KIT Properties, Inc.

March 8, 2018 CERTIFICATE OF TAX EXEMPTION NO. 357-18 CERTIFICATE OF TAX EXEMPTION TO ALL WHOM IT MAY CONCERN : This certifies that KIT PROPERTIES, INC. (TIN: 000-000-000-000), an entity engaged by the National Housing Authority (NHA), is exempt from project-related income taxes, creditable withholding tax, and value added tax (VAT), pursuant to Section 20 (d) (1) and (3) of Republic Act (RA) No. 7279, otherwise known as the "Urban Development and Housing Act of 1992," on its income received directly in connection with the construction/development of socialized lots and housing units under the NHA's AFP/PNP Housing Program through the Community Initiative Approach Program (CIAP), to wit: Project Name Location No. of Socialized Housing Units Subject of Tax Exemption Beneficiaries Iririmaw Village Brgy. Bagumbayan, Sta. Barbara, Iloilo 310 1 AFP Housing Homeowners Association, Inc. and PNP Housing Homeowners Association, Inc. However, the purchases of goods/articles by KIT PROPERTIES, INC. shall be subject to VAT, even if the said purchases are to be used for the socialized housing project, since VAT is an indirect tax which can be passed on by the seller of the goods/services. It shall be understood that KIT PROPERTIES, INC. must issue VAT-exempt official receipts on its gross receipts from the said socialized housing project. Upon application for exemption, a lien on the titles of the lands 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 a socialized housing project pursuant to RA 7279. This CTE 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 8th day of March, 2018. CAIHTE (SGD.) CAESAR R. DULAY Commissioner of Internal Revenue Footnotes 1. Developed and constructed on the parcels of land covered by TCT Nos. 090-2015003358 and P-090-2015003359.