Passive Income Tax Rate Philippines 2019

Interests from any currency bank deposit and yield or any other monetary benefit from deposit substitutes and from trust funds and similar arrangements.

Passive income tax rate philippines 2019. Final withholding tax fwt on passive income. An improperly accumulated earnings tax of 10 is imposed on improperly accumulated income. Interest income received by an individual taxpayer except a non resident individual from a depositary bank under the expanded foreign currency deposit system. Passive income tax rate.

Business within the philippines the rate of income tax shall be twentyfive percent 25 of gross income from income sources in the philippines. For resident and non resident aliens engaged in trade or business in the philippines the maximum rate on income subject to final tax usually passive investment income is 20. Type of income tax rate withholding dividends interests royalties 10 capital. Exceptions are made for publicly held corporations banks and non bank financial intermediaries and insurance companies.

Total collection from passive income and financial intermediaries in 2017 department of finance 8 2017 in php billions percent of total percent of bir collection percent of gdp tax on passive income 107 2 50 0 6 0 0 7 interest income 64 8 30 2 3 7 0 4 dividends 27 9 13 0 1 6 0 2 capital gains stt and ipo tax 14 5 6 8 0 8 0 1.