6 Months on a Tourist Visa do I need to submit a Tax Return

I am planning my retirement in South East Asia. I was thinking about retiring in Thailand but they are changing there tax laws in 2025 so am thinking about the Philippines as an alternative. If I stay in the Philippines on a Tourist Visa for longer than 6 months do I need to submit a Tax Return and does the Philippine government tax you on the money you bring into the Philippines to pay for your living expenses.

No. On both questions. Are you a US citizen? If so, I assume you are paying taxes to the US Gov't already.


Edit: I see you are from the UK, same applies.. most countries have tax treaties to avoid double-taxing people.


As long as you aren't working in the PI there's no need to file anything.

pnwcyclist thanks for the info. I should of added in the 1st post I am from the UK. I am thinking about doing some online work for a company in the UK while in the Philippines, if I am getting taxed in the UK and the money was paid into my UK Bank account. Would this still mean I wouldnt need to file a tax return.

@livinginsea


Again no. You are domiciled in the UK and both countries have a double taxation treaty which means tax is paid to the UK government and not to the Philippines govt. Moreover your UK pension is index linked to the UK inflation rate every year: so if Philippines inflation is less than the UK you will benefit (not withstanding exchange rate fluctuations) from a 'real' increase in your spending power.

Hi, I am not sure about it. It is right that there is a double taxation treaty between the Philippines and other countries, however, there is one thing you should not forget:

There is a time limit in the double taxation treaty and it says: If you stay more than 6 months in one of these countries you have to pay the taxes in this country where you stayed most of the time.

So If you stay in the Philippines for more than 6 months and you get a pension in the UK the pension becomes tax free in the UK and you need to pay the taxes in the Philippines.

There is a BIR form for that: BIR Form 0902

I think you have to process that in Manila.

That's very astute Andy, You jogged my memory on my working here a long time ago and tax treaties applicable to me with relation to duration of time working in country. I believe from my ageing memory you are correct. If paying taxes here in PH then that becomes an imputation credit in your home country.


One wonders though how that affects income derived from foreign income sources or pensions if living here long term? Not earnt in country. Our funds are simply transferred from Australia to the Philippines as required, applicable taxes paid in Australia.


Cheers, Steve.

I won't be receiving my pension for 5 years. So until I become pension age I will be surviving on savings and potentially doing some online work.

I am here for 7 years and I am also living on my savings with my family. Nobody asked me for a tax return up to now. This might change when I will get my pension in 4 years.

Same here Andy though I started drawing a minimum pension from my private super fund about 7 months ago, reason being that my earnings/returns from my hard earnt input were taxed at 15%, converted to a pension fund and no tax on earnings and saves me around AU 20K a year, better in my bank than the governments coffers as they give me nothing nor ever will, A holes with 45 years of paying tax.


All my income/funds are paid into Australian bank accounts and simply transferred here with no TIN. Income derived in a foreign country. The only tax we all pay here is VAT on purchases, no getting around that.


Cheers, Steve.


     The only tax we all pay here is VAT on purchases, no getting around that.

Cheers, Steve.
   

    -@bigpearl



            When I purchase in a restaurant being granted senior citizen status, it becomes a tax exempt transaction.  The VAT included in the original price is subtracted from the initial price, then 20% of the remaining balance is subtracted, leaving the amount paid being less than 72 % of the original price.   

Not tried/availed that scenario mugteck, perhaps I don't look old enough yet but more than happy to be shoved to the front of the banking queue with us oldies in front of the youngens.

I wonder how that would work buying a car, television or refrigerator, then might be worth looking into.


Cheers, Steve.


    Not tried/availed that scenario mugteck, perhaps I don't look old enough yet 

    -@bigpearl


Not about how old you look, my Pennsylvania driver's license is all I need to show I am more than 60 years old.

@mugteck


Does that get you a discount on major purchases? Have you tried that situation Buying a 2M peso car and getting the VAT removed? Simply because you are over 60?

I thought and I could be wrong that seniors discounts were for Filipino nationals only and for necessities, not luxury items. As said I'm open to suggestions but for us we simply pay the bill and tax imposed and leave the discounts to those that need.


OMO.


Cheers, Steve.

@mugteck So you get a 20% discount at that restaurant just because you are a senior? Fantastic. Usually that perk is available only to Philippine citizens who can receive that discount by law. It is good to know that, where you live, establishments are giving that discount to American citizens as well. Not here in Dumaguete lol where recently some restaurants have discreetly added 6% service charges to their bills, I suppose because most people do not tip well if at all. So that puts you 26% of Dumaguete.


    @mugteck

I thought and I could be wrong that seniors discounts were for Filipino nationals only and for necessities, not luxury items. As said I'm open to suggestions but for us we simply pay the bill and tax imposed and leave the discounts to those that need.

Cheers, Steve.

You are not wrong. At least not in Siquijor or Negros Oriental where the governments 20% discount is available to Filipino senior citizens only. Here, if you somehow got a discount card from the barangay because they may not know the law or choose to ignore it, improper use of the discount by foreigners is deportable. I think he ran across a restaurant that voluntarily gives discounts to foreigners, maybe Alice's Restaurant 😂 (exceptin' Alice).
   

    -

        Got the senior discount at all the foodcourt restaurants in the mall, also at all fastfood restaurants all over Baguio, the Jollibee in Vigan.  Never said I was a citizen of the Philippines.  Some do not give me the discount, but if a similar restaurant gives the discount, then that is where we go.  Of course my wife, a dual citizen with the discount card, gets it everywhere.  I was refused the discount at Gilligan's Island in Baguio, won't be going back there.


