Home Development Mutual Fund

December 10, 1999 FIRB RESOLUTION NO. 003-99 SUBJECT : Home Development Mutual Fund WHEREAS, the Home Development Mutual Fund (HDMF) was created pursuant to Presidential Decree No. 1530 to help government and private sector member-employees to generate savings and attend to their housing and other related needs; WHEREAS, the HDMF is mandated to declare dividends in favor of its members in an amount which in no case shall be less than 70% of the annual income of the Fund and that the amount so declared is relatively diminished by its income tax obligations; and WHEREAS, the Government Service Insurance System (GSIS) and the Social Security System (SSS) both of which provide a package of welfare benefits to their members enjoy provisions of broad tax exemption privileges, including that of exemption from income tax and that there is a need to put the HDMF at par with the GSIS and SSS in view of the commonality of their mandate. NOW, THEREFORE, BE IT RESOLVED, AS IT IS HEREBY RESOLVED, to grant tax subsidy to the HDMF in the amount of P1,725,527,888.00 only, representing its 1997 and 1998 income tax liabilities broken down as follows: Year Income Tax 1997 P836,997,849.00 1998 888,530,039.00 Total P1,725,527,888.00 ============== Provided, That the grant of such tax subsidy shall be in accordance with the terms and conditions of Section 13 of the 1999 General Appropriations Act, subject to the availability of funds therefor, pursuant to the terms and conditions of the Rules and Regulations to Implement the Tax Subsidy Provisions Under Executive Order No. 93. aTEScI (SGD.) SOLOMON S. CUA Undersecretary of Finance Presiding Officer FIRB Reference: FIRB Technical Committee Meeting dated December 6, 1999 FIRB Meeting dated December 9, 1999