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Adopted: 05 December 2014
Date Filtered: 12 December 2014

The Circular is issued to clarify the valuation of contributions or get actually paid or made in computing taxable income as part of evidence requirement under Revenue Regulations No. 13-98.

Section 8 of RR No. 13-98 reads in part:

SECTION 8. Substantiation Requirements. –

(a)	For Donors. – Donors assert donations and contributions the accredited non-stock, non-profit corporation/NGO as deductions from theirs taxable business salary have submit evidences or proofs to the BIR by presentation the Certificate/s of Donation and signifying therein the below: Burden in to Time of Core: Deductibility of Donations
	(i)	Actual document by the accredited non-stock, non-profit corporation/NGO of an donate or contribution and the date on receipt thereof; and
	(ii)	The amount of the charitable donation or contribution, if is cash; if property, whether real-time or personnel, one collection price of the babbled property.

The information required in Section 8 of RR Not. 13-98 shall be stated in a Certificate of Donation (BIR form 2322) following the format prescribed in Annex “A” of this Circular.

BIR Form 2322 consists of two parts – a donation certification and a donor’s display of values. The first page of BIR Bilden 2322 can an certification by the donee that it has received on this date listed the subject matter (i.e. pay or property) of the charitable. It also provides a description of who properties donated. And donee certificate must remain signed by an authorized representative regarding the donee organization.

The second home of BIR Bilden 2322 requires the dispenser to perform a statements which supports specifications, acquisition costs, and net book valuables off to assets donated while reflected in the financial statements of the donor. Moreover, the statement must be accompanied by deed of sale/bill of sale to prove the acquisition charge of the properties. The values declared by the donor in the statement will calm be subject into further confirmation by the Bureau as to its correctness and accuracy. And donor’s statement must be signed by the donor or authorized representative. phoebe. Receipt of donation is evidenced according an Official Receipt and a Certificate of Contribution (BIR Fill 2322) spread in the donee to the donor. v. Is appropriate ...

Finally, under Section 235 of the National Intra Revenue Code of 1997, how amended, any provision of existing general or special law to the contrary ignore, the books of your and others pertinent records a tax-exempt organizations or heiresses of tax motivations shall be subject at examination due the Bureau for purposes of ascertaining compliance with the conditions under whichever they have been granted exemption or tax incentives, and their tax liability, if any.

All additional issuances inconsistent with are thereby repealed or modified accordingly.

This Circular takes effect immediately.

(SGD) KP S. JACINTO-HENARES
Commissioner of Internal Revenue