March 12, 2001

REVENUE MEMORANDUM CIRCULAR NO. 14-01

SUBJECT : Lists of Requirements from Taxpayers for Issuance of Certain

Rulings with Established Precedents Delegated to Regional
Directors and to the Assistant Commissioner, Legal Service
under RMC Nos. 2-2001, 3-2001 and 10-2001

TO : All Internal Revenue Officers and Others Concerned

In order to expedite the issuance of certain rulings with established
precedents delegated to the Regional Directors under RMC No. 3-2001 and
to the Assistant Commissioner, Legal Service under RMC Nos. 2-2001 and
10-2001, the lists of requirements to be submitted by taxpayers are as
follows:

A. Rulings Delegated to the Regional Directors

Under RMC No. 3-2001:

1. TAX EXEMPTION ON SALE OR DISPOSITION OF PRINCIPAL

RESIDENCE UNDER SECTION 24(D)(2) OF THE TAX CODE OF
1997 (RR No. 13-99, AS AMENDED BY RR No. 14-2000)

a) Deed of Absolute Sale;

b) Transfer Certificate of Title (TCT);

c) Tax Declaration (TD);

d) Sworn statement from the Barangay Chairman where the

principal residence is located, that the same has been
the seller's principal residence immediately prior to the
date of sale; if the principal residence is a condominium
unit, the certification shall be issued by the
Administrator of the condominium building;

e) Sworn Declaration of Intent to avail of the exemption

under Section 24(D)(2); and
f) Escrow Agreement between the concerned RDO, the
seller/transferor and the Authorized Agent Bank.
(Revenue Regulations No. 14-2000).
2. TAX EXEMPTION UNDER SECTION 30 OF THE TAX CODE OF 1997

a) Certificate of Registration with the Securities and

Exchange Commission (SEC);

b) Articles of Incorporation which must include the following

provisions:

CD Technologies Asia, Inc. © 2022 cdasiaonline.com

 i) that the corporation is non-stock, non-profit;

ii) that the primary purpose for which it was created is one
of those enumerated under Sec. 30 of the Tax Code of
1997;

iii) that no part of the net income shall inure to the benefit
of any its members;
iv) that the trustees do not receive any compensation; and

v) in case of dissolution, assets of the corporation shall be

transferred to similar institution or to the government;
c) By-Laws; and

d) Annual Information Return and Financial Statements for

the last 3 years of operation unless the non-stock, non-
profit corporation is newly incorporated.
3. TAX EXEMPTION OF EDUCATIONAL INSTITUTIONS (non-stock,
non-profit educational corporations [1987 Constitutions])
Same requirements as those requesting tax exemption under
Section 30 of the Tax Code of 1997 and the current Department
of Education, Culture and Sports (DECS), or the Commission on
Higher Education (CHED), or the Technical Education on Skills
Development Authority (TESDA) recognition, as the case may be.
4. TAX EXEMPTION OF COOPERATIVES UNDER RA NO. 6938, AS
AMENDED BY RA NO. 7716 AND RA NO. 8241

a) Articles of Cooperation and By-Laws;

b) Certificate of Registration and certificate of good standing
issued by the Cooperative Development Authority
(CDA);
c) Certificate under oath by the Chairman/President/General
Manager of the Cooperative that it is transacting
business with both members and non-members;
d) Certificate of Confirmation of Registration from CDA (in the
case of Cooperatives transacting business with non
members already existing and previously registered
under PD 175, PD 775 and PD 898, before the creation
of the CDA, the reckoning period for the 10-year period
of exemption is from March 10, 1987;
e) Certification under oath by the
Chairman/President/General Manager of the
Cooperative (if previously registered as above stated),
as to the amount of accumulated reserves and
undivided net savings, and that at least 25% of the net
CD Technologies Asia, Inc. © 2022 cdasiaonline.com
 income is returned to the members in the form of
interest and/or patronage refund; acIHDA

