24 -A COMMONWEALTH ACT NO. 466:
Tax on domestic corporations
- A tax hereby imposed upon the taxable net income received during each
taxable year from all sources by every corporation organized in, or existing
under the laws of the Philippines, no matter how created or organized,
but not including duly registered general co-partnerships (Companas Colectivas),
general professional partnerships, private educational institutions, and
buildings and local associations in accordance with the following:
Twenty five percent upon the
amount by which the taxable net income does not exceed one hundred thousand
Thirty five percent upon the
amount by which the taxable net income exceeds one hundred thousand pesos.
Private educational institutions
other than those exempt under Section 27 (e) of this code shall pay a tax
of ten per cent of their taxable net income.
Building loan associations operating
in accordance with the General Bank Act shall pay a tax of twelve per cent
of their taxable net income.
24-B COMMONWEALTH ACT NO. 466:
Tax on foreign corporations
Non- resident corporations - A
foreign corporation not engaged in trade or business in the Philippines
including a foreign life insurance company not engaged in the life insurance
business in the Philippines shall pay a tax equal to 35 per cent of the
gross income received during each taxable year from all sources within
the Philippines, as interests, dividends, rents, royalties, salaries, wages,
premiums, annuities, compensations, remuneration for technical services
or otherwise emoluments or other fixed or determinable annual, periodical
or casual gains, profits, and income and capital gains; provided, however,
that premium shall not include reinsurance premiums.
Resident corporations - A corporation,
organized, authorized, or existing under the laws of any foreign country
except a foreign life insurance company, engaged in trade or business within
the Philippines, shall be taxable as provided in sub-section (a) of this
section upon the total net income received in the proceeding taxable year
from all sources within the Philippines.