Philippines Introduces VAT on Foreign Digital Services, Effective June 2025, for Sales Over PHP 3 Million

• The Philippines will implement VAT on foreign digital services starting 1 June 2025.
• Foreign digital service providers must register if annual sales exceed PHP 3 million.
• No local tax representative is required for registration.
• A new simplified VAT registration portal has been launched.
• The initiative aligns with global digital tax practices.
• The high registration threshold and simplified process reduce compliance burdens.
• The move ensures fair competition between local and foreign suppliers.

Source: fiscal-requirements.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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