Reference data · updated November 2026

Expanded Withholding Tax Rates Philippines 2026: Full Table

44 income payments and their expanded (creditable) withholding tax rates, with the conditions and the regulation for each. Search, sort or download the table.

By , Chartered Accountant · Last updated

Rules checked as of November 2026: RR 2-98 Sec. 2.57.2 as amended by RR 11-2018, RR 31-2020, RR 5-2025, RR 24-2025, RR 5-2026; NIRC Secs. 57, 58 as amended by RA 11976

Quick answer

Expanded withholding tax is the creditable tax a business or government payor deducts from income payments to suppliers, professionals and landlords under RR 2-98 Sec. 2.57.2. Common rates: professional fees 5% for individuals with a sworn declaration of gross receipts up to ₱3,000,000 (otherwise 10%), rent of real property 5%, contractors 2%, and 1% on goods or 2% on services bought by top withholding agents. It is computed on the amount net of VAT.

What you need to know

  • Professional and talent fees, commissions and consultants: 5% or 10% for individuals, 10% or 15% for corporations, depending on gross income and the sworn declaration.
  • Rent of real property used in business: 5%; contractors: 2%; top withholding agents: 1% on goods, 2% on services.
  • From 2025, credit card and e-marketplace remittances are withheld at 0.5% of the gross amount (RR 5-2025).
  • Micro taxpayers must withhold like everyone else: the Ease of Paying Taxes Act provision that would have exempted them was vetoed in January 2024.
  • The tax is reported to the payee on Form 2307 within 20 days after each quarter.

