Villa Grande De San Rafael

February 13, 2018 CERTIFICATE OF TAX EXEMPTION NO. 150-18 CERTIFICATE OF TAX EXEMPTION TO ALL WHOM IT MAY CONCERN : This certifies that PROMINENCE PROPERTIES, INC. , with Tax Identification Number 000-000-000-000, is exempt from income tax, creditable withholding tax (CWT) and value-added tax (VAT) pursuant to Section 20 of Republic Act (RA) No. 7279 on its income received directly in connection with its sale of socialized housing units to qualified beneficiaries in Villa Grande De San Rafael , consisting of 333 units, located at Brgy. Maguinao, San Rafael, Bulacan, a project duly registered with the Housing and Land Use Regulatory Board (HLURB) under Certificate of Registration No. 27270 and License to Sell No. 031818. Moreover, the Deeds of Absolute Sale/Unilateral Sale executed by the Landowners in favor of the PROMINENCE PROPERTIES, INC. over the parcels of land described below, to wit: Date of Deeds of Sale/ Unilateral Sale Name of Landowner/ Seller Transfer Certificate of Title (TCT) No. Area (Sq.m.) Area Transferred Location August 13, 2014 AAA T-66078 4,302 4,302 Brgy. Maguinao, San Rafael, Bulacan August 13, 2014 BBB T-66079 4,302 4,302 Brgy. Maguinao, San Rafael, Bulacan August 13, 2014 CCC T-66080 4,302 4,302 Brgy. Maguinao, San Rafael, Bulacan August 13, 2014 DDD T-66081 4,302 4,302 Brgy. Maguinao, San Rafael, Bulacan August 13, 2014 EEE T-66082 4,302 4,302 Brgy. Maguinao, San Rafael, Bulacan Total 21,510 which shall be used for the above-mentioned socialized housing projects, are not subject to income tax/capital gains tax/expanded withholding tax and value-added tax (VAT) pursuant to Section 20 of Republic Act (RA) No. 7279 and Section 109 (1) (P) of the Tax Code of 1997, as amended. It is, however, understood that this CTE is never intended, and shall not be construed, as giving authority to the concerned Register of Deeds to effect transfer of the land titles in the name of the buyer without the necessary Certificate Authorizing Registration (CAR) issued by this Bureau. In this regard, this CTE shall be presented to the Revenue District Office (RDO) concerned in order for the latter to issue the CAR. Upon application for exemption, a lien on the titles of the land shall be annotated by the Register of Deeds having jurisdiction over the properties, to the effect that the same are to be applied or are being applied to socialized housing project pursuant to RA 7279. Nonetheless, it is observed that documentary stamp tax (DST) is not one of the taxes covered by the tax exemption clause in Section 20 of RA No. 7279. Such being the case, the owner/project developer/seller shall be liable to pay the documentary stamp tax on the documents conveying the properties imposed under Section 196 of the Tax Code of 1997, as amended, based on the consideration contracted to be paid for such realties or on their fair market value determined in accordance with Section 6 (E) of the same Code, whichever is higher. The grant of tax exemption herein is subject to the compliance with the provisions of applicable BIR rules and regulations and the Terms and Conditions stated hereof. The Company is liable, however, for all other applicable taxes not discussed above. This Certificate of Tax Exemption is being issued on the basis of the facts and documents as represented and submitted. However, if upon investigation, the BIR ascertains that the facts are different, then this Certificate shall be considered null and void. Issued this 13th day of February, 2018. (SGD.) CAESAR R. DULAY Commissioner of Internal Revenue ATTACHMENT TERMS AND CONDITIONS OF THE CERTIFICATE OF TAX EXEMPTION 1. The exemption from income, creditable withholding taxes and VAT covers only income directly attributable to the revenues generated from the 333 1 socialized housing units in Villa Grande De San Rafael , located at Brgy. Maguinao, San Rafael, Bulacan . 2. The developer shall submit the sworn statement of the buyer that he is eligible as a socialized housing beneficiary under Section 5 (A) of Revenue Regulations (RR) No. 11-97 to the BIR during the processing of the Certificate Authorizing Registration (CAR) for the transfer of the title of the socialized housing unit. 3. It is understood that the Certificate Authorizing Registration (CAR) shall only be issued after it is established upon proper verification by the Revenue District Officer (RDO) concerned that, considering the rules on valuation of real property, the actual selling price per sale transaction of the socialized house and lot packages in this case does not really exceed P450,000.00 and P180,000.00 for lot only. Footnotes 1. Note from the Publisher: Copied verbatim from the official document. Missing Footnote Text.