RMC No. 99-2020: Circularizes RA No. 11448, entitled “An Act Expanding Access to Educational Services Through the Establishment and Administration of Transnational Higher Education, and Appropriating Funds Therefor”

Key points

1. Revenues and assets. All revenues and assets of non-stock, non-profit Transnational Higher Education Institutions (TNHEIs) used actually, directly and exclusively for educational purposes are exempt from taxes and duties.
2. Donations. Grants, bequests, endowments, donations and contributions to a TNHEI that it uses actually, directly and exclusively are exempt from Donor’s Tax. The donor may deduct them from gross income under the NIRC of 1997, as amended.
3. Lands and incentives. Lands, buildings and improvements used actually, directly and exclusively by a TNHEI for educational purposes are exempt from taxation. Non-stock, non-profit TNHEIs also get all tax incentives granted to such entities under the NIRC of 1997, as amended.

Who is affected

• Non-stock, non-profit Transnational Higher Education Institutions (TNHEIs)
• Donors to TNHEIs