Tax Calculator

Compare 8% flat rate vs graduated income tax

8% Flat Rate

Fixed percentage of gross income

Gross Income:₱380,000.00
Tax Rate:8%
Total Tax:₱30,400.00

Simple and straightforward. No deductions allowed. Best for higher earners.

Recommended

Graduated Rate

Progressive tax brackets

Gross Income:₱380,000.00
Tax Rate:Progressive
Total Tax:₱19,500.00

Allows deductions. Lower effective rate for lower income. More complex record-keeping.

Tax Savings

By choosing the graduated rate, you could save:

₱10,900.00

*Based on an annual income of ₱380,000.00

2026 BIR Graduated Tax Brackets

₱0 - ₱250,0000%
₱250,001 - ₱400,00015%
₱400,001 - ₱800,00020%
₱800,001 - ₱2,000,00025%
₱2,000,001 - ₱8,000,00030%
Above ₱8,000,00035%