Tax
8% income tax option
Often called 8%
A choice for the self-employed: pay 8% of gross receipts above ₱250,000, in place of graduated rates and percentage tax.
Most useful for: Career shifter
- In real life
- Billing ₱360,000 a year: 8% × (₱360,000 − ₱250,000) is ₱8,800 for the year.
- Why it matters to you
- It's only for gross receipts up to ₱3,000,000 a year, and you pick it at the start of the year.
An explanation to help you read your pay, not a ruling on your case. Your employer, the agency or DOLE has the final word.