Section 16Sec./Art. 16

Tax Exemptions. Pursuant to Section 4, Article XIV of the Constitution, all revenues and assets of nonstock, nonprofit TNHEIs which are used actually, directly, and exclusively for educational purposes shall be exempt from taxes and duties.

All grants, bequest, endowments, donations and contributions made to the TNHEI to be used actually, directly and exclusively by the TNHEI shall be exempt from donors tax and the same shall be allowed as allowable deduction from the gross income of the donor for purposes of computing the taxable income of the donor in accordance with the provisions of the National Internal Revenue Code (NIRC) of 1997, as amended.

Further, in accordance with Section 28, Article VI of the Constitution, all lands, buildings, and improvements, actually, directly, and exclusively used by a TNHEI for educational purposes shall be exempt from taxation.

All nonstock, nonprofit TNHEIs shall also be entitled to all tax incentives granted to such entities in accordance with the provisions of the NIRC of 1997, as amended.1шphi1