Under SEC. 4.109-1 (B) Exempt Transactions - (p) Sale of Real Properties Exempt from VAT - (2) of Revenue Regulations No. 16-2005 refers to sale of real properties utilized for low-cost housing as defined by RA No. 7279, otherwise known as the "Urban Development and Housing Act of 1992" and other related laws, such as RA No. 7835 and RA No. 8763.
"Low-cost housing" refers to housing projects intended for homeless low-income family beneficiaries, undertaken by Government or private developers, which may either be a subdivision or a condominium registered and licensed by the Housing and Land Use Regulatory Board/Housing (HLURB) under Blg. 220, PD No. 957 or any other similar law, wherein the unit selling price is within the selling price ceiling per unit of Php.750,000.00 under RA No. 7279, otherwise known as the "Urban Development and Housing Act of 1992" and other laws, such as RA No. 7835 and RA No. 8763.
