Value Added Tax (VAT) registration in the Philippines
Register your business for VAT in the Philippines and file the necessary returns within the designated reporting periods
Understanding VAT registration and reporting in the Philippines
✅ Who needs to register for VAT:
- Individuals or corporations that sell, exchange, or lease goods, services, or properties with gross sales of up to PHP 3,000,000
- Individuals or corporations that import goods into the Philippines
❌ Consequences of not filing VAT:
- Penalty of PHP 1,000 per failure to report
- Penalties can accrue to up to PHP 25,000 per year
The Value Added Tax (VAT) applies to the sale, exchange, and lease of goods, services, or properties within the Philippines. It also applies to all imported goods. The tax applies to the seller and not the buyer and has a set rate of 12%.
Use our Philippines VAT Calculator to understand the amount of VAT you need to collect and pay.
VAT return submissions
VAT-registered entities must submit VAT returns and pay the corresponding taxes to the Philippines Bureau of Internal Revenue (BRI). Reporting is done every quarter and the due date for submissions and payments is the 25th day following the close of each quarter.
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Liz Servañez
Liz Servañez serves as Branch Manager in the Philippines.
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Christine Aguilar
Christine Aguilar serves as Head of Operations in the Philippines.
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