Online sellers earning below P250,000 yearly are tax exempt: Palace

Arianne Merez, ABS-CBN News

Posted at Jun 11 2020 01:44 PM | Updated as of Jun 11 2020 03:45 PM

MANILA-- Online businesses earning less than P250,000 per year are exempted from paying taxes, Malacañang said Thursday after the Bureau of Internal Revenue reminded online sellers to settle their dues.

"If your online business net income does not exceed P250,000 eh wala po talaga kayo ibabayad (you don't have to pay)," Presidential Spokesman Harry Roque said.

Roque made the remark after the BIR urged digital entrepreneurs to register their businesses. Lockdowns due to the pandemic shifted more Filipinos to e-commerce.

The BIR has given online sellers until July 31 to register to avoid penalties.

"All those who will register their business activity and/or update their registration status not later than July 31, 2020 shall not be imposed with penalty for late registration," said the BIR.