United States vs Philippines
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
💰 Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country — side by side.
Individual Income Tax (Top Marginal Rate)
VAT / GST / Sales Tax
Corporate Tax Rate
Capital Gains Tax
Social Security & Payroll
🇺🇸 United States — State & Local Taxes
The U.S. has 50 states each setting their own income tax (0%–13.3%). California tops at 13.3%, while Texas, Florida, and Nevada levy no state income tax. NYC adds its own income tax (up to 3.876%). Sales taxes vary from 0% (Oregon) to over 11% combined. Property taxes are primarily local. Some states like Washington have introduced capital gains levies.
🇵🇭 Philippines — Local Government Unit (LGU) Taxes
The Philippines' 82 provinces, 146 cities, and 1,488 municipalities levy business taxes (1%–2% of gross receipts), real property tax, and fees. Cities can levy local business taxes at their own rates within national caps. The local business tax is a major compliance burden for businesses operating across multiple LGUs. The BIR (Bureau of Internal Revenue) administers national taxes. The Create Act (2021) significantly reformed corporate income tax rates.
United States vs Philippines: Key Tax Differences (2026)
💰 Income Tax: 🇺🇸 United States has a higher top income tax rate (10–37% vs 0–35%). 🇵🇭 Philippines is more favourable for high earners.
🛒 VAT/Sales Tax: Philippines has a higher consumption tax (0–11% vs 12%).
🏢 Corporate Tax: 🇺🇸 United States offers a lower corporate rate (21% vs 25%), which can influence business location decisions.
📈 Capital Gains: 🇵🇭 Philippines taxes investment gains at a lower rate (15% vs 20%), benefiting investors.