Under the Tax Code, the term 'person' means an individual, a trust, estate or corporation.
Resident Citizen (RC) is a citizen of the Philippines and who is residing within the Philippines.
Note: taxable on all income derived from sources within and without the Philippines
Nonresident Citizen (NRC) means:
(a) A citizen of the Philippines who establishes to the satisfaction of the Commissioner the fact of his physical presence abroad with a definite intention to reside therein.
(b) A citizen of the Philippines who leaves the Philippines during the taxable year to reside abroad, either as an immigrant or for employment on a permanent basis.
(c) A citizen of the Philippines who works and derives income from abroad and whose employment thereat requires him to be physically present abroad most of the time during the taxable year.
(d) A citizen who has been previously considered as nonresident citizen and who arrives in the Philippines at any time during the taxable year to reside permanently in the Philippines shall likewise be treated as a nonresident citizen for the taxable year in which he arrives in the Philippines with respect to his income derived from sources abroad until the date of his arrival in the Philippines.
(e) The taxpayer shall submit proof to the Commissioner to show his intention of leaving the Philippines to reside permanently abroad or to return to and reside in the Philippines as the case may be for purpose of this Section.
Note: taxable only on income derived from sources within the Philippines
Overseas Contract Worker (OCW) is an individual citizen of the Philippines who is working and deriving income from abroad is taxable only on income derived from sources within the Philippines: Provided, That a seaman who is a citizen of the Philippines and who receives compensation for services rendered abroad as a member of the complement of a vessel engaged exclusively in international trade shall be treated as an overseas contract worker.
Resident Alien (RA) means an individual whose residence is within the Philippines and who is not a citizen thereof.
Note: taxable only on income derived from sources within the Philippines
Nonresident Alien (NRA) means an individual whose residence is not within the Philippines and who is not a citizen thereof.
Note: taxable only on income derived from sources within the Philippines
Domestic Corporation (DC)means created or organized in the Philippines or under its laws.
Note: taxable on all income derived from sources within and without the Philippines
Resident Foreign Corporation (RFC) applies to a foreign corporation engaged in trade or business within the Philippines.
Note: taxable only on income derived from sources within the Philippines
Nonresident Foreign Corporation (NRFC) applies to a foreign corporation not engaged in trade or business within the Philippines.
Note: taxable only on income derived from sources within the Philippines
Corporation shall include partnerships, no matter how created or organized, joint-stock companies, joint accounts (cuentas en participacion), association, or insurance companies, but does not include general professional partnerships and a joint venture or consortium formed for the purpose of undertaking construction projects or engaging in petroleum, coal, geothermal and other energy operations pursuant to an operating consortium agreement under a service contract with the Government.
General Professional Partnerships (GPP) are partnerships formed by persons for the sole purpose of exercising their common profession, no part of the income of which is derived from engaging in any trade or business.
*see Section 22 and 23 of the Tax Code
Resident Citizen (RC) is a citizen of the Philippines and who is residing within the Philippines.
Note: taxable on all income derived from sources within and without the Philippines
Nonresident Citizen (NRC) means:
(a) A citizen of the Philippines who establishes to the satisfaction of the Commissioner the fact of his physical presence abroad with a definite intention to reside therein.
(b) A citizen of the Philippines who leaves the Philippines during the taxable year to reside abroad, either as an immigrant or for employment on a permanent basis.
(c) A citizen of the Philippines who works and derives income from abroad and whose employment thereat requires him to be physically present abroad most of the time during the taxable year.
(d) A citizen who has been previously considered as nonresident citizen and who arrives in the Philippines at any time during the taxable year to reside permanently in the Philippines shall likewise be treated as a nonresident citizen for the taxable year in which he arrives in the Philippines with respect to his income derived from sources abroad until the date of his arrival in the Philippines.
(e) The taxpayer shall submit proof to the Commissioner to show his intention of leaving the Philippines to reside permanently abroad or to return to and reside in the Philippines as the case may be for purpose of this Section.
Note: taxable only on income derived from sources within the Philippines
Overseas Contract Worker (OCW) is an individual citizen of the Philippines who is working and deriving income from abroad is taxable only on income derived from sources within the Philippines: Provided, That a seaman who is a citizen of the Philippines and who receives compensation for services rendered abroad as a member of the complement of a vessel engaged exclusively in international trade shall be treated as an overseas contract worker.
Resident Alien (RA) means an individual whose residence is within the Philippines and who is not a citizen thereof.
Note: taxable only on income derived from sources within the Philippines
Nonresident Alien (NRA) means an individual whose residence is not within the Philippines and who is not a citizen thereof.
Note: taxable only on income derived from sources within the Philippines
Domestic Corporation (DC)means created or organized in the Philippines or under its laws.
Note: taxable on all income derived from sources within and without the Philippines
Resident Foreign Corporation (RFC) applies to a foreign corporation engaged in trade or business within the Philippines.
Note: taxable only on income derived from sources within the Philippines
Nonresident Foreign Corporation (NRFC) applies to a foreign corporation not engaged in trade or business within the Philippines.
Note: taxable only on income derived from sources within the Philippines
Corporation shall include partnerships, no matter how created or organized, joint-stock companies, joint accounts (cuentas en participacion), association, or insurance companies, but does not include general professional partnerships and a joint venture or consortium formed for the purpose of undertaking construction projects or engaging in petroleum, coal, geothermal and other energy operations pursuant to an operating consortium agreement under a service contract with the Government.
General Professional Partnerships (GPP) are partnerships formed by persons for the sole purpose of exercising their common profession, no part of the income of which is derived from engaging in any trade or business.
*see Section 22 and 23 of the Tax Code