Import Tax Philippines: How Duty and VAT Stack
Bureau of Customs · shipping
Quick answer
Duty is charged on the dutiable value; VAT is then charged on the value plus the duty, so the two compound. The Bureau of Customs does not publish the de minimis threshold, duty rates or the VAT rate on the pages read for this guide, so none is stated here.
Last verified
Where these figures come from
About these figures: the numbers below come from Bureau of Customs's official published sources: Bureau of Customs | Balikbayan Box Guidelines and Frequently Asked Questions (https://customs.gov.ph/balikbayan-box-guidelines/, retrieved 2026-09-01); Bureau of Customs | Frequently Asked Questions (https://customs.gov.ph/faqs/, retrieved 2026-09-01). Agencies change fees and rates without notice, so confirm with Bureau of Customs before you rely on them. Last verified: 2026-09-01.
The arithmetic of an import charge is not two percentages added together, and that is where most estimates go wrong.
How the two charges stack
| Step | Base |
|---|---|
| Duty | The dutiable value |
| VAT | The dutiable value plus the duty |
Worked at illustrative rates of 10% duty and 12% VAT, neither published by the Bureau of Customs on the pages read for this guide:
| Amount | |
|---|---|
| Dutiable value | ₱100,000.00 |
| Duty at 10% | ₱10,000.00 |
| Base VAT is charged on | ₱110,000.00 |
| VAT at 12% | ₱13,200.00 |
| Total charges | ₱23,200.00 |
| Landed cost | ₱123,200.00 |
VAT on the bare value would be ₱12,000.00. The compounding costs ₱1,200.00 more, and the gap widens as the duty rate rises.
The customs duty calculator runs this on figures you enter.
What this page will not tell you
The Bureau of Customs does not publish the de minimis threshold, duty rates by tariff heading, or the VAT rate on importation on the pages read for this guide. No figure is substituted for them here.
| Figure | Status |
|---|---|
| De minimis threshold | Not published on the pages read |
| Duty rate | Varies by tariff heading; not published as a single rate |
| VAT rate on importation | Not published on the pages read |
| Brokerage, arrastre, wharfage, storage | Not published |
Where the Bureau does publish binding material is in its issuances: Customs Administrative Orders, Customs Memorandum Orders, Joint Memorandum Orders, and a Memoranda for Reference Values section.
The one exemption that is published
| Rule | |
|---|---|
| Who may be exempt | Qualified Filipinos While Abroad, OFWs and resident Filipino citizens temporarily staying abroad |
| Ceiling | ₱150,000.00 |
| Frequency | Not more than 3 times in one year |
| Condition | Not in commercial quantity, not beyond personal and normal use |
| Basis | RA 10863 (CMTA) Section 800 (g), CAO 1-2018, CMO 18-2018 |
The balikbayan box guide covers it, and
the duty free guide covers the retail side,
including the warning that the .com address for Duty Free Philippines is a
parked domain for sale at USD $1,999, not the agency.
What the threshold does when you cross it
Assuming an illustrative ₱10,000.00 threshold at 10% and 12%:
| Dutiable value | Assessed? | Total charges |
|---|---|---|
| ₱5,000.00 | No | ₱0.00 |
| ₱10,000.00 | No | ₱0.00 |
| ₱10,001.00 | Yes | ₱2,300.23 |
| ₱25,000.00 | Yes | ₱5,800.00 |
| ₱50,000.00 | Yes | ₱11,600.00 |
| ₱150,000.00 | Yes | ₱34,800.00 |
One peso over turns nothing into ₱2,300.23. The threshold is a cliff, not a taper, which is why using a stale figure for it is the most expensive mistake on this page.
Where imports meet the rest of the paperwork
| Item | Published fee | Guide |
|---|---|---|
| Balikbayan box, qualifying | Exempt, to ₱150,000.00 | Balikbayan box |
| Travel tax, economy | ₱1,620.00 | Full rate |
| Travel tax, OFW | ₱0.00 | Exempt |
| OWWA membership | USD $25.00 | Valid to contract end or 2 years |
| NBI clearance | ₱160.00 all-in | - |
| National Police Clearance | ₱150.00 | Valid 6 months |
| Postal ID, regular | ₱550.00 | 24 days published total |
What this page does not cover
The Bureau of Customs does not publish, on the pages read for this guide, the de minimis threshold, duty rates, the VAT rate, informal entry rules, accreditation requirements for customs brokers, storage and demurrage charges, or the appeal route for a disputed assessment. None of those are stated here.
Related
The balikbayan box guide covers the exemption. The duty free guide covers the retail side. The calculator does the arithmetic.
Frequently asked questions
- How is import tax calculated in the Philippines?
- Duty is assessed on the dutiable value, and VAT is then assessed on the dutiable value plus the duty. The two compound, which is why adding the duty rate and the VAT rate together understates the total.
- What is the de minimis threshold?
- The Bureau of Customs does not publish it on the pages read for this guide, so this page does not state a figure. Read the current threshold from the Bureau directly before relying on it.
- What is the duty rate?
- It depends on the tariff heading of the goods, and the Bureau does not publish a single rate. This page states no rate for that reason.
- Is there anything I can send without tax?
- Yes, if you qualify. The balikbayan box exemption covers Qualified Filipinos While Abroad, OFWs and resident Filipino citizens temporarily staying abroad, for up to ₱150,000.00, not more than 3 times in one year, for goods not in commercial quantity and not beyond personal and normal use.
- What law governs this?
- Republic Act 10863, the Customs Modernization and Tariff Act, cited by the Bureau alongside Customs Administrative Order 1-2018 and Customs Memorandum Order 18-2018 for the balikbayan box exemption at Section 800 (g).
- Why does VAT cost more than the headline rate suggests?
- Because it is levied on the duty as well as the goods. On a ₱100,000.00 shipment at 10% duty and 12% VAT, VAT comes to ₱13,200.00 rather than ₱12,000.00: ₱1,200.00 more.
- What else will I pay besides duty and VAT?
- Freight, insurance, brokerage, arrastre, wharfage, storage and forwarder charges are all real costs on an import. The Bureau of Customs does not publish them, and this page does not state figures for them.
- Does the Bureau publish reference values?
- It maintains a Memoranda for Reference Values section, alongside Customs Administrative Orders, Customs Memorandum Orders and Joint Memorandum Orders, in its issuances library.