Enter your annual taxable income to compute your graduated personal income tax on the TRAIN schedule effective 2023 — with your total tax, take-home pay, and effective and marginal rates, plus a full per-bracket breakdown.
Enter your taxable income — gross compensation/income minus allowable deductions and exempt items (mandatory SSS/PhilHealth/Pag-IBIG contributions and the ₱90,000 13th-month/bonus exemption).
Total annual income tax
How each slice of your income is taxed under the graduated schedule.
| Income band | Rate | Income taxed | Tax |
|---|---|---|---|
| ₱0 – ₱250,000 | 0% | ₱250,000.00 | ₱0.00 |
| ₱250,000 – ₱400,000 | 15% | ₱150,000.00 | ₱22,500.00 |
| ₱400,000 – ₱800,000 | 20% | ₱100,000.00 | ₱20,000.00 |
| Total | ₱500,000.00 | ₱42,500.00 | |
Figures use the TRAIN graduated income-tax schedule effective 1 January 2023 onwards (NIRC §24(A)(2)(a)). The first ₱250,000 of annual taxable income is exempt; the top marginal rate is 35% on income over ₱8,000,000.
Individuals are taxed under a graduated (progressive) schedule set by NIRC §24(A)(2)(a), as amended by the TRAIN Law (RA 10963). The rates below took effect on 1 January 2023 and apply to your annual taxable income — each band is taxed only on the portion of income that falls within it:
| Annual taxable income | Tax |
|---|---|
| Not over ₱250,000 | 0% |
| ₱250,000 – ₱400,000 | 15% of the excess over ₱250,000 |
| ₱400,000 – ₱800,000 | ₱22,500 + 20% of the excess over ₱400,000 |
| ₱800,000 – ₱2,000,000 | ₱102,500 + 25% of the excess over ₱800,000 |
| ₱2,000,000 – ₱8,000,000 | ₱402,500 + 30% of the excess over ₱2,000,000 |
| Over ₱8,000,000 | ₱2,202,500 + 35% of the excess over ₱8,000,000 |
The first ₱250,000 of taxable income is exempt (0%), and the top marginal rate is 35% on income over ₱8,000,000. Because the schedule is progressive, your effective rate is always lower than your marginal rate.
Your taxable income is gross compensation or business/professional income minus allowable deductions and exempt items — including mandatory SSS, PhilHealth, and Pag-IBIG contributions and the ₱90,000 13th-month-pay and other-benefits exemption. Compute the taxable excess of your bonus with the 13th-Month-Pay Calculator.
Self-employed and professionals: if your gross sales/receipts do not exceed ₱3,000,000 and you are not VAT-registered, you may instead elect the flat 8% optional income tax in lieu of the graduated rates and the percentage tax — compare both before you file.
Under TRAIN (RA 10963), the graduated schedule effective 1 January 2023 onwards is: up to ₱250,000 — 0%; ₱250,000 to ₱400,000 — 15% of the excess over ₱250,000; ₱400,000 to ₱800,000 — ₱22,500 + 20% of the excess over ₱400,000; ₱800,000 to ₱2,000,000 — ₱102,500 + 25% of the excess over ₱800,000; ₱2,000,000 to ₱8,000,000 — ₱402,500 + 30% of the excess over ₱2,000,000; over ₱8,000,000 — ₱2,202,500 + 35% of the excess over ₱8,000,000.
Yes. The first ₱250,000 of annual taxable income is taxed at 0% under the TRAIN schedule, so individuals whose taxable income does not exceed ₱250,000 owe no income tax.
Taxable income is your gross compensation or business/professional income minus allowable deductions and exempt items — for example mandatory SSS, PhilHealth, and Pag-IBIG contributions, and the ₱90,000 13th-month-pay and other-benefits exemption. The graduated rates apply to that net figure, not to gross pay.
Your 13th-month pay and other benefits are tax-exempt up to a combined ₱90,000 per year (TRAIN raised the cap from ₱82,000). Only the amount above ₱90,000 is added to taxable income. Use our 13th-Month-Pay Calculator to see the taxable excess.
Yes. Mandatory employee contributions to SSS, PhilHealth, and Pag-IBIG are excluded from taxable compensation, so they lower the taxable income on which the graduated rates are applied.
Informational only — not tax advice. This calculator is a general arithmetic aid for Philippine graduated personal income tax on the TRAIN schedule effective 2023. Your actual liability depends on your filing status, income type, and allowable deductions. Verify with the Bureau of Internal Revenue (BIR) or a qualified Philippine tax professional. See our full disclaimer.
Source: PwC Worldwide Tax Summaries — Philippines (Individual); Dept. of Finance (taxreform.dof.gov.ph); TRAIN (RA 10963 §24(A)(2)(a)), schedule effective 1 Jan 2023. As of June 2026.