Best Relocation Option?

[MikeB]

Thanks, Thomas. I actually believe that one can work on a 13a visa without an AEP by virtue of DOLE Order 97-09.  The 13a visa grants "resident" status, and as such the right to work without getting the Alien Employment Permit.  Someone please correct me if I am wrong.

Correct, but reading his post I think he was referring to being here on a BB derivative basis. I finished the 13a process here in the Philippines less then a year ago. If you decide to go that route, it's not that bad.

[Thomas]

I actually believe that one can work on a 13a visa without an AEP by virtue of DOLE Order 97-09. The 13a visa grants "resident" status, and as such the right to work without getting the Alien Employment Permit.  Someone please correct me if I am wrong.

I'm not sure, but I believe we foreigners need a suiting visa PLUS work permit   (except perhaps if having the special business investment Visa.) 

NOTE!  A lot of jobs are only for Filipins.  You need to check that before you decide what business to start.

In any case, by "work" I would most probably mean having my own business...which would be in my Pinay wife's name.

   Business CAN'T be in your wife's name more than it can be for foreigners. There is an "Anti-Dummy" law, which count foreigner + Filipina wife as SAME person - foreigner - concerning business owning. In most cases this mean you can owe max 40 %. Some are less/zero.  An INTERESTING EXCEPTION is "export business" (=Minimum 60 % has to be exported. I don't know if it can be anywhere or only within export zones.) Export businesses are foreigners allowed to owe 100 % of.   

Not married to a pinay, you have fewer options.

Yes. I plan to solve that    =  get married   :)       during the 6-12 or so months I will use tourist Visa.

You will find any dealings with government offices there an experience without equal. Bring your sense of humor, patience, your manners,some humility and if possible a pinay/pinoy friend and you will make it through (minus several hours of your life that you will never get back).

   Yes. But I have a habbit bringing a bag with drink, (food) and work/entertainment when I'm going to any place where there can be time waste, so I don't bother much if it take some time, WHEN it's enough to go there ONE day.  But I don't like when the process will be ready some days later so I can't go home same day (as e g when to get leave permit).  I don't like being in cities more than necesary    :mocking:

[jkeenan213]

Thanks, Thomas.  One thing caught my attention.  I am familiar with the anti-dummy laws.  But I am not familiar with any law or judicial decision referencing spouses being counted as "one" entity in a business partnership for calculation of the foreign ownership restrictions (0-40% max based on the type).  I know several expats who are involved in businesses small and large with pinay wife as 60% or more owner.  As this presents some concern, can you cite your source of that info?  My concern is not for myself, but my wife.  Certain small businesses, retail and sole proprietorships in PI are limited to 100% filipino ownership.  So following the logic of the spouses-as-single-entity concept above, that would preclude her from any involvement in those businesses.

[Thomas]

Thanks, Thomas.  One thing caught my attention.  I am familiar with the anti-dummy laws.  But I am not familiar with any law or judicial decision referencing spouses being counted as "one" entity in a business partnership for calculation of the foreign ownership restrictions (0-40% max based on the type).  I know several expats who are involved in businesses small and large with pinay wife as 60% or more owner.  As this presents some concern, can you cite your source of that info?  My concern is not for myself, but my wife.  Certain small businesses, retail and sole proprietorships in PI are limited to 100% filipino ownership.  So following the logic of the spouses-as-single-entity concept above, that would preclude her from any involvement in those businesses.

I guess many foreigners can have wifes as owners in business they have financed, because no official bother   :)    (when it's small businesses.)

 

I lost a lot of my notes when my old computer broke, I had only duplicates of around half of the big bunch,

but I have some memories from reading the "Anti-Dummy" law and coments to it, but I don't remember which parts were in the law or in the coments. 

When a foreigner is involved, it's ASUMED the foreigner has financed it, if the wife stands as owner, so the foreigner is seen as the REAL owner.  So kind of "counted as same person" (=as the foreigner) concerning OWNERSHIP. 

(But I believe NOT counted as same person concerning earning taxes.)

