Taxwise or Otherwise

Know the latest developments in tax and business law in the Philippines as we dissect current issues affecting the business community, including policy development.

Writers are taken from a pool of business and tax consultants of our firm. These columns regularly appear in the BusinessWorld newspaper.

 

Latest column

Simplified tax exemption for nonprofit schools

29 Sep 2016

Nonstock, nonprofit educational institutions may have reason to be upbeat this school year with the issuance of Revenue Memorandum Order (RMO) No. 44-2016, excluding them from the renewal requirements of their tax exemption status. Readers may recall that in 2013, the Bureau of Internal Revenue (BIR) issued RMO No. 20-2013, requiring nonstock, nonprofit organizations under Section 30 of the National Internal Revenue Code (NIRC) to secure confirmatory BIR rulings or certificates of tax exemption by submitting an application and supporting documents for evaluation. However, this requirement was declared null and void as far as nonprofit schools were concerned when a Regional Trial Court in 2014 cited the constitutional protections enjoyed by such institutions.