Starting a Partnership or Corporation In the Philippines

Starting a Partnership or Corporation In the Philippines

Source: International Finance Corporation/ Doing Business in the Philippines 2011 Study

DepartmentProcedureTime to completeAssociated Costs
1. SEC (Securities and Exchange Commission)Verify and reserve the availability of the company name with the Securities and Exchange Commission (SEC)1 dayPHP40
Deposit paid-up capital in the Authorized Agent Bank (AAB) and obtain bank certificate of deposit1 dayno charge
Notarize articles of incorporation and Treasurer’s affidavit with notary public1 dayPHP500
Register company with the Securities and Exchange Commission3 days(PHP 1,667.99 filing fee equivalent to 1/5 of 1% of the authorized capital stock or the subscription price of the subscribed capital stock, whichever is higher but not less than PHP 1,000 + PHP 16.68 legal research fee (LRF) equivalent to 1% of filing fee but not less than PHP 10 + PHP 500 By-laws + PHP 150 for registration of stock and transfer book (STB) required for new corporations + PHP 320 STB + PHP 10 registration for SEC bulletin)
Payment of documentary stamp taxes (DST)1 dayPHP1 for every PHP 200 of capital
2. BarangayObtain Barangay Clearance2 daysPHP 800
3. Mayor’s OfficeA. Obtain Community Tax Certificate (CTC) from the City Treasurer’s Office (CTO)1 dayPHP 500
B. Obtain Mayor’s Permit to operate at the Licensing Section of the City or Municipality1 dayThe fees vary depending on the local government unit (city/municipality) issuing the mayor’s permit (PHP 900, sanitary permit fee + 0.2% of capital for license fee + PHP 2000, permit fee for businesses engaged in retail + PHP 2,500 garbage collection fee + PHP 360, occupational tax + PHP 905, occupational police clearance/health clearance + PHP 1,500, plumbing inspection fee + PHP 850, electrical inspection fee + PHP 500 building permit fee + PHP 400 sign board permit fee)
4. BIR (Bureau of Internal Revenue)A. Register TIN with the BIR (Certificate of Registration)2 daysPHP 500 (registration fee) + PHP 100 (certification fee) and PHP 15 (documentary stamp tax, in loose form to be attached to Form 2303)
B. Obtain Certificate of Authority to Print (ATP) Form.1 dayNo Charge
C. Print receipts and invoices at the print shops accredited by the BIR.1 dayPHP 180/Booklet.
D. Buy special books at any Bookstore or BIR’s Office.14 daysPHP150 (4 Pcs)
E. Have books of accounts and Printer’s Certificate of Delivery of Receipts and Invoices (PCD) stamped by the BIR.1 dayNo Charge
5. SSS (Social Security Syste)Register with the Social Security System (SSS)1 weekNo Charge
6. PHIC (Philippine Health Insurance Corporation)Register with the PhilHealth Insurance Corp (PHIC)1 dayNo Charge

 

Sources: 

Image: /thesecuritiesgroup.com/wp-content/uploads/2018/06/corporate-shake-hands.jpg