What is one way for me to reduce the taxes to be paid for a purchase of real estate in the Philippines?
I"m purchasing a property in the Philippines and I just realized that there are tons of taxes to be paid. Would you have an idea how I can possibly reduce these taxes?
Public Comments
- The purchase of real properties is subject to, either final capital gains tax if the seller is individual and creditable withholding tax if the seller is corporation, at the rate of 6% based on selling price, zonal value or market value, whichever is higher. For corporation/individual habitually engaged in the realty business, at the rate of 1.5%, 3% & 5%based on selling price, zonal value or market value, whichever is higher . Capital/creditable withholding is payable by the seller. The buyer pays for the documentary stamp tax based on the selling price, zonal value or market value, whichever is higher.