f) Latest Financial Statements duly audited by an

independent Certified Public Accountant (CPA); and

g) In the case of non-agricultural, non-electric and non-credit

cooperative, certification that the share capital
contribution of each member does not exceed P
15,000.00.
5. TAX EXEMPTION OF SENIOR CITIZENS UNDER RA NO. 7432
a) Letter request from the senior citizen stating, among
others, that his annual taxable income does not exceed
the poverty level of P60,000.00;
b) Certified true copy of Birth Certificate/Baptismal Certificate
or in the absence thereof, a certificate from the National
Statistics and Census Bureau or an affidavit by two (2)
disinterested credible persons who know personally the
senior citizen or OSCA ID card;
c) If he has a benefactor as defined in Section 2(f) of
Revenue Regulations No. 2-94, Certification as to the
name, address, occupation, office or business address
(office/business) and TIN of his benefactor;

d) If employed, a copy of his withholding tax statement (BIR

Form W-2) for the preceding taxable year; and
e) If self-employed, (i.e., practice of profession, or in business
as single proprietorship) a copy of his income tax return
(ITR) for the preceding taxable year together with the
annual license or permit issued by the city or
municipality where he has his principal place of
business, supported by a copy of his declaration of
sales or income.
6. TAX EXEMPTION OF NHA AND PRIVATE SECTOR PARTICIPATING
IN SOCIALIZED HOUSING, INCLUDING PARTICIPANTS IN
COMMUNITY MORTGAGE PROGRAM UNDER RA NO. 7279, AS
IMPLEMENTED BY REVENUE REGULATIONS NO. 9-93, AS
AMENDED BY RR NO. 11-97
a) Copy of the Deed of Sale;

b) Copy of the Transfer Certificate of Title;

c) Copy of the corresponding Tax Declaration;

d) Photocopy of the receipt of payment of the Documentary

Stamp tax;
CD Technologies Asia, Inc. © 2022 cdasiaonline.com
 e) Sworn Statement of taxpayer that the acquired raw land
shall be used for socialized housing project;
f) Approved HLURB Subdivision Preliminary and Location
Clearance of the Subdivision;
g) Certification from HLURB that taxpayer is engaged in
socialized housing;

h) Certification from the HLURB that the sale of the socialized

housing units to qualified beneficiaries shall in no case
exceed the maximum amount of P180,000.00 price
ceiling;

i) Taxpayer Identification Number (TIN) of the seller and

buyer.

7. EXTENSION OF TIME FOR THE FILING OF ESTATE TAX RETURN

UNDER SECTION 90 (C) OF THE TAX CODE OF 1997
a) Death Certificate; and

b) Letter Request from the taxpayer.

AND EXTENSION OF TIME TO PAY ESTATE TAX UNDER SECTION 91
OF THE SAME CODE, BUT WHERE THE FILING OF THE BOND NOT
EXCEEDING DOUBLE THE AMOUNT OF THE TAX IS A NECESSARY
REQUIREMENT.

a) Death Certificate;
b) Court Order, if estate is settled through the court (5 years
extension);

c) Extra judicial settlement of estate (2 years extension); and

d) Letter Request from the taxpayer.

8. EXEMPTION FROM DONOR'S TAX UNDER SECTION 101 OF THE

TAX CODE OF 1997

a) Deed of donation;
b) Donor's Tax Return;

c) If real property, Transfer Certificate of Title & Tax

Declaration; and
d) Certificate of accreditation issued by the Philippine Council
for NGO Certification (PCNC), if the donee is an
accredited NGO under Section 34(H)(2)(c).

