There are many great destinations in Asia for digital nomads. However, the Philippines can’t be missed. Therefore, I created a complete guide on the Philippines Digital Nomad Visa.
REMARK: Please note that at the time of writing of this article the Philippines announced they will introduce a digital nomad visa and shared some information. However, you can’t actually apply for this visa yet.
Overview of the Philippines Digital Nomad Visa
- The Philippines Digital Nomad Visa is valid for one year.
- Renewal for another year is possible if you still meet the requirements.
- In order to qualify, you need to meet some basic conditions (e.g. minimum income & health insurance).
- Digital nomad visa holders get an exemption from income taxes.
Requirements for Obtaining the Philippines Digital Nomad Visa
In order to obtain the Philippines digital nomad visa you need to meet certain requirements. The criteria are set out by the Digital Nomad Act (1). Hereby an overview:
- Minimum income requirement: like for many other DNV’s you need to meet a minimum income requirements. The law doesn’t provide an actual amount but in practice it seems you need an income of around USD 2.000 per month. Obviously, this income should come from sources outside of the Philippines.
- Work remotely: you need to prove that you work remotely whether as an employee or for your own business.
- Health insurance: you need health insurance valid in the Philippines for the full duration of your stay.
- Clean criminal record: provide a clean criminal record from your home country.
Application Process for the Philippines Digital Nomad Visa
As we are still waiting for the DNV to become available, it’s not fully clear how the process will exactly look like. However, let’s have a look at what you can expect if you plan to apply.
Document Preparation
The first step is to gather all the necessary documents and information. You will need the following:
- Proof of necessary financial means by providing bank statements or pay slips
- Proof of remote work (e.g. employment contract or freelance contract)
- Copy of your health insurance policy confirming you’re covered in the Philippines
- Clean criminal record from your home country
- Valid passport
File Application DNV Philippines
You’ll have to file your application with the consular authorities of the Philippines.
They will check your documents to make sure you meet the requirements.
Furthermore, you will have to pay the application fee. At the time of writing it isn’t clear yet how much the fee would be.
Await Approval of your Philippines Digital Nomad Visa
After filing your application, there is nothing more to do than to wait for the outcome.
Once a decision is made, the authorities will contact you to (hopefully) give you the good news.
The digital nomad visa for the Philippines will be valid for one year and you’ll have the option to renew for another year.
Tax Considerations for Digital Nomads in the Philippines
The Digital Nomad Act contains a specific provision regarding the taxation of digital nomads who stay in the Philippines based on the DNV.
The provisions confirms that holders of the Philippines Digital Nomad Visa aren’t considered residents for tax purposes. Accordingly, you won’t have to pay any taxes in the Philippines on your income from your remote work.
Yet, you might want to assess to what extent staying in the Philippines for extended time impacts your tax setup. This might give you some room for tax optimization.
Furthermore, you should know that you’re not allowed to work for a local company. Doing so my result in the revocation of your visa.
As mentioned, the Philippines remote workers visa isn’t available yet but you can always have a look at some other tax free digital nomad visas.
How is the Philippines for Digital Nomads?
If you’re a digital nomad, you probably have the Philippines on your list of places you must visit. There are many reasons why the Philippines should be on your list:
- Cost of living: just like most countries in South East Asia the Philippines offer an affordable cost of living. This makes it a desirable destination for people with any kind of lifestyle.
- Nature: I probably don’t need to point out that the nature in the Philippines is great. Just have a look at some of the pictures of the beaches and islands and you’ll know enough.
- Welcoming culture: like many other countries in the region, the Philippines have an open culture towards foreigner and will receive you with open arms.
- English proficiency: apart from being welcoming, most Filipinos are also proficient in English which helps in daily life.
- Improved infrastructure: although reliable internet was a challenge is some places in the Philippines in the past, this has improved a lot over the past few years.
Let Me Help You Lower Your Taxes
If you are planning to stay in a place for an extended period of time, you should always assess the tax consequences.
Whether you apply for a digital nomad visa or not, it mostly doesn’t matter so much as you want to avoid to trigger any unwanted tax consequences.
Reach out if you need any assistance in this respect.
