Discussion in 'Dumaguete City' started by osodelnorte, Sep 9, 2019.
and sounds exactly how you will get kicked out of the Philippines..
I contacted BIR because I transfer money into an account my brother-in-law's account (since I am not allowed a bank account at present) for the purpose of maintaining property my wife and I have. They said that since it was not for his use it was not considered a gift under BIR 1800. However, we need to keep a accurate record of transactions.
Hopefully, private pensions from abroad will not be classed as gifts in the future.
If you are an idiot definitely ...
I believe the key word is "gift". If deposited into someone else's account you should be prepared to show that it was for you and not them.
yes, of course! Who wouldn't. But the threshold is PHP 250,000, not $250,000. But I would pay the taxes on that, too, if someone wished to gift it to me.
What is the definition of "gift" under the tax laws? For instance, I assume that sending money for food, housing and medical needs to family is not considered a gift. Most money sent then is probably not a gift but I do not know the tax law definition of gift.
I was told by BIR that any money you send to any person is considered a gift no matter its purpose; except for money to be used for your own personal use such as them paying YOUR rent, utilities, etc, which should be well documented. So if you want to buy your gal friend a motorbike you will want to title it in your name.
as long as it is sent to your own bank account then it is exempt. if you send it to a Filipino's bank account then you need to document expenditures.. but remember.. only when it hits P250,000 ++ is it subject to taxation..