9. TAX EXEMPTION OF SEPARATION BENEFITS OF EMPLOYEES FOR

ANY CAUSE BEYOND THEIR CONTROL UNDER SECTION 32(B)
(6)(b) OF THE TAX CODE OF 1997. (IN CASE THE SEPARATION
CD Technologies Asia, Inc. © 2022 cdasiaonline.com
 OF THE OFFICIAL OR EMPLOYEE FROM THE SERVICE OF THE
EMPLOYER IS DUE TO SICKNESS OR OTHER PHYSICAL
DISABILITY AND THE CONTINUOUS EMPLOYMENT AND
PERFORMANCE OF HIS REGULAR DUTIES WOULD ENDANGER
HIS PHYSICAL WELL-BEING, A MEDICAL REPORT TO THIS
EFFECT, ISSUED BY A GOVERNMENT HOSPITAL LOCATED
WITHIN THE JURISDICTION OF THE REVENUE REGION, MUST
BE SUBMITTED BY THE TAXPAYER BEFORE THE RULING SHALL
BE ISSUED)

a) Sworn Affidavit to be executed by the Employer's

physician and the head of Office/Entity, attesting to the
fact that the retiring/separated official or employee is
suffering from a serious illness that would effect the
performance of his duties and would endanger his life,
if he would continue working; and
b) A certification to be issued by a government physician
located within the jurisdiction of the Revenue Region
concerned confirming the findings of the employer's
physician.

10. TAX TREATMENT OF THE TRANSFER TO THE CONDOMINIUM

CORPORATION OF THE COMMON AREAS OF A CONDOMINIUM
UNDER RA NO. 4726, OTHERWISE KNOWN AS "THE
CONDOMINIUM ACT"
a) Deed of Conveyance/Assignment;

b) Master Deed and Declaration of Restriction;

c) Secretary's Certificate; and

d) TCT and TD of the parcel of land subject of the Deed of

Conveyance/Assignment.
11. USE OF LOOSE-LEAF INVOICES/RECEIPTS AND BOOKS OF
ACCOUNTS (MANUAL)
a) Letter request from the taxpayer.

12. REQUEST FOR CHANGE OF ACCOUNTING PERIOD (EXCEPT

CHANGE OF ACCOUNTING METHOD) UNDER SECTION 46 OF
THE TAX CODE OF 1997

a) Letter request from the taxpayer.

13. EXEMPTION FROM INCOME TAX AND, CONSEQUENTLY, FROM
WITHHOLDING TAX OF "DE MINIMIS BENEFITS" AS DEFINED
AND DISCUSSED IN RR NO. 2-98, RR NO. 3-98, RR NO. 8-
2000, and RR NO. 10-2000, INCLUDING: (1) Exemption from
the "withholding tax on wages" of monetized ten (10)-day
vacation leave credit for employees of private entities; and
CD Technologies Asia, Inc. © 2022 cdasiaonline.com
 (2) Exemption from the "withholding tax on wages" of
monetized leave credits of government employees;
a) Letter request from the taxpayer.

B. Rulings Delegated to the Assistant Commissioner, Legal Service

Under RMC No. 2-2001:

1. VAT EXEMPTION CERTIFICATE FOR EMBASSIES ISSUED ON THE
BASIS OF RECIPROCITY AS CONFIRMED BY THE OFFICE OF
THE PROTOCOL, DEPARTMENT OF FOREIGN AFFAIRS
a) Note Verbale by the requesting Embassy to the
Department of Foreign Affairs (DFA) informing the latter
of the Embassy's intention to apply for the issuance of a
VAT Exemption Certificate/s for the Embassy and/or its
Diplomats;
b) Endorsement/recommendation by the DFA Office of
Protocol; and TDcAaH

c) A precedent BIR Ruling exempting the Embassy and its

personnel from the payment of value added tax.
2. CERTIFICATE OF TAX EXEMPTION FOR ASIAN DEVELOPMENT
BANK AND OTHER INTERNATIONAL ORGANIZATIONS BASED
ON INTERNATIONAL AGREEMENT
a) Letter of application of the qualified ADB Staff member
(professional or higher level);
b) Pro forma invoice showing the car's price and tax
components separately;
c) Recommendation by the Asian Development Bank;
d) Recommendation by the Department of Foreign Affairs;
and

e) Recommendation by the Department of Finance.