 

It's common lawyers "solve" the ownership problem by hire some DUMMIES !!!  to be the 60 % part owners in a "Ltd" company against some pay,

BUT I doubt such solution would stand if checked in court, so I will NOT solve the ownership that way.

(Myself I will solve it by a by me controlled SWEDISH company OWN the EQUIPMENT and copyriggts and such and LEASE* it to the Filipin company. Perhaps give LOAN to it too.  So the Filipin company would NOT OWN much anyway, so no big problem if someone scam me of the Filipin company...

I don't know how far relative it has to be to not be counted as Dummy, that's left to check if wanting to involve any such.

 

* Or perhaps a joint venture deal where the Swedish company get the big part. I haven't checked if that's a good idea, I WANT the Swedish part to be taxed in Sweden, because I would get much LESS tax there, because I'm good at Swedish tax laws   :)

 

I will need to check if I will need work permit in Phils "to keep an eye on the equipment" for the Swedish company.

 

 

Btw - there are TAX DEDUCTIONS if you have people living of your income.   (If I remember corect it's 50 000 p per year for first person and 25 000 p for each following max (4 ?) persons.)  Or let your wife get the deductions if that suit better.

 

(I get income from Sweden enough to live OK of anyway, so my wife is the first of us to be paid in Phils for working in the business. That undepending of ownership structure.)

 

Edit:  But NOTE  there is a MINIMUM "income tax" to think of when split result. Even if there are no profit, that "income tax" is 2 (?) % of the REVEUE.    (This is OTHER than the VAT tax, which need to be paid too.)

Edited November 4, 2014 by Thomas

[jkeenan213]

Thanks Thomas, much appreciated.

[Thomas]

Thanks Thomas, much appreciated.

You are welcome.

 

Perhaps we will end up "neighbours"   :)  

although I want to be far from my closest neighbour,  at least 200 meters. Most probably I will end up somewhere in the inland of (NorthEast half of) Bohol.

And perhaps we will have businesses, which can cooperate   :)    (I'm good at production organisation and have managed to motivate workers in other countries, which "specialists" found impossible, but I find selling very booooring   :)

[jkeenan213]

LOL...we'll see.  I already have land near Anda in the southeast on Bohol so not too far if you do indeed end up where you think.

[Thomas]

LOL...we'll see.  I already have land near Anda in the southeast on Bohol so not too far if you do indeed end up where you think.

Yes. I remember you told you don't know yet if you will want to work or not.

It will take some time before my injury is ready to move anyway, and first months in Phils I will be elsewhere doing some research. (Business and personal    :)     (There are to much people where my presumtive future family-in-law live, so I will stay there a while, but not settle there.)

 

They try to develop south part of Bohol including Anda for tourists, which is a reason I prefer some more north (=Pilar or more north.) And up there are some more protection against typhons too. But that's not much more far from Anda than I have to the closest town from my house in Sweden  :lol:

[anthonytt]

[[We were married in the U.S. and had the marriage registered at the NY Philippines embassy.

What can I or should I do before we leave? Apply for the 13a or get the Balikbayan stamp and apply while there?]]

After reading this post I myself being in a very similar situation decided to get my 13a here in US. I think it's better than doing the BB every year. We too registered our marriage at the NY philippine consulate earlier this year but since moved to Arizona. So I'm gonna need to drive to Los Angeles to the consulate there. My wife has her 2 year Green Card which was just extended 1 year while they process her 10 year. Yes, we filed for it just in case my wife changes her mind about moving.

Anyway, I'm going to try to do this before our 6 week trip to Cebu next month if not, then soon as we get back.

So, I will post my experience with the 13a Process here in US once I start. Hopefully it will help you and others know what to expect. Anyway, it's about time I contribute something to this forum.

[Dave Hounddriver]

My wife has her 2 year Green Card which was just extended 1 year while they process her 10 year.

 

This is the part that I find tricky.  If she is out of the US for a certain period of time I believe they take the Green Card away and make her start over.  Its why many get citizenship before moving back here.  Can you enlighten us on this?