Tax Services in the Philippines

Tax Services in the PhilippinesAll businesses must pay taxes on their income. The form of business you operate determines the kind of tax you need to pay. Every country has its own type of taxation system. When moving to the Philippines, especially when you are going to work or establish a business, you will probably have many questions regarding the local tax system. Indeed, as in most countries, you are likely to pay income tax, as well as other types of taxation in the Philippines. However, the tax is deducted under several conditions and at varied rates for different categories of foreigners. It is best to have awareness of these factors so that you will not end up paying more or fewer taxes.
Tax System in the Philippines | A Comprehensive OverviewExpatriates living in the Philippines who are not yet the citizens of the country are considered as resident aliens and the foreigners who do not live in the Philippines are considered as non-aliens. These terms are generally important for individual taxation. When it comes to business taxation, there are two important facts that you must know under the Philippine taxation system. They are:
Domestic corporations (created within the Philippines) are taxable on all income within and outside the countryForeign corporations, whether engaged or not in trade or business in the Philippines, is taxable only on income derived from sources within the countryTax in the Philippines varies from 0% to 35% depending upon the income of an individual or a business.
Corporate TaxThe corporate tax rate in the Philippines for domestic and resident foreign corporations is 30% for Domestic Companies and 35% for Foreign Companies based on the net taxable income. Also, note that, the foreign corporations whether resident or non-resident, are taxed only on income derived from a source within the Philippines. However, preferential rates and exemptions apply. Preferential rates generally range from 2% to 20%.
Withholding TaxA withholding tax in the Philippines is divided as follows:
Types of Taxable Income
Tax Rate (for non-residents)
Dividend
15%
Interest
20%
Royalty
30%
Technical fee
30%
Any other taxable income incurred by domestic and the foreign corporation is subjected to the standard withholding tax of 20%.
Fringe Benefit TaxIt is the final tax payable on a calendar quarterly basis by the employer and is deductible as a part of fringe benefit expense. The fringe benefits are taxable to Managerial and Supervisory-level employees by the employer and are subject to a rate of 35%. These benefits are not included in employees’ taxable Income.
Value Added Tax in the PhilippinesThe Philippines tax rate for Value Added Tax (VAT) is 12% of the gross selling price and is imposed to all imported goods, sale, barter, exchange, or lease of goods or properties and sale of services. The term 'Gross Selling Price' means the total amount of money or its equivalent that the purchaser pays or is obligated to pay to the seller in consideration of the sale, barter or exchange of the goods or properties, excluding the Value Added Tax.
On failure to file the VAT in the Philippines on the prescribed date, the Company is liable to pay a penalty of P 1,000 unless it is shown that such failure is due to reasonable causes and not due to willful neglect.
Computing Income Tax in the Philippines is different for an Individual and Corporations. A taxable corporation is taxed using a fixed income tax rate. While if you are a self-employed professional or an owner of a single proprietorship business then your income is taxed using a Graduated Tax Rate.
Our OfferingsWe at Business Setup Worldwide utilize our knowledge to provide companies with a range of effective solution. Our tax services in the Philippines include:
Identifying tax risksCorporate tax planning and preparationPreparing and filing tax returnsTax complianceBureau of Internal Revenue (BIR) audit assistanceTax consulting and auditingTax management is a challenge to many businesses, which is why we at Business Setup Worldwide offer our assistance to the business owners and relieve them from worry related to tax-compliances. Our teams of professionals are experts in this field and regularly keep themselves updated on the changing tax laws, rules and regulations that impact your return and will handle taxes with utmost accuracy and care. Contact us to know more.


想了解更多最新信息欢迎联系和咨询我们,微信:BGC998 电报@BGC998   Whats app: 0912-0912-222  优先使用TG免验证,咨询请主动告知咨询项目,菲律宾MAKATI 实体公司,客户 隐私保护 安全 可靠,可以安排工作人员上门取件或前往我们办公室提交办理业务。


We also  process:1 9G Working Visa2. 13A / TRV Spousal Visa- married to a Filipino citizen3. Downgrading of Visa4. Tourist Visa Extension5. Alien Employment Permit (AEP) / Special Working Permit (SWP)6. Inclusion of dependent Spouse and unmarried child7. Emigration Clearance Certificate (ECC)8. Cancellation of Alien Employment Permit9. Cancellation of CEZA Working Visa (CWV)10. Cancellation of 9G Working Visa (9G)11. AEP card replacement (loss AEP)12 Quota Visa13. Overstay14. Lifting of Blacklist(BL) and Hold Departure Order (HDO)15. Order To Leave (OTL) & other Immigration related concern!For faster inquiries feel free to contact us: WeChat : BGC998  WhatsApp :+63-912-0912-222 Telegram :@BGC998   EMAIL: 998VISA@GMAIL.COM

Processed in 0.057208 Second , 45 querys.