withholding tax table

Withholding Tax Table in the Philippines

Withholding Tax is the income tax deducted by the employer to his/her employees and is being paid directly to the government. From the word itself, it means it is being withheld or deducted from the recipient’s income.

The Bureau of Internal Revenue (BIR) has issued Revenue Memorandum Circular (RMC) No. 105-2017 revising the withholding tax table on compensation pursuant to the amendments to the National Internal Revenue Code of 1997 as introduced by Republic Act (RA) 10963, otherwise known as the “Tax Reform for Acceleration and Inclusion (TRAIN) Law.”

How much is the Withholding Tax in the Philippines?

Employees earning P685/day or P20,833/ month are exempted from withholding tax. See the table below.

WITHHOLDING TAX TABLE

 REVISED WITHHOLDING TAX TABLE
Effective January 1, 2018 to December 31, 2022 
DAILY123456
Compensation Range P685 and belowP685 -P1,095P1,096 – P2,191P2,192 – P5,478P5,479 – P21,917P21,918 and above
Prescribed Withholding Tax0.000.00 +20% over P685P82.19 +25% over P1,096P356.16 +30% over P2,192P1,342.47 +32% over P5,479P6,602.74 +35% over P21,918
WEEKLY123456
Compensation RangeP4,808 and belowP4,808 – P7,691P7,692 – P15,384P15,385 – P38,461P38,462 – P153,845P153,846 and above
Prescribed Withholding Tax0.000.00 +20% over P4,808P576.92 +25% over p7,692P2,500.00 +30% over p15,385P9,423.08 +32% over P38,462P46,346.15 +35% over P153,846
SEMI-MONTHLY123456
Compensation RangeP10,417 and belowP10,417 – P16,666P16,667 – P33,332P33,333 – P83,332P83,333 – P333,332P333,333 and above
Prescribed Withholding Tax0.000.00 +20% over P10,417P1,250.00 +25% over P16,667P5,416.67 +30% over P33,333P20,416.67 +32% over P83,333P100,416.67 +35% over P333,333
MONTHLY123456
Compensation RangeP20,833 and belowP20,833 – P33,332P33,333 – P66,666P66,667 – P166,666P166,667 – P666,666P666,667 and above
Prescribed Withholding Tax0.000.00 +20% over P20,833P2,500.00 +25% over 33,333P10,833.33 +30% over P66,667P40,833.33 +32% over P166,667P200,833.33 +35% over P666,667  

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