batangas Attention: Dr . Vicente A . Gahol, Jr . Chief of Hospital Gentlemen : This refers to your letter dated January 31, 1994 requesting that the donation of two (2) units of 7.5 KVA Ambica generating set valued at P70,000.00 each, to the Don Manuel Lopez Memorial District Hospital, Balayan, Batangas, by the Asia Industries, Inc. be exempt from the donor's tax under Section 94(a) (2) of the Tax Code. cdtech It is represented that the aforementioned hospital is a government agency which provides health services to be indigent people of Calaca, Balayan, Tuy and Calatagan municipalities in Batangas. In reply, please be informed that under Section 94(a) (2) of the Tax Code, as amended, gifts made to or for the use of the National Government or any entity created by any of its agencies which is not conducted for profit, or to any political subdivision of said Government, as in the case of Don Manuel Lopez Memorial District Hospital shall be exempt from the donor's tax. Accordingly, donation made in your favor by private entities like the Asia Industries, Inc. are exempt from the donor's tax imposed under Section 92 of the Tax Code, as amended. This ruling is being issued on the basis of the foregoing facts as represented. However, if upon investigation, it will be disclosed that the facts are different, then this ruling shall be considered null and void. (S26-098-94 dated February 28, 1994). Very truly yours, ALICIA P. CLEMENO Officer-In-Charge (Legal Service)