Tax Treaties with the Philippines

The Philippines has existing tax treaties with various countries including the United States, Canada, UK, Canada, Singapore, China, and Malaysia which provide for tax relief on income derived by foreign or local residents of the Philippines and the foreign country from sources within their respective territories. The tax relief includes tax exemption or entitlement to preferential tax rates on certain types of income such as interest, royalties, and dividends.

Availment of tax treaty relief is not simply automatic in the sense that taxpayers are required under existing BIR rules and regulations to comply with certain formalities before the said tax relief can be availed.

Securing a tax treaty relief ruling requires the filing of a formal request with the International Tax Affairs Division (ITAD) of the BIR stating the nature, mechanics, and conditions of the specific transaction applied for together with various supporting documents which include documents executed abroad and thus requires certification and authentication of the concerned Philippine consulate abroad.

The processing of the application would normally take less than six (6) months although a longer timetable may apply if additional documents are requested in the course of the evaluation of the application.

List of Countries with Tax Treaty with the Philippines

  1. Australia
  2. Austria
  3. Bahrain
  4. Bangladesh
  5. Belgium
  6. Brazil
  7. Canada
  8. China
  9. Czech
  10. Denmark
  11. Finland
  12. France
  13. Germany
  14. Hungary
  15. India
  16. Indonesia
  17. Israel
  18. Italy
  19. Japan
  20. Korea
  21. Kuwait
  22. Malaysia
  23. Netherlands
  24. New Zealand
  25. Nigeria
  26. Norway
  27. Pakistan
  28. Poland
  29. Qatar
  30. Romania
  31. Russia
  32. Singapore
  33. Spain
  34. Sweden
  35. Switzerland
  36. Thailand
  37. Turkey
  38. United Arab Emirates
  39. United Kingdom of Great Britain and Northern Ireland
  40. United States of America
  41. Vietnam