Philippines Import Duties & Taxes Explained

The duty-free limit in the Philippines is PHP 10,000. Shipments with an FOB/FCA value at or below this threshold are typically exempt from duties and VAT, but once your shipment exceeds PHP 10,000, both customs duty and 12% VAT will apply.

Import tax and duty in the Philippines are calculated on your shipment's value. Shipments with an FOB/FCA value at or below PHP 10,000 are typically exempt from duties and VAT. Once this threshold is exceeded, you'll pay 12% VAT on the Total Landed Cost plus customs duty (typically 5% to 15% for consumer goods), calculated on the CIF value including shipping and insurance. Your shipment will also incur official fees like the Import Processing Fee (PHP 250), Customs Documentary Stamp (PHP 265), and carrier brokerage fees (starting around PHP 1,300).

Yes, you may pay an Import Processing Fee of around PHP 250 and a Customs Documentary Stamp fee of approximately PHP 265. These are standard charges applied to most shipments entering the Philippines.

Carriers like DHL, FedEx, or UPS typically charge a brokerage fee starting at around PHP 1,300 for informal entries. This fee covers the processing of your shipment through Philippine customs.

The standard Value-Added Tax (VAT) rate is 12% on taxable imports. This rate applies to your shipment if its value exceeds the PHP 10,000 threshold.

Customs duty rates range from 0% to 30%, with most consumer goods falling between 5% and 15%. This is calculated based on the CIF value of your shipment once it exceeds the PHP 10,000 limit.

The Bureau of Customs (BOC) is responsible for collecting all import taxes and duties. Your carrier will usually collect these charges on behalf of the BOC when your shipment arrives.

Customs may aggregate the value of multiple shipments for the same recipient arriving on the same day. If the combined total exceeds PHP 10,000, all your shipments will be subject to taxes.

Estimates include duties (5-15%), 12% VAT on the landed cost, and fixed fees like PHP 250 for processing. Use these figures to budget for your shipment, keeping in mind that final charges are determined by customs.

While there is pending legislation to potentially lower the rate to 10%, the current effective rate remains 12% as of March 2026. Your shipment will be taxed at the prevailing rate upon arrival.