Expanded withholding tax rates, all income payments

44 of 44 rows

Professional fees: individually practising professionals requiring government licensure (lawyers, CPAs, doctors of medicine, architects, engineers, marine surveyors, veterinarians, dentists, professional appraisers, connoisseurs of tobacco, actuaries, interior decorators, designers, licensed real estate service practitioners, and all PRC/Supreme Court-regulated professions)5%10%Individual payee: 5% if gross income for the current year does not exceed ₱3,000,000 and the payee has submitted the sworn declaration (Annex B-1/B-2) with COR. Non-individual payee: 10% if gross income does not exceed ₱720,000 and sworn declaration (Annex B-3) submittedWI010 / WC010RR 2-98 Sec. 2.57.2(A)(1) as amended by RR 11-2018 Sec. 2
Professional fees: same professionals, higher bracket10%15%Individual: gross income exceeds ₱3,000,000, OR no sworn declaration submitted. Non-individual: gross income exceeds ₱720,000, OR no sworn declaration submitted. The official Form 2307 ATC schedule describes WI011 as 'more than ₱3M or VAT Registered regardless of amount'; RR 11-2018's text sets only the ₱3M test, so a VAT-registered payee should confirm the rate with the payor or RDOWI011 / WC011RR 2-98 Sec. 2.57.2(A)(1) as amended by RR 11-2018 Sec. 2; Sec. 2.57.3 as amended by RR 11-2018 Sec. 3
Professional fees of medical practitioners (doctors, veterinarians, dentists, medical technologists, allied health workers, nurses and other practitioners not employed by the payor) paid through hospitals or clinics, or paid directly by HMOs and similar establishments5% / 10%10% / 15%Same ₱3M (individual) / ₱720,000 (non-individual) brackets. Hospitals and clinics must collect PF in the patient's bill. No withholding if a joint sworn declaration (Annex A) shows no PF was charged. Quarterly list of practitioners due every 15th day after quarter endWI151, WI150 / WC151, WC150RR 2-98 Sec. 2.57.2(A)(1)(a)-(e) as amended by RR 11-2018 Sec. 2
Professional entertainers (actors, actresses, singers, lyricists, composers, emcees), incl. payments for use of name or picture and public appearances for advertising5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration ruleWI020, WI021 / WC020, WC021RR 2-98 Sec. 2.57.2(A)(2) as amended by RR 11-2018
Professional athletes (incl. basketball players, pelotaris, jockeys)5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration ruleWI030, WI031 / WC030, WC031RR 2-98 Sec. 2.57.2(A)(3) as amended by RR 11-2018
Directors and producers involved in movies, stage, radio, television and musical productions5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration ruleWI040, WI041 / WC040, WC041RR 2-98 Sec. 2.57.2(A)(4) as amended by RR 11-2018
Insurance agents and insurance adjusters5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration ruleWI070, WI071 / WC070, WC071RR 2-98 Sec. 2.57.2(A)(5) as amended by RR 11-2018
Management and technical consultants5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration ruleWI050, WI051 / WC050, WC051RR 2-98 Sec. 2.57.2(A)(6) as amended by RR 11-2018
Bookkeeping agents and agencies5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration ruleWI060, WI061 / WC060, WC061RR 2-98 Sec. 2.57.2(A)(7) as amended by RR 11-2018
Other recipients of talent fees5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration ruleWI080, WI081 / WC080, WC081RR 2-98 Sec. 2.57.2(A)(8) as amended by RR 11-2018
Fees of directors who are not employees of the paying company (duties confined to attending and participating in board meetings)5% / 10%n/aSame ₱3M bracket and sworn-declaration rule. If the director is an employee of the lone payor, the fee is supplemental compensation subject to withholding on compensationWI090, WI091RR 2-98 Sec. 2.57.2(A)(9) as amended by RR 11-2018
Gross commissions of customs, insurance, stock, immigration and commercial brokers; fees of agents of professional entertainers; real estate service practitioners NOT licensed/registered with the PRC Real Estate Service5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration ruleWI139, WI140 / WC139, WC140RR 2-98 Sec. 2.57.2(A)(10) as amended by RR 11-2018
Commissions, rebates, discounts and similar considerations to independent and/or exclusive sales representatives and marketing agents and sub-agents of companies, incl. multi-level marketing (no transfer of title to the agent)5% / 10%10% / 15%Same ₱3M / ₱720,000 brackets and sworn-declaration rule. Payments to sub-agents are treated like payments to the agentWI515, WI516 / WC515, WC516RR 2-98 Sec. 2.57.2(A)(11) as amended by RR 11-2018
Rentals: real property used in business (payor has no title or equity)5%5%On gross rentalWI100 / WC100RR 2-98 Sec. 2.57.2(B)(1) as amended by RR 11-2018
Rentals: personal property used in business (excluding financial leases with leasing/finance companies under RA 8556)5%5%Gross rental exceeding ₱10,000 annually. If cumulative rent to the same lessor exceeds or is expected to exceed ₱10,000 in the year, withhold 5% on the entire amountWI100 / WC100RR 2-98 Sec. 2.57.2(B)(2) as amended by RR 11-2018
