Comments on: A Digital Nomad’s Guide to Paying Taxes

By: Gie

Gie — Mon, 06 May 2019 10:36:44 +0000

Hi Daniel,

I’m not sure about Thailand, but Philippines is great for non-Filipino digital nomads!
Yes, you’re right. If you’re a foreigner living here, you won’t be taxed for foreign sourced income. It’s only when you earn income here (let’s say, you conduct a seminar here and get paid locally, or maybe you bought a condo and had it rented via Airbnb, then you need to pay taxes on that here in PH).

It doesn’t matter how long you stay in the Philippines. Of course, visa and how you manage to stay here for long is a different matter. You can do visa runs.

By: Daniel

Daniel — Sat, 06 Apr 2019 08:28:20 +0000

Hi Gie,
I wonder if you know what to do in my sitiation. Im a dutch national living in PH or Thailand. I switch quiet a lot. I make money on youtube, adaense. So if im correct, if i stay for more than 183 days in ph and use my ph ban account i dont have t pay any tax cos its not ph sourced income. Right? What if i keep money coming in on my ph bank account but stay for more than 183 days a year in thailand? Thailand has a territorial tax system so i only pay income tax in thailand on the money i spen? Or im taxable in the ph because i use my bank account for payment? Am i a non resident alien who doesnt have to pay tax in case not in ph for more than 6 months but still use my account and come back on a reguler base? Really hope to get your view.. Great info btw..
Cheers

By: Gie

Gie — Wed, 20 Mar 2019 07:57:33 +0000

Hi Louie, that’s about 25,000 in pesos. Or 300,000 in 1 year. With the TRAIN implemented, we all get 250,000 tax-free allowance (meaning, the first 250,000 we earn in a given year is NOT taxable).

Also, if you register as a self-employed professional, you can get deductions before your income is taxed. I recommend OSD (optional standard deduction at 40%).

With the current TRAIN law, you can earn / declare up to 416,000 a year or 34,700 per month, and STILL NOT HAVE TO PAY INCOME TAX.

Why?

Gross Annual Income: 416,000
(Less) OSD at 40%: (- 166,400)

Net Income: 249,600

**which falls under the tax-free threshold of 250,000 per year

But you have to pay business tax though. Since your income is under 3M, you pay Percentage Tax (NON VAT).

Percentage tax is 3% so with a monthly income of 25,000 pesos, you pay 2,250 pesos every quarter. *You pay percentage tax every quarter, not monthly.

By: Louie L

Louie L — Wed, 12 Dec 2018 05:06:29 +0000

How much will be deducted if i earn around 500$ per month thru Google Adsense, i want ITR because im planning on getting US visa thanks