JMCRUZ

GENERAL PRINCIPLES OF INCOME TAXATION IN THE PHILIPPINES

INCOME TAXPAYERS CLASSIFICATIONS SOURCE OF INCOME TAX RATE TAX BASIS

W/IN THE PHILS W/OUT THE PHILS
INDIVIDUALS
RESIDENT CITIZEN (183 days) 0-32% INCOME TAX NET INCOME
CITIZENS
NON-RESIDENT CITIZEN 0-32% INCOME TAX NET INCOME
RESIDENT ALIEN 0-32% INCOME TAX NET INCOME
ALIENS
NON-RESIDENT ALIEN
ENGAGED IN T/B (180 days) 0-32% INCOME TAX NET INCOME
NOT ENGAGED IN T/B 25% FINAL WITHHOLDING TAX GROSS INCOME
CORPORATIONS
DOMESTIC CORPORATION 30% INCOME TAX NET INCOME
RESIDENT FOREIGN CORPORATION 30% INCOME TAX NET INCOME
FOREIGN CORPORATION
NON-RESIDENT FOREIGN CORPORATION 30% INCOME TAX GROSS INCOME

*SOURCE OF AN INCOME the property, activity, or service that produced the income
Compensation for labor or services place where the service was performed

Online business transactions purchases (local or imported) and sale (local or international) of goods (tangible or intangible) made thru the internet or digital media.