Rentals: poles, satellites, transponders and transmission facilities (switchboards, land lines/aerial cables, underground and submarine cables)5%5%On gross rental or leaseWI100 / WC100RR 2-98 Sec. 2.57.2(B)(3) as amended by RR 11-2018
Rentals: billboards and similar advertising structures in public places5%5%On gross rental or lease of the spaceWI100 / WC100RR 2-98 Sec. 2.57.2(B)(4) as amended by RR 11-2018
Cinematographic film rentals and other payments to resident film owners, lessors or distributors5%5%On gross payments to resident individual and corporate film owners/lessors/distributorsWI110 / WC110RR 2-98 Sec. 2.57.2(B)(5) as amended by RR 11-2018
Income payments to contractors: general engineering, general building, specialty contractors and other contractors (filling/demolition/salvage, dockyards, water/gas/electric installation, stevedoring/warehousing/forwarding, common carriers of goods, printers and publishers, messengerial/janitorial/security/collection agencies and other business agencies, advertising agencies (exclusive of payments to media), independent TV/radio/stage and jingle producers, labor recruiting agencies and labor-only contractors, installation and maintenance of elevators/aircon/computers/machinery, computer services and software developers, ISPs and web designers, landscaping, garbage collection, TV/radio airtime and blocktimers)2%2%On gross payments. Transport contractors: only where gross payments to the same payee are at least ₱2,000 per monthWI120 / WC120RR 2-98 Sec. 2.57.2(C) as amended by RR 11-2018
Income distributed to beneficiaries of estates and trusts (Sec. 60 NIRC), except income subject to final tax and tax-exempt income15%15%On income distributedWI130RR 2-98 Sec. 2.57.2(D) as amended by RR 11-2018
Income payments by a general professional partnership to its partners (drawings, advances, sharings, allowances, stipends)10% / 15%n/a15% if the partner's gross income for the current year exceeds ₱720,000; 10% otherwiseWI152, WI153RR 2-98 Sec. 2.57.2(E) as amended by RR 11-2018
Sale, exchange or transfer of real property classified as ORDINARY asset: seller exempt under Sec. 2.57.5ExemptExemptSeller/transferor exempt from CWT under Sec. 2.57.5 (e.g. HLURB/HUDCC-certified socialized housing within the price ceiling)—RR 2-98 Sec. 2.57.2(F) item A as amended by RR 11-2018; Sec. 2.57.5(B)(1)
Sale of ordinary-asset real property: seller HABITUALLY engaged in real estate business, selling price ₱500,000 or less1.5%1.5%Base: gross selling price/consideration or FMV under Sec. 6(E) NIRC, whichever is higher. Habitually engaged = HLURB/HUDCC registration or other proof, e.g. at least 6 taxable real estate sales in the preceding year. Banks are never treated as habitually engagedWI555 / WC555RR 2-98 Sec. 2.57.2(F) item B as amended by RR 11-2018
Sale of ordinary-asset real property: seller habitually engaged, selling price over ₱500,000 up to ₱2,000,0003%3%Same base and habitual-dealer ruleWI556 / WC556RR 2-98 Sec. 2.57.2(F) item B as amended by RR 11-2018
Sale of ordinary-asset real property: seller habitually engaged, selling price over ₱2,000,0005%5%Same base and habitual-dealer ruleWI557 / WC557RR 2-98 Sec. 2.57.2(F) item B as amended by RR 11-2018
Sale of ordinary-asset real property: seller NOT habitually engaged in real estate business6%6%Same base. Remitted by the 10th day of the month following the transaction using BIR Form 1606WI558 / WC558RR 2-98 Sec. 2.57.2(F) item C and Sec. 2.58(A) as amended by RR 11-2018
Additional payments to government personnel from importers, shipping and airline companies or their agents for overtime services authorized by law15%n/aOn gross additional payments. The importers, shipping and airline companies or their agents are the withholding agentsWI159RR 2-98 Sec. 2.57.2(G) as amended by RR 11-2018
Payments by credit card companies to business entities (natural or juridical) for sales of goods/services to cardholders0.5% of GROSS amount0.5% of GROSS amountFrom RR 5-2025 effectivity (published on the BIR website 27 Feb 2025; effective 14 Mar 2025, computed): one-half percent on the gross amount. Before that, under RR 11-2018: 1% on one-half of the gross amountWI156 / WC156RR 2-98 Sec. 2.57.2(H) as amended by RR 11-2018 and RR 5-2025 Sec. 2 (25 Feb 2025)
Income payments by TOP WITHHOLDING AGENTS to local/resident suppliers of GOODS (incl. NRAs engaged in business), other than those covered by other rates1%1%Regular suppliers (at least 6 transactions in the previous or current year), or any single purchase of ₱10,000 or more. Goods = tangible personal property, excluding agricultural products. TWA = taxpayers whose prior-year gross sales/receipts or gross purchases are at least ₱12,000,000 (RDO Groups A and B) or ₱5,000,000 (Groups C, D, E), published by BIR. Obligation starts on the 1st day of the month after publicationWI158 / WC158RR 2-98 Sec. 2.57.2(I) as amended by RR 11-2018, RR 7-2019, RR 31-2020 and RR 24-2025
Income payments by TOP WITHHOLDING AGENTS to local/resident suppliers of SERVICES, other than those covered by other rates2%2%Same regular-supplier / ₱10,000 single-purchase and TWA rulesWI160 / WC160RR 2-98 Sec. 2.57.2(I) as amended by RR 11-2018, RR 7-2019, RR 31-2020 and RR 24-2025
