Question: Zambales Land, a domestic corporation duly authorized to engage in real estate development

business in the Philippines, owns and develop several mass housing projects in Zambales. Each house
and lot costs P2,500,000. Will the sale be exempt from VAT?
Yes, the sale of real property utilized for low cost housing is exempt from VAT
No, the selling price is more than P1,500,000, hence, subject to VAT
Yes, subject to VAT but at the zero rated sale
No, subject to income tax since it is an ordinary asset.