How much is the Real property Tax in the Philippines?

Is there an income tax for an OFW who owns a LOT in the Philippines which was leased for some companies?

• I am an OFW in Middle East and I have a 2k sqm lot in the Philippines and is going to be leased for some real estate companies. Am I obliged to pay the tax(property) or the people who leased it? And the income from the lease, do I have the obligation to pay income tax even if I am outside the country?

• Answer:

  As the owner, any property tax will be levied in your name. You are responsible legally, but could pass the cost down to your lessees. And if you are a US citizen, you will report any income to the Philippines AND the United States. For the US it will go on Schedule E of form 1040 and you will report the income and the related expenses to maintain and rent the property. You will be taxed on the net profit. There are foreign tax credits and deductions available in the US. It's too complicated to explain on here and you could have a CPA easily handle for you. However, if the net profit from your rental property doesn't cause significant taxes for you and you don't use a CPA to do your return its not really worth worrying about the foreign tax breaks. Basically they lessen the blow of being taxed twice on foreign income. Hope this helps =)