You’ve just landed your first overseas client as a virtual assistant, your Shopee store is getting busy, or maybe your Airbnb bookings are nonstop — life’s good! But then tax season comes around, and you find yourself asking: “Am I required to file an Income Tax Return (ITR)?”

If you earn money — whether from freelancing, online selling, property rentals, or clients abroad — chances are, yes, you are required to file an Income Tax Return (ITR). But don’t worry, Tax Assist PH is here to simplify everything for you.

The Basic Rule

According to the Bureau of Internal Revenue (BIR), anyone earning income in the Philippines or from Philippine sources must file an ITR — unless they fall under specific exemptions.

This includes:

• Resident Filipino citizens earning income from sources inside or outside the Philippines.
• Non-resident citizens earning income within the Philippines.
• Resident or non-resident aliens engaged in business or earning income in the Philippines.

If your income is not fully taxed through withholding or if you are self-employed, you are required to file your own ITR.

Who Is Required to File an ITR (For Your Situation)

Here’s who’s definitely required to file — especially among freelancers, online sellers, property owners, and virtual assistants:

• Freelancers and self-employed professionals
  Writers, designers, programmers, consultants, and virtual assistants who earn directly from clients (local or abroad) must register with the BIR and file their ITR.
• Individuals with mixed income
  If you have a regular job and side income — like freelance work, a small business, or rental income — you need to file your own ITR because your total income isn’t covered by your employer’s withholding tax.
• Property owners and Airbnb hosts
  If you earn rental income from your condo, apartment, or house, that’s taxable. Even if you only rent out one or two units, you’re required to file an ITR and declare your rental earnings.
• Online sellers and e-commerce entrepreneurs
  Selling on Shopee, Lazada, or TikTok Shop? The BIR considers that a business. You must register, issue official receipts, and file your ITR reflecting your income and expenses.

When You Might Not Be Required to File

There are a few exceptions:

• If you earn purely compensation income from one employer for the entire year and the correct taxes were withheld, you’re covered under substituted filing (your employer files on your behalf).
• If you’re a minimum wage earner or your annual income falls below the BIR’s tax-exempt threshold.

However, once you earn any additional income — from freelancing, side businesses, or rentals — these exemptions no longer apply. You’ll need to file your own ITR.

Why It Pays to File

Filing your ITR isn’t just about compliance — it’s about opportunity.
Your ITR serves as proof of income and is often required when applying for:

• Bank loans and credit cards (banks like BPI and BDO ask for your latest ITR)
• Visa applications
• Business permits and government programs

It also helps you build a financial record and avoid future penalties from the BIR.

If you’re earning from freelancing, online selling, property rentals, or overseas clients, then yes — you’re required to file an ITR. Only single-employer workers with properly withheld taxes are exempt.

At Tax Assist PH, we help freelancers, online sellers, and small property owners register, file, and stay compliant — the easy way.

Visit www.taxassistph.com to learn how our experts can guide you through BIR registration and ITR filing — so you can focus on growing your income while we handle the taxes.