Do business in the Philippines. Without the mess.
Register a Domestic Corporation with the SEC, navigate BIR tax compliance, and unlock PEZA incentives, all managed through one platform. The Philippines is open for foreign investment. The paperwork is not simple.
Trusted by global businesses
Why Philippines
Southeast Asia's BPO and services powerhouse, with real foreign ownership pathways.
The Philippines offers a large, English-speaking, college-educated workforce, a 25% corporate income tax rate reduced under the CREATE Act, and one of Asia's most developed business process outsourcing ecosystems. For companies in tech, financial services, and professional services, the country offers meaningful cost advantages and a talent pool that competes globally.
PEZA (Philippine Economic Zone Authority) registered enterprises can access income tax holidays and preferential 5% gross income tax rates in lieu of national and local taxes, making the Philippines one of the few markets where your effective tax rate can be significantly lower than the headline rate. Navigating SEC registration, BIR enrollment, local government permits, and PEZA qualification requires coordination that most foreign teams underestimate. Commenda manages the full process.
Explore Philippines incorporation- 25%Corporate income tax rateThe standard rate under the CREATE Act, reduced from 30%. Domestic corporations with net taxable income below PHP 5 million and total assets below PHP 100 million qualify for a reduced 20% rate.
- 20%Rate for qualifying SMEsDomestic corporations meeting the CREATE Act thresholds on income and assets pay a reduced 20% corporate income tax, one of the most favorable SME rates in Southeast Asia.
- 12%VAT rateThe Philippines applies a standard 12% Value Added Tax. VAT-registered businesses must file monthly and quarterly returns with the Bureau of Internal Revenue.
- 6-8Weeks to incorporateSEC registration, BIR enrollment, and local government permitting typically take 6 to 8 weeks for a Domestic Corporation, longer for PEZA-registered entities.
Product Suite
One platform.
Every jurisdiction. No gaps.
Built for finance teams running international operations without a dedicated compliance function. This is the infrastructure you should have had from day one.
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Entity Management
Formation, maintenance, and oversight for subsidiaries across 70+ countries.
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Global Indirect Tax
VAT, GST, and sales tax obligations tracked, filed, and confirmed.
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Transfer Pricing
Intercompany policy, documentation, and filing - built to OECD standards.
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Tax & Accounting
Consolidated financial reporting and local corporate tax filings. One audit trail.
Entity types
Choose the right structure for your business
Recommended
Domestic Corporation
The standard structure for foreign companies operating in the Philippines. Incorporated with the Securities and Exchange Commission (SEC) under the Revised Corporation Code, a Domestic Corporation offers full legal personality, limited liability, and the widest access to Philippine markets and incentive programs including PEZA registration.
Benefits
- Limited liability: shareholders are protected from corporate debts beyond their paid-in capital
- 100% foreign ownership permitted in most service sectors including IT-BPO, professional services, and manufacturing with export orientation
- Eligible for PEZA registration, unlocking income tax holidays and preferential 5% gross income tax
- One Person Corporation (OPC) structure available, allowing a single shareholder to incorporate without minimum capital in most sectors
- Full access to the Philippine domestic market across permitted industries
- Credible structure for enterprise contracts, banking, and investor relationships
Key considerations
- Foreign equity restrictions apply in certain sectors: media, retail below threshold, land ownership, and public utilities require Filipino majority ownership
- SEC registration requires submission of articles of incorporation, bylaws, and treasurer's affidavit; process takes 6 to 8 weeks
- BIR registration, local government unit permits, and Social Security System enrollment required before commencing operations
- Must file annual audited financial statements with the SEC
- 12% VAT applies once taxable sales exceed the registration threshold
How it works
From kickoff to open for business in the Philippines
Incorporating in a new country means unfamiliar filings, local requirements, and moving parts across multiple vendors.
We handle all of it so you don't have to.
Day 1
Onboarding
Your details submitted once. Entity name checked, documents collected, filings kicked off. No back-and-forth.
Days 1–3
Entity confirmed
Incorporation done. Formation documents, company number, and registered address live in your Commenda dashboard.
Week 1–2
Tax setup
Tax registrations filed, banking guidance underway. Compliance calendar set for your jurisdiction.
Week 2
Open for business
You're operational in a new market. Without a single trip to a government office.
G2 Reviews
Rated by the teams using it
Scores from finance and legal leads handling compliance globally.
Entity Management
#1 Ranked9.6/ 10Set up your entity and keep it in good standing. Filings, records, and renewals tracked in one place.
Corporate Tax & Compliance
Top Rated9.1/ 10Every tax deadline on one calendar. Corporate returns and statutory filings handled without the back-and-forth.
Sales Tax & VAT/GST
Commenda Leads9.4/ 10Register for VAT, GST, and sales tax in every country you operate in, and manage it all in one place.
Philippines resources
Everything you need for your Philippines operations
Detailed guides on tax, compliance, and business structure in the Philippines.
- Incorporation
How to Incorporate in the Philippines
Domestic Corporation vs. Branch Office, SEC registration steps, capital requirements, and timelines.
Read guide - Tax Guide
Corporate Taxes in the Philippines
CREATE Act rates, SME thresholds, PEZA tax incentives, and BIR filing obligations.
Read guide - Compliance
Annual Compliance Calendar for the Philippines
Every SEC, BIR, and local government filing deadline your Philippines entity needs to meet.
Read guide - Incentives
PEZA Incentives in the Philippines
How PEZA registration works, income tax holidays, and the 5% gross income tax regime for qualifying export enterprises.
Read guide
FAQ
Common questions
Yes, in most sectors. The Philippines allows 100% foreign ownership in IT-BPO, manufacturing for export, professional services, and many other industries. Restrictions remain in sectors including media, land ownership, retail below certain capital thresholds, and public utilities. The Foreign Investment Negative List governs which sectors require Filipino equity participation.
PEZA (Philippine Economic Zone Authority) is a government agency that registers enterprises operating within designated economic zones. PEZA-registered companies can qualify for income tax holidays of 4 to 8 years, followed by a preferential 5% gross income tax in lieu of all national and local taxes. Companies in IT-BPO, manufacturing for export, and logistics are typical candidates. Qualification requires that substantially all revenue is export-oriented.
Plan for 6 to 8 weeks from SEC filing to being fully operational with BIR registration and local government permits. The SEC processes articles of incorporation and bylaws, which typically takes 2 to 4 weeks. BIR enrollment, barangay clearances, and local business permits add time. PEZA registration is a separate process and takes longer.
The standard corporate income tax rate is 25% under the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act, reduced from the previous 30%. Domestic corporations with net taxable income below PHP 5 million and total assets below PHP 100 million qualify for a reduced 20% rate. PEZA-registered enterprises operate under a separate incentive regime.
Under the Revised Corporation Code, there is no longer a requirement for a specific percentage of Filipino directors for most corporations. However, sector-specific rules apply where Filipino equity is required, which typically implies Filipino board representation. For fully foreign-owned entities in unrestricted sectors, all directors may be foreign nationals.
Join hundreds of international businesses growing fast with Commenda
Tell us where you're expanding and we'll scope the requirements, handle the filing, and keep your entity compliant, usually within 24 hours of kickoff.