Income payments by TOP WITHHOLDING AGENTS to MANUFACTURERS and DIRECT IMPORTERS of goods intended for wholesale: (a) motor vehicles in CBU or SKD units, motor vehicle parts and accessories; (b) medicine/pharmaceutical products; (c) solid or liquid fuels and related products0.5%0.5%Applies instead of the 1% goods rate. Effective 10 Oct 2025, 15 days after publication on the BIR website on 25 Sep 2025 (RMC 79-2026). The supplier may be a manufacturer OR a direct importer; the 1/2% applies when the seller's regular business is predominantly wholesale, whatever the buyer's purpose; motorcycles and CKD parts are covered (RMC 79-2026)WI840, WI850, WI860 / WC840, WC850, WC860RR 2-98 Sec. 2.57.2(I) proviso as amended by RR 24-2025 Sec. 2
Income payments by government offices (national or local, incl. barangays), attached agencies and GOCCs to local/resident suppliers of GOODS, other than those covered by other rates1%1%Except any single purchase of ₱10,000 and below. A GOCC withholds as a government entity, not as a TWAWI640 / WC640RR 2-98 Sec. 2.57.2(J) as amended by RR 11-2018
Income payments by government offices, attached agencies and GOCCs to local/resident suppliers of SERVICES, other than those covered by other rates2%2%Except any single purchase of ₱10,000 and belowWI157 / WC157RR 2-98 Sec. 2.57.2(J) as amended by RR 11-2018
Tolling fees paid to refineries (conversion of molasses to by-products; raw sugar to refined sugar)5%5%On gross processing/tolling feesWI540 / WC540RR 2-98 Sec. 2.57.2(K) as amended by RR 11-2018
Payments by pre-need companies to funeral parlors for funeral services1%1%On gross paymentsWI535 / WC535RR 2-98 Sec. 2.57.2(L) as amended by RR 11-2018
Payments to embalmers by funeral companies for embalming services1%1%On gross paymentsWI530RR 2-98 Sec. 2.57.2(M) as amended by RR 11-2018
Income payments to suppliers of agricultural products (agricultural, forest and marine food and non-food products, livestock, poultry, breeding stock; incl. simply processed/preserved products, polished/husked rice, corn grits, raw cane sugar, ordinary salt)1%1%Only on payments in excess of the cumulative amount of ₱300,000 within the same taxable yearWI610 / WC610RR 2-98 Sec. 2.57.2(N) as amended by RR 11-2018
Purchases of minerals, mineral products and quarry resources (Sec. 151 NIRC: silver, gold, marble, granite, gravel, sand, boulders, etc.)5%5%On income payments. If the buyer is the BSP: 1% of gross paymentsWI630, WI632 (BSP) / WC630, WC632 (BSP)RR 2-98 Sec. 2.57.2(O) as amended by RR 11-2018
Income payments by political parties and candidates for purchases of goods and services related to campaign expenditures, and purchases by individuals/juridical persons of goods and services given as campaign contributions5%5%On income paymentsWI680 / WC680RR 2-98 Sec. 2.57.2(R) as amended by RR 11-2018
Interest income from any other debt instruments not within the coverage of 'deposit substitutes' and RR 14-201220%20%Unless otherwise provided by law or regulationsWI710 / WC710RR 2-98 Sec. 2.57.2(S) as amended by RR 11-2018
Income payments to a Real Estate Investment Trust (REIT) registered with LTS as REIT under RA 9856n/a1%Corporate REIT payee onlyWC690RR 2-98 Sec. 2.57.2(T) as amended by RR 11-2018
Remittances by electronic marketplace operators and digital financial services providers to sellers/merchants for goods or services sold/paid through their platform0.5% of GROSS remittances0.5% of GROSS remittancesFrom RR 5-2025 effectivity (14 Mar 2025, computed): one-half percent on gross remittances. Before: 1% on one-half of gross remittances (RR 16-2023). No withholding if the seller's gross remittances for the past year, or so far in the current year, have not exceeded ₱500,000, or if the seller proves an exemption or lower rate (RR 16-2023 provisos, left unchanged by RR 5-2025). Gross remittances exclude returns, discounts, separately billed shipping, VAT and platform feesWI820, WI830 / WC820, WC830RR 2-98 Sec. 2.57.2(X) as added by RR 16-2023 and amended by RR 5-2025 Sec. 2 (25 Feb 2025)
Remittances by the Independent Electricity Market Operator of the Philippines (IEMOP) to generation companies and other market participants for electricity sold through the Wholesale Electricity Spot Market (WESM)2%2%On gross remittances (total amount payable before any deductions). IEMOP is withholding agent only; files via eFPS with alphalist; issues 2307 by the 20th day after quarter end; submits certified list of electricity buyers (Annex A) to LT-DPQAD by last day of month after quarter. Effective 15 days after publication (RR dated 20 Jul 2026; signed by the Secretary of Finance 17 Sep 2026)—RR 2-98 Sec. 2.57.2(Y) as added by RR 5-2026 Sec. 2
Lone-payor exemption: individual payee earning ₱250,000 or less from a lone income payorExemptn/aPayee submits sworn declaration (Annex B-2) with COR by 15 Jan or before first payment. Payor files Annex C with the list of payees by 31 Jan or by the 15th of the month after a new payee submits. If cumulative receipts exceed ₱250,000, withhold on the excess—RR 2-98 Sec. 2.57.3 and 2.57.5(B)(6) as amended by RR 11-2018 Secs. 3-4

