For a donation to a non-profit institution to be tax-exempt, which of the following is NOT a requisite?

For a donation to a non-profit institution to be tax-exempt, it is essential that the donation aligns with certain criteria set by tax regulations. Informing the Revenue District Office (RDO) of donations of P500,000 or more, while potentially important from a compliance standpoint for large gifts, isn't a requisite that directly affects the tax-exempt status of the donation itself. Instead, the focus of tax-exempt requirements typically centers on how the institution operates and how the funds are used.

The accreditation of the institution, limits on administrative costs, and the requirement that all income is devoted to the organization's purpose are all fundamental aspects that determine the legitimacy and effectiveness of the non-profit entity in serving its mission. If these criteria are not met, the institution may risk losing its tax-exempt status, whereas merely notifying the RDO does not play a direct role in the core criteria for exemption.