This calculator helps estimate Philippine income taxes for mixed income earners - individuals who earn both compensation income and freelance, business, professional, or side income.
It estimates compensation tax and business tax separately, then combines them into one total estimate. Payments already made through withholding and quarterly payments are deducted to show either remaining balance or possible overpayment.
In the Philippines, a mixed income earner is someone who earns from employment while also earning from business, freelance work, commissions, self-employment, or professional services.
Mixed income earners may pay taxes separately on compensation income and business income. Compensation income typically follows graduated income tax brackets, while business income may use either graduated rates or the optional 8% tax system if qualified.
The 8% income tax option has qualification rules under BIR regulations. Mixed income earners generally cannot apply the P250,000 deduction again to business income because it is already considered under compensation income taxation.
A mixed income earner receives compensation from employment while also earning income from freelance work, business, commissions, or professional services.
Some mixed income earners may qualify for the 8% option on business income if they meet BIR requirements and are not VAT-registered.
This calculator provides simplified estimates and may not include all deductions, exemptions, credits, or special tax situations.
No. This is an independent educational calculator created by HeptaGeeks MICREF for planning and estimation purposes only.