Sources: RR 2-98 Sec. 2.57.2 as amended by RR 11-2018, RR 31-2020, RR 5-2025, RR 24-2025 and RR 5-2026. ATC codes are from the ATC schedule printed on the official BIR Form 2307 (January 2018), updated by RMO 18-2025 (credit card ½%; e-marketplace WI820/WC820 and digital financial services WI830/WC830) and RMO 46-2025 (WI840 to WI860 for the RR 24-2025 ½% rate; which code goes with which product group was not confirmed). Two codes in one cell are the lower-rate and higher-rate codes. No ATC was found for the IEMOP rate. As of November 2026.

Expanded withholding tax calculator

Example loaded: a ₱50,000 professional fee to an individual who submitted a sworn declaration of gross receipts under ₱3,000,000.

Payee (who receives the income)
Payee's gross receipts over ₱3,000,000, or no sworn declaration?
₱

Tax to withhold

₱2,500.00

5% of ₱50,000.00 · Sec. 2.57.2(A)(1)

Net amount to pay the payee
₱47,500.00
Rate
5%
ATC
WI010
How it was computed
Income payment, net of VAT₱50,000.00
Expanded withholding tax5% (Sec. 2.57.2(A)(1) of RR 2-98 as amended)₱2,500.00
Amount paid to the payeeIncome payment − tax withheld (VAT, if any, is paid on top)₱47,500.00

The most common rates at a glance

Expanded withholding rates for common payments (individual payees)

Rate
ItemRate
Estates and trusts, distributions15%
Professional fees, higher bracket10%
Professional fees, with declaration ≤ ₱3M5%
Rent of real or personal property5%
Contractors; top-agent services2%
Top-agent goods; government goods1%
Credit card and e-marketplace remittances0.5%
Most business payments fall between 1% and 5%; professional fees carry the highest common rate, 10%, when the payee gives no sworn declaration.From the table above.

How to use the table

  1. 1

    Find the income payment

    Search by keyword: professional, rent, contractor, commission, goods, services.

  2. 2

    Pick the payee column

    Individual or corporation; the rate can differ.

