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Philippines tax for aliens

In plain termsOne statute sentence does most of the work: aliens are taxed only on Philippine-source income. That is not Thailand's remittance basis, and it is not Vietnam's resident worldwide reach.

What the Philippines reaches

Aliens (resident or not): Philippine-source income only (yes). There is no remittance basis that taxes foreign income when it is brought onshore (yes).

Resident citizens: worldwide income (yes). The citizenship line is the real split — not the tourist stamp.

The 180-day NRA gate

Stay of more than 180 days in a calendar year (yes) deems a nonresident alien engaged in trade or business. That NRA-ETB is taxed like a resident alien — still on Philippine-source income only (yes). Crossing 180 days does not automatically make you a resident alien (yes).

Stay of 180 days or less without trade or business (NRA-NETB): generally a 25% final tax on gross Philippine-source income of the kinds listed in §25(B).

CompareThailand taxes residents on remitted foreign income. The Philippines, for aliens, leaves foreign-source income outside the charge even if the wire lands in Manila — unless source rules say the income was Philippine-source to begin with (for example, services performed physically in the Philippines).

Graduated PIT rates (2023 onwards)

Resident aliens and NRA-ETB use the graduated table on Philippine-source taxable income (yes). Schedule effective 2023-01-01 under TRAIN — 6 brackets, top rate 35%. NRA-NETB stays on the §25(B) final rate above, not this table.

BracketTaxable income / year (up to)Marginal rate
1250000 PHP0%
2400000 PHP15%
3800000 PHP20%
42000000 PHP25%
58000000 PHP30%
6 (above)—35%

Next doors

Common questions

Does the Philippines tax my worldwide income if I live there?
Not if you are an alien. NIRC §23(D) taxes alien individuals — whether resident or not — only on income from sources within the Philippines. Resident citizens face worldwide tax under §23(A). That citizenship split is the core of the Philippine machine.
What does the 180-day rule actually do?
It changes how a nonresident alien is taxed on Philippine-source income. Stay of more than 180 days in a calendar year deems you a nonresident alien engaged in trade or business (NRA-ETB) under §25(A) — progressive rates on net PH-source income, like a resident alien. Stay of 180 days or less (NRA-NETB) is generally a 25% final tax on gross PH-source income of the listed kinds (§25(B)). It does not pull foreign-source income into the Philippine charge.
If I remit a US pension into a Manila bank, is it taxed in the Philippines?
Remittance alone does not change source. Foreign-source income of an alien stays outside §23(D). Source turns on where the services were performed or where the property sits (§42), not on which bank receives the wire. Treaty overlays (for example US–PH Art 18) can still allocate taxing rights — that is a separate page.
What rates apply once I have Philippine-source income as a resident alien or NRA-ETB?
The TRAIN graduated table effective 1 January 2023: 0% up to ₱250,000, then 15%, 20%, 25%, 30%, and 35% above ₱8,000,000 (RA 10963 amending NIRC §24(A)). NRA-NETB stays on the §25(B) 25% final tax on gross of the listed kinds — not this table.
Is this the whole Philippines picture?
No. This is the tax door only. SRRV stay, Alien Employment Permit / 9(g) work authority, and each passport's treaty with the Philippines are separate layers. This page does not price any of them.