MANAGEMENT

Detailed explanation-1: -Qualified proprietary educational institutions and hospitals, which are nonprofit, are subject to a tax of ten percent (10%) of their taxable income, provided that from July 1, 2020 until June 30, 2023, the tax rate imposed shall be one percent (1%).

Detailed explanation-2: -As expressly provided in the Philippine Constitution, and further reiterated under Section 30(H) of the Tax Code, NSNP-EIs are exempt from income tax on their revenues and assets, provided that the revenues and assets are actually, directly, and exclusively for educational purposes.

Detailed explanation-3: -Tax rates for income subject to final tax For resident and non-resident aliens engaged in trade or business in the Philippines, the maximum rate on income subject to final tax (usually passive investment income) is 20%. For non-resident aliens not engaged in trade or business in the Philippines, the rate is a flat 25%.

Detailed explanation-4: -Domestic corporations Minimum corporate income tax (MCIT) on gross income, beginning in the fourth taxable year following the year of commencement of business operations. MCIT is imposed where the CIT at 25% is less than 2% MCIT on gross income.