  3. 3

    Check the conditions

    Professional fees depend on the payee's gross income and sworn declaration; some items have thresholds.

  4. 4

    Compute on the amount net of VAT

    Use the calculator above, or multiply the payment by the rate.

  5. 5

    Remit and certify

    Form 0619-E monthly, 1601-EQ quarterly, Form 2307 to the payee within 20 days after the quarter.

Professional fees: 5%, 10% or 15%?

  1. 1Is the payee an individual or a corporation?

    Partnerships and corporations follow the corporate column.

  2. Individual

    1. Sworn declaration given and gross receipts ≤ ₱3,000,000?

      Yes → 5%. No, or receipts exceed ₱3M → 10%.

    Corporation or partnership

    1. Sworn declaration given and gross income ≤ ₱720,000?

      Yes → 10%. No, or income exceeds ₱720,000 → 15%.

  3. 2Single payor under ₱250,000 a year?

    An individual with one payor and Annex B-2 on file may be exempt from withholding.

VAT-registered individuals: the ATC schedule on the official Form 2307 labels the 10% code 'more than ₱3M or VAT Registered regardless of amount', but RR 11-2018 itself sets only the ₱3M test. If you are VAT-registered with receipts under ₱3M, agree the rate with your client or ask your RDO.RR 11-2018 Sec. 2 (sworn declarations, Annexes B-1 to B-3); Form 2307 ATC schedule.

Sworn declarations and the lone-payor rule

The bracketed rates depend on paperwork the payee gives the payor at the start of each year. A declaration filed late does not undo withholding already made at the higher rate, so send it in January.

WhoDocumentDeadlineEffect
Individual payee with several payorsSworn declaration, Annex B-1, with a copy of the COR15 January, or before the first payment5% instead of 10% while gross receipts stay ≤ ₱3,000,000
Individual payee with one payorAnnex B-2SameNo withholding while the year's payments stay under ₱250,000; withholding on the excess
Corporate or partnership payeeNotarized Annex B-3 signed by the president or managing partnerSame10% instead of 15% while gross income stays ≤ ₱720,000
PayorAnnex C with the list of payees31 January, or 15 days after the month a new payee submitsSupports the lower rates applied

Source: RR 2-98 Sec. 2.57.2(A) as amended by RR 11-2018 Secs. 2–3.

Selling real property that is an ordinary asset

When the property sold is an ordinary asset, for example lots sold by a real estate business, the buyer withholds creditable tax instead of the seller paying the 6% capital gains tax that applies to capital assets. The rate depends on the price and on whether the seller is habitually engaged in real estate; the buyer remits it on Form 1606 by the 10th of the following month.

SellerSelling priceRate
Habitually engaged in real estate₱500,000 or less1.5%
Habitually engaged in real estateOver ₱500,000 to ₱2,000,0003%
Habitually engaged in real estateOver ₱2,000,0005%
Not habitually engagedAny6%
Exempt seller (e.g. certified socialized housing within the price ceiling)AnyExempt

Base: the higher of the gross selling price and the fair market value. Habitually engaged means registered as a real estate dealer or developer, or proof such as at least six taxable real estate sales in the year. Source: RR 2-98 Sec. 2.57.2(F) as amended by RR 11-2018. For capital asset sales see the title transfer cost calculator.

What changed in 2025–2026

ChangeBeforeNowIssuance
Credit card companies' payments to merchants1% on one-half of the gross amount0.5% of the gross amountRR 5-2025
E-marketplace and digital payment remittances to sellers1% on one-half of gross remittances (RR 16-2023)0.5% of gross remittances; still none for sellers whose remittances stay at ₱500,000 or lessRR 5-2025
Top withholding agents buying vehicles, parts, medicines or fuels for wholesale from manufacturers or importers1% on goods0.5%RR 24-2025 (from 10 October 2025)
IEMOP remittances for electricity sold through the spot market—2% of gross remittancesRR 5-2026
InvoicesNo withholding line requiredInvoices for sales subject to creditable withholding must show the tax as a separate item; Form 2307 is still issuedRR 6-2026; RMC 112-2026
When withholding arisesPaid, payable or accrued, whichever comes first (regulation)When the income has become payable (law)RA 11976 amending Sec. 58

