Individuals
A. Basic Community Tax
The Basic Tax of Php 5.00 is to be paid by every inhabitant of the Philippines.
Every inhabitant of the Philippines, eighteen years of age or over
(a) Regularly employed on a wage or salary basis for at least thirty (30) consecutive working days during any calendar year; or
(b) Engaged in business or occupation; or
(c) Owns real property with an aggregate assessed value of one thousand pesos (1,000) or more; or
(d) Required by law to file an income tax return,
Shall pay a basic community tax of five pesos (P5).
Who is an Inhabitant of the Philippines?
An inhabitant of the Philippines is a person who shall have stayed in the Philippines for more than three months.
Who is required to file an income tax return?
He is an individual who may have had a taxable income (from employment, business or profession) after deducting the personal exemptions to which he is entitled under the Income Tax Law.
Every inhabitant of the Philippines, eighteen years of age or over
(a) Regularly employed on a wage or salary basis for at least thirty (30) consecutive working days during any calendar year; or
(b) Engaged in business or occupation; or
(c) Owns real property with an aggregate assessed value of one thousand pesos (1,000) or more; or
(d) Required by law to file an income tax return,
Shall pay a basic community tax of five pesos (P5).
Who is an Inhabitant of the Philippines?
An inhabitant of the Philippines is a person who shall have stayed in the Philippines for more than three months.
Who is required to file an income tax return?
He is an individual who may have had a taxable income (from employment, business or profession) after deducting the personal exemptions to which he is entitled under the Income Tax Law.
B. Additional Community Tax
In addition to the basic community tax an individual shall pay an Additional tax not exceeding Php 5,000.00 for the following:
if:
(a) From within the Philippines;
(b) In the preceding year,
for:
(1) Gross receipts or earnings derived from business during the preceding year -- Php 1.00 for every Php 1,000.00
(2) Salaries or gross receipts or earnings derived from the exercise of profession or the pursuit of any occupation during the preceding year -- Php 1.00 for every Php 1,000.00
(3) Income from real property during the preceding year -- Php 1.00 for every Php 1,000.00
The basic and additional Community Taxes shall be paid at one place only, even if the taxable gross receipts or income are derived from various sources at different places.
In the case of husband and wife, each shall have a basic Community tax. There will be one consolidated Additional Community Tax for husband and wife, payment for which shall be reflected in the Community Tax Certificate of either the husband or the wife.
C. Optional Community Tax
Any person or corporation that is exempt from the Community tax but who desire to pay, shall pay one peso (P1).
