What are the applicable cash or property dividend taxes in GStocks PH?
You may be charged a cash or property dividend tax in GStocks PH. See detailed information below for applicable cash or property dividend tax for local and resident foreign corporations:
| Criteria | Final Withholding Tax |
| Philippine Citizen or a Resident Foreigner | 10% on the gross amount of dividends received |
| Non-resident foreigners engaged in business or trade in the Philippines | 20% on the gross amount of dividends received |
| Non-resident foreigner not engaged in trade or business in the Philippines | 25% on the gross amount of dividends received |
Cases where residing foreign corporation cash or property dividend tax is applicable
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Tax Rates for Residents of Treaty Countries:
If you're from a country that has a tax treaty with the Philippines, the tax rate on dividends will follow the treaty, as long as you submit all required documents. -
Non-Resident Foreign Corporations/Individuals:
Dividends (cash or property) from a Philippine company are usually taxed at 25%. This can be lowered to 15% if your country allows you to claim the Philippine tax as a credit, and you submit all needed documents. -
Tax Treaty Rules:
If there's a tax treaty between the Philippines and your country, the treaty’s lower tax rates apply. Without a treaty, standard Philippine tax rates will be used. -
How to Apply for Tax Treaty Benefits:
To use the treaty’s benefits, you must submit a form (BIR Form No. 0901) at least 15 days before the transaction. Attach the required documents to explain why you qualify.
Note: These rules apply only to taxes on dividends.
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