Anyone Heard Of This Rule Before?

[Dave Hounddriver]

Taxation (for non-residents private individuals*)TAXATION WHEN HOLDING/OWNING PROPERTYIncome Tax on rents: 25% on gross rental income**VAT 12%: normally included in rent and collected from tenantDocument Stamp Tax: tenements or portions thereof at a rate of PHP3 on the first PHP2,000 and for every PHP1,000 in excess of the first PHP2,000 for each year of the term of the lease contract.Section 194 of the Tax Code imposes DST on lease contracts of land. Such tax allows for flexibility in terms of the period and the value for tax planning purposes.or tax planning purposes.If I am reading this correctly it means foreigner owned properties and as we foreigners can only own condos then I guess anyone renting out their condo is supposed to collect and remit 25% of the rent to the BIR? Anyone heard of this rule before?

[Call me bubba]

http://www.chanroble...tualibrary1.htmShort of having an attorney (which some FM has said they get various answers to the same question or situation)This(website) is what I have considered as "The Bible" for all rules.laws and other itemsthat may effect me,my family and my "freedom" while I am living hereALSO I strongly VERY strongly Suggest that youif have ANY MONEY or possible business issues Tied up in anything here in the Philippines including a bank depositIS to go to the nearest LEGAL LAW BOOK STORE and get/buy the necessary LEGAL books or pamphlets regardingyour unique situation.. WHY BUBBA?. Bubba says why not.. ITS better to be prepared or knowledgeable about issues that affect US(uk.ca,es aus.nz)Than rely on "good friends advice" or news from others that may not be Fully update or accurate or be Ignorant of what can happen that could or cause us to lose our investment or our patienceAs I have posted few times before LOOK for Legal guides/ books/ or pamphlets from Knowledgeable sources (publishers)Are you being a "Smart" A. S...S. by having this??NO not all. Your just protecting your Right and your hard earn money.Sometimes the business or other people are not updated or knowledgeable about Any Recent changes to the Rule of law .So if your able to show or provide this NEW information to themif done very tactfully they may truly appreciate being aware, or known of the "newest" changes. Edited March 14, 2012 by Call me Bubba

[Dave Hounddriver]

ALSO I strongly VERY strongly Suggest

I'm sure your suggestions are made with the best of intentions but I am having a very difficult time finding anything in your post related to the topic or my question. Am I missing something in your reply?

[Mike S]

I'm interested to hear also Dave as I know several foreigners that own more than 1 condo and by the looks that could develop into a pretty hefty sum ...... a friend of mine just rented out his new condo just a few months ago ...... I'm sure he will be greatly interested ..... sorry I can't help

[Curley]

I don't know whether or not this is true but I imagine it would be, it is after all an income albeit on an investment. I don't know of any country that allows you to earn money without paying tax on it.

[Dave Hounddriver]

I don't know whether or not this is true but I imagine it would be

I suspect it might be true, if the BIR catches up with the condo owner, because if any of us puts money in a bank savings account the BIR takes their cut (something like 25%) right off the top of any interest paid out.

[Call me bubba]

ALSO I strongly VERY strongly Suggest

I'm sure your suggestions are made with the best of intentions but I am having a very difficult time finding anything in your post related to the topic or my question. Am I missing something in your reply?

By having the latest "legal "rulings or rules about the taxation situation this could help. (buy the legal (taxation)handbook)My info was general in nature. as I am not an expert on "philippine"taxation matters.Last suggestion, Is go the local BIR office or have your partner(wife) to seek the latest "taxation" news/rules .

[wolf larsen]

I don't know whether or not this is true but I imagine it would be, it is after all an income albeit on an investment. I don't know of any country that allows you to earn money without paying tax on it.

Do the same taxation rates apply to citizens?

[Jack Peterson]

Dave, if you have a look at www. globalpropertyguide.com/asia/philippines/rental-income-tax you will find some interesting facts.

I tried to insert the link but it got misdirected. best you google it I think

Also try tax pages on the same web. insert tax pages after /philippines/

Hope it is of some help.

Jack P. :tiphat:

[Thomas]

I believe this link of yours functions

http://www.globalpropertyguide.com/Asia/Philippines/Taxes-and-Costs

I bring this a bit old topic up, because I suppose it's still current for many, and it's important you don't miss this:

NOTE!

Business Permit

A business permit is required before renting out property.