The Philippines draws expats and nomads with its great work-life balance, low living costs, and growing digital infrastructure. You can start your day hiking Mount Tapyas, join a work call by mid-morning, and relax at White Beach in the evening. However, understanding the country’s tax, visa, and gig-work rules is important for a smooth experience. This guide explains what you can and cannot do, and how to stay compliant while working online.
Taxes for foreigners in the Philippines can be confusing because it is a case of different strokes for different folks. However, the tax structure is generally favourable for expats and digital nomads, as they are only taxed on income earned within the Philippines. Income from remote work for companies outside the Philippines is usually not taxed in the Philippines.
Your tax requirements as an expat or nomad depend on your tax residency. If you stay in the Philippines for 180 days or less, you pay a flat 25% tax on income earned in the country. If you stay longer than 180 days, your Philippine-sourced income is taxed at progressive rates, up to 35% for income over PHP 8 million.
The Philippines has double taxation agreements with up to 44 countries, which help prevent you from being taxed twice on the same income. If your home country taxes worldwide income, such as the US, you may be able to use these agreements or foreign tax credits to avoid double taxation.
If you are a US citizen, the US government taxes your worldwide income no matter where you live. You might qualify for the Foreign Earned Income Exclusion (FEIE), which lets you exclude part of your Philippine earnings from US taxes and avoid being taxed twice.
Local and international tax regulations are not only complex but also subject to change. It is okay to get advice from a tax professional to ensure full compliance. You can always consult the Bureau of Internal Revenue (BIR) website for more information.
Also read: How to convert US dollars to Philippine pesos
The Philippines recently launched its Digital Nomad Visa, which is the most suitable option for remote workers. Here are the various visa options to choose from:
This is valid for one year, but renewable for another year. The application fee is around USD 200–400, depending on where you apply (embassy/consulate fees vary).
To be eligible, you must
The visa also has a reciprocity requirement, meaning you must be from a country that offers a similar DNV to Filipinos. Also, you cannot engage in any form of local employment or work for Philippine-based clients with this visa.
Read more about how to apply for a digital nomad visa in the Philippines
Many nationalities receive a 30-day visa on arrival. This can be extended for up to 36 months without leaving the country. Remote work is not formally permitted, but the majority of digital nomads simply operate under this category without issue.
Also read: How to manage multiple currencies as an expatriate in the Philippines using Grey
After the initial tourist visa, you can apply for longer extensions. This can last six months or more at a time. This is still not a work visa, but again, it is widely used by remote workers who earn only from overseas.
The SRRV is not just for retirees. If you are over 35, you can consider this option. However, it requires a higher deposit. With the SRRV, you have permanent residency, multiple entry, and freedom to work online without restrictions. It is one of the most flexible long-term visas in Southeast Asia. The program has different categories, such as SRRV Classic and SRRV Courtesy, each with its own requirements and fees. Depending on the SRRV category, applicants need to either make a deposit at a local bank or have a pension, or a combination of both.
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The Philippines remains one of the best places for digital nomads and expats due to its flexible visa options and tax-friendliness. Digital nomads and expats need to understand how visas and tax regulations affect gig work when visiting the Philippines. While there is a lot to explore, you should also have a payment solution you can carry along on your globetrotting. A multicurrency account in Grey ensures you can manage USD, EUR, and GBP payments with seamless conversion to pesos at competitive rates. This means you can easily receive payments from your international clients and spend locally without losing your earnings to high charges and exchange rate markups.
Sign up on Grey or download the mobile app today for reliable international payments.
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