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The following post does not create a lawyer-client relationship between Alburo Alburo and Associates Law Offices (or any of its lawyers) and the reader. It is still best for you to engage the services of a lawyer or you may directly contact and consult Alburo Alburo and Associates Law Offices to address your specific legal concerns, if there is any.
Also, the matters contained in the following were written in accordance with the law, rules, and jurisprudence prevailing at the time of writing and posting, and do not include any future developments on the subject matter under discussion.
AT A GLANCE
- A non-resident alien is any alien seeking admission to the Philippines for employment purposes.
- He or she shall obtain an employment permit from the Department of Labor and Employment.
- The employment permit may be issued to a non-resident alien after a determination of the non-availability of a person in the Philippines who is competent, able and willing at the time of application to perform services for which the alien is desired. (Article 40, Labor Code of the Philippines)
Any alien seeking admission to the Philippines for employment purposes and any domestic or foreign employer who desires to engage an alien for employment in the Philippines shall obtain an employment permit from the Department of Labor and Employment (DOLE).
The law says:
“Any alien seeking admission to the Philippines for employment purposes and any domestic or foreign employer who desires to engage an alien for employment in the Philippines shall obtain an employment permit from the Department of Labor.
The employment permit may be issued to a non-resident alien or to the applicant employer after a determination of the non-availability of a person in the Philippines who is competent, able and willing at the time of application to perform services for which the alien is desired.
For an enterprise registered in preferred areas of investments, said employment permit may be issued upon recommendation of the government agency charged with the supervision of said registered enterprise.” (Article 40, Labor Code of the Philippines)
Under Section 3 of DOLE Department Order No. 221-21 or the Revised Rules and Regulations for the Issuance of Employment Permits to Foreign Nationals, all applications for an Alien Employment Permit (AEP) shall be filed at the DOLE Regional Office concerned within ten (10) working days from date of signing of the contract or prior to the commencement of employment.
The law says:
“Section 3. Requirement and Processing of Application of AEP. – All applications for AEP shall be filed at the DOLE Regional Office (DOLE-RO) concerned, within ten (10) working days from date of signing of the contract or prior to the commencement of employment.
Employers intending to hire foreign nationals shall secure all relevant permits and authorities prior to applying for AEP. xxx” (Section 3, DOLE Department Order No. 221-21)
For purposes of taxation, a non-resident alien who comes to the Philippines and stays for more than one hundred eighty (180) days during any calendar day will be deemed a non-resident alien engaged in trade or business in the Philippines.
The law says:
“A nonresident alien individual engaged in trade or business in the Philippines shall be subject to an income tax in the same manner as an individual citizen and a resident alien individual, on taxable income received from all sources within the Philippines. A nonresident alien individual who shall come to the Philippines and stay therein for an aggregate period of more than one hundred eighty (180) days during any calendar year shall be deemed a ‘nonresident alien doing business in the Philippines.” (Section 25, National Internal Revenue Code)
Related article: Classes of aliens who are not allowed to enter in the Philippines
Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries regarding taxation and taxpayer’s remedies, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.
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