Philippine Income Tax Tables and Examples
BIR Withholding Tax (TRAIN Law) — reference tables, assumptions and calculation examples.
Applicable period and how to use this reference
The monthly withholding schedule comes from BIR RR 11-2018, Annex E, effective January 1, 2023 onwards. The annual graduated schedule is reproduced in BIR’s return, Table 2. A calendar-year label alone is not a different tax schedule.
For the selected bracket, add its fixed base tax to the rate multiplied by income above the stated excess threshold. Do not multiply the rate by your entire income. At ₱50,000 monthly taxable compensation, the example is ₱1,875 + 20% × (₱50,000 − ₱33,333) = ₱5,208.40.
Monthly payroll withholding is not a final annual liability calculation. Annualization, exemptions and other income can change the result. The net pay calculator estimates ordinary employee deductions; it is not a business-tax or annual-return tool.
Income Tax Brackets from 2023 (TRAIN Law)
Monthly Tax Table
| Monthly Taxable Income | Tax Rate | Base Tax | Apply rate to excess over |
|---|---|---|---|
| ₱0 - ₱20,833 | Exempt | - | Not applicable |
| ₱20,834 - ₱33,333 | 15.0% | - | ₱20,833.00 |
| ₱33,334 - ₱66,667 | 20.0% | ₱1,875.00 | ₱33,333.00 |
| ₱66,668 - ₱166,667 | 25.0% | ₱8,541.80 | ₱66,667.00 |
| ₱166,668 - ₱666,667 | 30.0% | ₱33,541.80 | ₱166,667.00 |
| Over ₱666,668 | 35.0% | ₱183,541.80 | ₱666,667.00 |
Annual Tax Table
| Annual Taxable Income | Tax Rate | Base Tax | Apply rate to excess over |
|---|---|---|---|
| ₱0 - ₱250,000 | Exempt | - | Not applicable |
| ₱250,001 - ₱400,000 | 15.0% | - | ₱250,000.00 |
| ₱400,001 - ₱800,000 | 20.0% | ₱22,500.00 | ₱400,000.00 |
| ₱800,001 - ₱2,000,000 | 25.0% | ₱102,500.00 | ₱800,000.00 |
| ₱2,000,001 - ₱8,000,000 | 30.0% | ₱402,500.00 | ₱2,000,000.00 |
| Over ₱8,000,001 | 35.0% | ₱2,202,500.00 | ₱8,000,000.00 |