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Old 04-03-2008, 08:03 PM
andyk2 andyk2 is offline
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Join Date: Nov 2006
Posts: 197
Default Sorry Liam, but the maths donīt add up

From Global Property Guide

Rental Income: Gross rental income of of foreigners is taxed at a flat rate of 25%. There is also a Value Added Tax (VAT) on rents above PHP10,000 (US$232) per month at 12% of gross rent.

Capital Gains: Nonresident foreigners not engaged in trade or business in the country are subject to income tax on the gains they realize when selling properties, which is 25% without any deductions.

Inheritance: Nonresident aliens pay estate (inheritance) tax only on property located in the Philippines, at rates from 5% to 20%.


So, okay if you are looking at a holiday home inBorocay, but a bit weak as an investment.

AK2
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