3. CERTIFICATE OF RESIDENCY ISSUED IN ACCORDANCE WITH THE
PROVISIONS OF TAX TREATIES BETWEEN THE PHILIPPINES
AND OTHER COUNTRIES

a) For Individuals — Tax Identification No. (TIN) and/or latest

income tax/information return or passport or Embassy's
Certification as to residency; and

b) For Corporations — Securities and Exchange Commission

(SEC) Registration and BIR Registration (Note: Original
should be presented).
4. CERTIFICATION OF REGISTRATION AS QUALIFIED DONEE
CD Technologies Asia, Inc. © 2022 cdasiaonline.com
 INSTITUTION IN ACCORDANCE WITH THE PROVISION OF
REVENUE REGULATION NO. 13-98 DATED JANUARY 1, 1999
a) Accreditation from the Philippine Council for NGO Certification
(PCNC) 4/F MSCB Bldg., 4718 Eduque Street, Makati City, Tel.
No. 895-6169.
Under RMC No. 10-2001:
1. DENIAL OF CLAIM FOR INFORMER'S REWARD UNDER SECTION
282 OF THE TAX CODE OF 1997

a) Letter request of informer claiming for his reward

enclosing his affidavit, if any, including his supporting
documents; and

b) Docket of case forwarded by the Tax Fraud Division

recommending disapproval of the claim.

2. ISSUANCE OF DISBURSEMENT VOUCHER FOR THE INFORMER'S

REWARD DULY APPROVED THE SECRETARY OF FINANCE
a) Whole docket of the case, together with the indorsement,
signed by all the members of the Committee on
Reward, duly approved by the Secretary of Finance;

b) Certification from the Revenue Accounting Division of the

actual remittance; and

c) Certification from Revenue District Office where the

informer is registered that he/she has no outstanding
tax liability.

3. ISSUANCE OF TAX CREDIT CERTIFICATE OR DISBURSEMENT

VOUCHER FOR TAX REFUND IN COMPLIANCE WITH THE
DECISION OF THE SUPREME COURT, COURT OF APPEALS AND
COURT OF TAX APPEALS WHICH HAS BECOME FINAL AND
EXECUTORY
a) Writ of Execution issued by the Court; and
b) (Internal: Certifications from the Collection Service/Division
that taxpayer has no outstanding tax liability).

4. REQUEST FOR TAX EXEMPTION OF REASONABLE PRIVATE

BENEFIT PLAN

a) Actual Valuation Report;

b) Duly accomplished BIR Form No. 17.60;
c) Copy of the Retirement Plan;
d) Trust Agreement; and IDaCcS

CD Technologies Asia, Inc. © 2022 cdasiaonline.com

 e) Letter request for tax exemption.
5. REQUEST FOR CONFIRMATION THAT THE "REASONABLE PRIVATE
BENEFIT PLAN" IS STILL TAX EXEMPT DESPITE AMENDMENTS
TO ITS PROVISIONS
a) Copy of the Amendments to the provisions of the
Retirement Plan; and
b) Letter request confirming its tax exempt status.

6. REQUEST FOR RENEWAL OF CONFIRMATION OF TAX EXEMPT

STATUS OF A "REASONABLE PRIVATE BENEFIT PLAN"
a) Certified true copy of the previously approved Private
Benefit Plan; and
b) Letter request for renewal of confirmation of its tax
exempt status.
7. REQUEST FOR RULINGS ON TOPICS COVERED BY REVENUE
MEMORANDUM CIRCULAR NO. 3-2001 OF TAXPAYERS
FALLING WITHIN THE JURISDICTION OF THE NATIONAL OFFICE
a) Same list of requirements as those requesting tax
exemption under RMC 3-2001.
C. All the above-mentioned rulings to be issued by the Regional
Directors or the Assistant Commissioner, Legal Service, should state the
particular precedent ruling number signed by the Commissioner, including
the date when it was issued.
All internal revenue officers and others concerned are requested to
give this Circular as wide a publicity as possible.

(SGD.) RENE G. BAÑEZ

Commissioner of Internal Revenue

CD Technologies Asia, Inc. © 2022 cdasiaonline.com