Effectivity: RR 5-2025 was posted on the BIR website on 27 February 2025, so it applied from about 14 March 2025 (computed: 15 days after publication); RR 24-2025 took effect on 10 October 2025 (RMC 79-2026); RR 6-2026 took effect on 16 October 2026 (BIR FAQ annexed to RMC 112-2026, Q3); the effectivity of RR 5-2026 was not confirmed from a BIR issuance, so check with your RDO for transactions near that date. For invoices, RMC 112-2026 (12 October 2026) gives e-invoicing and CAS/CBA users until 31 December 2026, and point-of-sale and cash-register users until 31 March 2027, to add the withholding field. Sources: RR 5-2025, RR 24-2025, RR 5-2026, RR 6-2026, RA 11976.

Withholding agent deadlines

ObligationFormDeadline
Remit tax withheld, months 1 and 2 of the quarter0619-E10th of the following month, even if zero (eFPS: 11th–15th by group)
Quarterly return with list of payees1601-EQLast day of the month after the quarter
Certificate to each payee230720 days after the quarter
Annual information return and alphalist1604-E1 March
Ordinary-asset real property sale160610th of the following month

Source: RR 2-98 Sec. 2.58 as amended by RR 11-2018.

Frequently asked questions

+What is expanded withholding tax?

It is a creditable income tax that the payor deducts from certain income payments, such as professional fees, rent and payments to suppliers, and remits to the BIR on the payee's behalf. The payee credits it against their own income tax using the Form 2307 the payor issues.

+What is the expanded withholding tax on professional fees?

5% for individual professionals who give the payor a sworn declaration that their gross receipts will not exceed ₱3,000,000, and 10% otherwise. For corporate and partnership payees, 10% up to ₱720,000 of gross income with a declaration, and 15% otherwise.

+What is the expanded withholding tax on rent?

5% of the gross rent for real property used in business when the payor has no title or equity in it. Rent of personal property is also 5% when the annual rent to the same lessor exceeds ₱10,000. The tax is computed on the rent net of VAT.

+Who is required to withhold expanded withholding tax?

Payors such as corporations, businesses, top withholding agents and government offices on the income payments listed in RR 2-98 Sec. 2.57.2. Business size does not matter: the Ease of Paying Taxes Act provision that would have exempted micro taxpayers was vetoed when the law was signed in January 2024.

+Is expanded withholding tax computed on the VAT-inclusive amount?

No. It is computed on the income payment net of VAT. For a VAT-registered supplier billing ₱112,000 including VAT, the base is ₱100,000; at 2% the withholding is ₱2,000.

+When is expanded withholding tax due?

The tax for the first two months of each quarter is remitted on Form 0619-E by the 10th of the following month (eFPS filers 11th to 15th, by group); the quarter is closed on Form 1601-EQ by the last day of the month after the quarter. The payee's Form 2307 is due within 20 days after the quarter.

+What are the ATC codes for expanded withholding tax?

Per the schedule on the official Form 2307: WI010/WC010 (lower rate) and WI011/WC011 (higher rate) for professional fees, WI100/WC100 for rent, WI120/WC120 for contractors, WI158/WC158 and WI160/WC160 for top withholding agents' goods and services. RMO 18-2025 added WI820/WC820 for e-marketplace remittances. The table above lists the code for each payment.

+Do micro taxpayers have to withhold expanded withholding tax?

Yes. The Ease of Paying Taxes Act as passed by Congress would have exempted micro taxpayers (gross sales under ₱3,000,000), but the President vetoed that provision, Section 8, when signing the law on 5 January 2024, as the Department of Finance announced. Some printed copies of RA 11976 still show the vetoed text, so do not rely on them.

+What is a top withholding agent?

