Chapter 05 Final Income Taxation1

 

STUDENT CODE:_______ NAME:___________ ______________ ______________ _ SUMMARY OF FINAL TAX UNDER THE NIRC, AS AMENDED INDIVIDUAL CITIZEN ALIEN GENERAL RULE : Final tax applies only on identified passive income from sources WITHIN.  NON-RESIDENT RC NRC RA ETB NETB INTEREST INCOME Local Currency Deposit Short term interest or yield Long term interest or yield   Pre-termination interest rate - Less than 3 years - 3 to less than 4 years - 4 to less than 5 years Foreign Currency Deposit Interest income from FCDUs/OBU depositary banks Interest income of EFCDU/OBU banks Interest income on foreign loans

Tax-free INCOME covenant bonds DIVIDEND From domestic corporations, in general From Real Estate Investment Trust or REIT From foreign corporations (i.e. RFCs and NRFCs)  SHARE IN NET INCOME of taxable partnership, joint venture and co-ownership ROYALTIES Passive royalties In general Passive royalties from cinematographic films and similar works Passive royalties from printed books, literary works & musical compositions Active royalties TAXABLE PRIZES, amounting to: P10,000 and below Above P10,000 WINNINGS In general PCSO & lotto winnings > P10,000 PCSO & lotto winnings ≤ P10,000 INFORMER’S TAX REWARD 

20% 20% 20% 20% []

CHAPTER 05: Final Income Taxation LEGENDS: CORPORATION FOREIGN DC

RFC

NRFC

25% 25%

20% 20%

20% 20%

30% 30%

20% 12% 5%

20% 12% 5%

20% 12% 5%

20% 12% 5%

25% 25% 25%

20% 20% 20%

20% 20% 20%

30% 30% 30%

15% 10% N/A

Exempt Exempt N/A

15% 10% N/A

Exempt Exempt N/A

Exempt Exempt N/A

15% 10% N/A

15% 10% N/A

Exempt Exempt 20%

30%

30%

30%

30%

30%

[]

10% 10% 10% 20% Exempt Exempt 15%* 25% 10% Exempt^ 10%