Aug 282016
As the new academic year begins, a welcome development is the recent announcement that the Bureau of Internal Revenue (BIR) has relaxed the ruling requirements for the tax exemption of non-stock, non-profit schools.
The new BIR Commissioner Caesar A. Dulay issued Revenue Memorandum Order (RMO) No. 44-2016 dated July 25, 2016, which seeks to exclude non-stock, non-profit educational institutions from the coverage of RMO 20-2013, which requires the filing of an application for Tax Exemption Ruling (TER) by all tax-exempt entities, including non-stock, non-profit schools.