A taxpayer the BIR classifies as a top withholding agent under the thresholds in RR 31-2020 and lists in its published notices. Top withholding agents withhold 1% on regular purchases of goods and 2% on services from local suppliers, or 0.5% on certain wholesale purchases from manufacturers and importers under RR 24-2025.

+What changed in expanded withholding tax in 2025?

RR 5-2025 set 0.5% of the gross amount for credit card company payments and e-marketplace remittances, and RR 24-2025 cut the rate to 0.5% for top withholding agents buying vehicles, parts, medicines or fuels for wholesale from manufacturers or importers. RR 5-2026 added 2% on IEMOP remittances.

Sources and references

  • RR 11-2018 — amended RR 2-98 Sec. 2.57.2 rates, sworn declarations and Sec. 2.58 deadlines (checked November 12, 2026)
  • RR 5-2025 — 0.5% on credit card and e-marketplace remittances (checked November 12, 2026)
  • RR 24-2025 — 0.5% for top withholding agents on wholesale purchases from manufacturers and importers (checked November 12, 2026)
  • RR 5-2026 — 2% on IEMOP remittances (checked November 12, 2026)
  • RR 6-2026 — creditable withholding tax shown on invoices (checked November 12, 2026)
  • RA 11976 (Ease of Paying Taxes Act) — timing of withholding (Sec. 58(C)); the printed text still shows the vetoed micro-taxpayer exemption (checked November 12, 2026)
  • DOF announcement of RA 11976 — veto of Section 8, the micro-taxpayer withholding exemption (checked November 12, 2026)
  • BIR Form 2307 (January 2018 ENCS) — official ATC schedule on page 2 (checked November 12, 2026)
  • RMO 18-2025 and RMO 46-2025 — ATCs for the RR 5-2025 and RR 24-2025 rates (checked November 12, 2026)
  • RMC 79-2026 — RR 24-2025 effective 10 October 2025; scope of the ½% rate (checked November 12, 2026)

Cite this page

Deepak Middha. "Expanded Withholding Tax Rates Philippines 2026: Full Table." Sulat.ph, updated November 12, 2026. https://sulat.ph/tax/data/expanded-withholding-tax-rates

Free to quote with a link. The underlying rates are public BIR data; cite the issuance numbers shown in the table for legal work.

Related tools and guides

Form guideBIR Form 2307BIR Form 2307 explained: who issues it, the 20-day deadline, 5% or 10% on professional fees, claiming the credit, and a free quarterly worksheet.GuideEmployer Withholding TaxEmployer withholding tax in the Philippines: deadlines for 1601-C, 0619-E, 1601-EQ, 1601-FQ, 1604-C and 1604-E, worked examples and penalties.Form guideBIR Forms 2306 and 2304BIR Form 2306 and 2304 explained: final withholding tax rates after CMEPA, 20% tax on bank interest, 10% on dividends, deadlines and a box guide.GuideFreelancer TaxFreelancer tax in the Philippines: BIR registration with Form 1901, the 8% option vs graduated rates at 5 income levels, deadlines and Form 2307.CalculatorVAT CalculatorFree VAT calculator for the Philippines: add or remove 12% VAT, zero-rated and exempt sales, VAT payable, and VAT vs 3% percentage tax compared.Reference dataBIR Tax Calendar 2027All 2027 BIR deadlines in one searchable table: 1601-C, 2550Q, 2551Q, 1701Q, 1702Q, annual returns, 2316, alphalists, moved for weekends and holidays.

Author and editorial review

, Chartered Accountant

Chartered Accountant with 18 years in hedge funds; writes and maintains sulat.ph. Every rate, ceiling, deadline and fee on this page is taken from the National Internal Revenue Code or a BIR issuance and was checked against that source on November 12, 2026. Where a figure could not be confirmed officially, the page says so.

Spotted an error or an outdated rule? Send a correction.

Sulat.ph is not a law firm and does not provide legal advice. AI-generated drafts should be reviewed by a qualified Philippine lawyer before formal use.