US Expat Taxes In Philippines
Tax Guide for American Expats in Philippines
Understanding taxation is essential for American expats in Philippines. The U.S. taxes worldwide income, while the Philippines taxes based on residency. Learn about tax obligations, deductions, and compliance for both countries to avoid penalties.
Featured In
15th June
Expat Tax Deadline
For U.S. expats, the automatic tax filing extension deadline is June 16th in 2025. If more time is needed, filing Form 4868 before this date extends the deadline to October 15th. The FBAR must also be submitted by October 15th. Certain special cases may qualify for an additional extension until December 15th.
Understanding Taxes in the Philippines for U.S. Expats
American expats in Philippines are subject to Philippine taxation based on residency. Non-residents pay a flat tax on local income, while residents face progressive tax rates. U.S. expats must still file U.S. tax returns and report foreign income.
Tax Requirements
Tax Residency in the Philippines
Staying 180+ days in a year qualifies you as a tax resident, taxed on Philippine-sourced income.
Non-Resident Citizen Tax in the Philippines
U.S. expats staying less than 180 days pay a 25% flat tax on income earned in the Philippines.
Income Tax Rates for Residents
Progressive tax rates range from 0% to 35%, depending on income level.
Foreign-Sourced Income
The Philippines does not tax foreign income for non-resident citizens.
U.S. Federal Tax Return (Form 1040)
A US citizen living in the Philippines must file U.S. taxes and report worldwide income.
Foreign Earned Income Exclusion (FEIE)
Qualifying expats may exclude up to $120,000 in foreign-earned income from U.S. taxes.
Foreign Tax Credit (FTC)
U.S. expats can offset Philippine taxes paid to reduce U.S. tax liability.
Tax Treaty Between U.S. & Philippines
No formal tax treaty prevents double taxation, but tax credits help mitigate it.
What Happens If You Don't Pay Taxes in the Philippines?
Failure to file taxes may result in penalties, fines, and legal consequences.
Tax Facts for U.S. Expats in the Philippines
Expat Taxes Have Never Been Easier:
Tax laws for American expats in Philippines differ based on residency.
Tax Residency Rules
Staying 180+ days makes you a resident, taxed on local income.
Foreign Income Exclusion
Non-residents do not pay taxes in the Philippines on foreign income.
U.S. Tax Filing Obligation
US citizens living in the Philippines must still file U.S. tax returns.
Start your Expat Tax Return Journey Now
Easy to File Taxes
Expat Taxes Have Never Been Easier
Filing U.S. taxes as an expat doesn’t have to be stressful. Our streamlined process makes it quick, secure, and hassle-free, ensuring you meet all IRS requirements
Gather Your Documents
Collect income statements, foreign tax records, and bank account details to prepare for your expat tax return.
Submit Your Information
Securely upload your documents through our encrypted portal, and our expat tax specialists will review everything for accuracy.
We Handle the Rest
Our team prepares your return, ensures compliance, and files it on your behalf—giving you peace of mind.
Why Choose Us?
Expert Tax Solutions for U.S. Expats Living Around the World
Expat-Focused Tax Expertise
We specialize in U.S. expat taxes, ensuring compliance with IRS regulations and tax treaties. Our team navigates complex reporting requirements, foreign tax credits, and exclusions to minimize your tax burden.
Secure & Hassle-Free Filing
Our online portal provides encrypted, easy document submission, so you can file from anywhere. We handle everything from FBAR reports to state taxes, ensuring a smooth process.
Personalized Support & Compliance Assurance
Each client gets a dedicated tax professional to answer questions, optimize deductions, and keep them compliant. We provide tailored strategies to avoid penalties and maximize savings.
Testimonials
What Our Clients Have to Say
We Have All Your Queries Covered
Have questions about your U.S. expat state taxes? We’re here to help. Below are answers to some common queries we encounter from expats around the world.
Do U.S. expats in the Philippines pay taxes in both countries?
Yes, American expats in Philippines must file U.S. tax returns. Philippine taxation applies only to local income for non-residents.
What happens if you don't pay taxes in the Philippines?
Failure to pay can lead to fines, penalties, and potential legal action under Philippine tax law for any American living in the Philippines.
Do non-residents pay income tax in the Philippines?
Yes, non-residents pay a 25% flat tax on Philippine-sourced income.
Does the Philippines tax U.S. Social Security benefits?
No, the Philippines does not tax U.S. Social Security income, but it may be taxable in the U.S.
Can expats use the Foreign Earned Income Exclusion (FEIE)?
Yes, US citizens living in the Philippines can exclude up to $120,000 of foreign-earned income from U.S. taxes.
Is there a tax treaty between the U.S. and the Philippines?
No, but foreign tax credits help offset double taxation for expats.
Still have questions? Contact us today to get expert guidance on all your U.S. expat state taxes.