            Got the senior discount at all the foodcourt restaurants in the mall, also at all fastfood restaurants all over Baguio, the Jollibee in Vigan.  Never said I was a citizen of the Philippines.  Some do not give me the discount, but if a similar restaurant gives the discount, then that is where we go.  Of course my wife, a dual citizen with the discount card, gets it everywhere.  I was refused the discount at Gilligan's Island in Baguio, won't be going back there.

Interesting

I have never been so lucky even though I look old! What proof of age do you show?
   

    -@mugteck


        @mugteckI thought and I could be wrong that seniors discounts were for Filipino nationals only and for necessities, not luxury items. As said I'm open to suggestions but for us we simply pay the bill and tax imposed and leave the discounts to those that need.Cheers, Steve.

You are not wrong. At least not in Siquijor or Negros Oriental where the governments 20% discount is available to Filipino senior citizens only. Here, if you somehow got a discount card from the barangay because they may not know the law or choose to ignore it, improper use of the discount by foreigners is deportable. I think he ran across a restaurant that voluntarily gives discounts to foreigners, maybe Alice's Restaurant 😂 (exceptin' Alice).        -
   

    -@danfinn


I had to pay 50 bucks and pick up the garbage, never got the 8 x 10 color glossy photos back either.


Cheers, Steve.


            Got the senior discount at all the foodcourt restaurants in the mall, also at all fastfood restaurants all over Baguio, the Jollibee in Vigan.  Never said I was a citizen of the Philippines.  Some do not give me the discount, but if a similar restaurant gives the discount, then that is where we go.  Of course my wife, a dual citizen with the discount card, gets it everywhere.  I was refused the discount at Gilligan's Island in Baguio, won't be going back there.
   

    -@mugteck

Nobody ever said you were not a citizen; it is obvious from your profile that you are American (& also not dual).  As I said, you are very fortunate where you live to get that substantial discount at so many restaurants where the discount is voluntary on the owner's part, not government mandated. I don't think we would choose not to patronize restaurants without a voluntary discount, as you chose with Gilligans,  in Dumaguete, as we would be left without an eating-out option.

We go to many restaurants and tip if the food and service is good, if crappy we don't tip nor go back, not because I never got nor asked for a seniors discount, another one bites the dust with crap food. We have had this conversation in previous posts and my logic is simple, give the senior discounts to those that deserve/appreciate. Us apparent wealthy westerners have not earned nor deserve the privilege of the citizens of the Philippines that have worked hard and appreciate the discounts if applicable. Penny pinching rings a bell. Some well deserve.

Don't worry we haggle on big ticket items and quotes to save 5 or 50K and that is simply business the same in all countries if you are astute.


I wonder the seniors discount at Burger King or Jollie Bee? The local or night markets?

I care little to save 100 or 2K a month, reminds me of my old accountant that scrutinized all things great and small. a miser and then some.


OMO.


Cheers, Steve.

I've never been offered a senior discount (meals) in the Philippines, but our workaround is to use my wife's senior card for the discount.


The only discount I've ever received was in the states. I thought the cashier gave me too much change and I mentioned it to her. She said she gave me a senior discount.


I was offended, I thought myself as middle age, not some old senior fart.


When we are dining out, it also includes my sons, their girlfriends and our housekeeper. We present my wife's senior card and the bill is discounted for everyone's meal.


  I was refused the discount at Gilligan's Island in Baguio, won't be going back there.
   

    -@mugteck


That's because you didn't wink at the waitress Mugteck ;)

@livinginsea only you will extend visa and pay fee.

10k us dollar you can carry in your pocket  if traveling 

after six months if you return back you will  pay airport tax2100 or 2900 pesos

.if you do business in philippine  you will pay tax

@muhammad iftikhar Thanks for the information. Much appreciated.



Interesting
I have never been so lucky even though I look old! What proof of age do you show?         -@mugteck
   

    -@C D87


My Pennsylvania driver's license.

@Enzyte Bob i have senior citizen  card. discount  in meal.. medicine ... travel   jeepny...tricycle ... bus... local air travel....grocery buy in mall.... cinema.ect. 20% ..500 pesos  senior pension if age is 65 or above...100 k pesos award if age is 80

Well perhaps my ignorance but muhammad's post led to a quick search and looks like the laws for senior foreigners was changed in 2018.


https://ofwmoney.org/senior-citizen/


Food for thought pardon the pun.


Cheers, Steve.


    Well perhaps my ignorance but muhammad's post led to a quick search and looks like the laws for senior foreigners was changed in 2018.
https://ofwmoney.org/senior-citizen/

Food for thought pardon the pun.

Cheers, Steve.
   

    -@bigpearl

            The foreigner must show that he is a resident of the Philippines to get a senior card.  I am just bb status, but I also get it on Partas buses with my driver's license.

Interesting mugteck as a Pennsylvania drivers license does not show you are a retired foreigner in the Philippines, little different to my Aussie drivers license even though I have lived here for 5 years but the link I posted shows the way forward to legally gain a seniors card for foreigners spending their bucks here, the reasons why, personally I won't bother as we don't venture out often and reading the government brief and requirements to save a few pesos for me not worth the effort. 


OMO.


Cheers, Steve