PERCENTAGE TAXES

Percentage Tax Tax Base Tax Rate

1. Tax on person exempt from VAT under Gross Monthly Sales or Revenue 3%
Sec. 109 (w)
2. Percentage on domestic carrier and Actual or minimum monthly gross receipts 3%
keepers of garage (transport of whichever is higher
passengers)
3. Percentage tax on international carriers Monthly gross receipts 3%
4. Tax on franchises Gross receipts:
Franchises on radio/or TV broadcasting
companies whose annual gross receipts of 3%
the preceding year do not exceed
P10,000,000

Franchise on gas and water utilities 2%

5. Tax on overseas dispatch, message or Amount paid of such services (by the person 10%
conversation originating from the who used the communication facilities)
Philippines
6. Tax on banks and non-banks financial Gross receipts on interest, commissions and 5%
intermediaries performing quasi- discounts from lending activities, income 1%
banking functions from financial leasing 0%
7%
7. Tax on other non-bank intermediaries Gross Receipts 5%
5%
1%
8. Tax on life insurance premiums Total premiums collected 2%
9. Tax on agents on foreign insurance Total premiums collected/paid 10%
companies (fire, marine or misc 5%
insurance)
10. Amusement Taxes Gross Receipts
Jai-alai and race tracks 30%
Cockpits, cabarets, night or day clubs 18%
Professional Basketball Games 15%
Boxing exhibitions 10%
11. Tax on Winnings Actual amount paid for every winning ticket 10%
after deducting the cost of the ticket

Winnings from double, forecast/quinella and 4%

trifecta bets

Prize of winning horse owners 10%

12. Tax on sale, barter or exchange of Gross selling price or gross value in money of 1%
shares listed and traded through the
local stock exchange

Tax on shares of stock sold or exchange Gross selling price or gross value in money 4%
through public offerings 2%
1%