How to Send Balikbayan Box without TAX

How to Send Balikbayan Box without TAX
You can still enjoy tax-free privileges when sending balikbayan boxes home this holiday season. Here's a guide to help you navigate the process smoothly
The holiday season is fast approaching, and for many Filipinos abroad, sending a balikbayan box filled with love and gifts for loved ones back home is a cherished tradition. However, with global shipping costs on the rise, concerns about taxes and duties might dampen the festive spirit.

Fear not, overseas Filipino workers (OFWs)! You can still enjoy tax-free privileges when sending balikbayan boxes home this holiday season. Here's a guide to help you navigate the process smoothly:

Who qualifies for tax exemption?

Only Qualified Filipinos While Abroad (QFWAs) are eligible to send tax-free balikbayan boxes. These include:
  • OFWs with valid passports and certified for overseas employment by the Department of Labor and Employment (DOLE) and Philippine Overseas Employment Administration (POEA)
  • Non-resident Filipinos with permanent residency abroad but retaining Filipino citizenship
  • Resident Filipino citizens holding student visas, investors' visas, tourist visas, or similar temporary stay visas

What are the requirements?

To avail of the tax exemption, your balikbayan box must meet the following criteria:
  • Total value not exceeding P150,000: Any amount exceeding this limit will be subject to duties and taxes.
  • Contains only personal and household effects: This includes clothing, personal adornments, electronic gadgets, toiletries, furniture, dishes, linen, books, etc.
  • Items not intended for commercial purposes: The quantity of items should be reasonable for personal use and not exceed "commercial quantities."
  • Required forms completed: These include Deconsolidator's Application Form, Information Sheet, Certificate of Compliance, and Information Sheet Details.

Additional documents needed:

  • Photocopy of your passport biographical page
  • Invoice or receipt (if available)

How to avail of tax exemption:

  1. Submit the required documents to an international forwarder or consolidator abroad.
  2. The forwarder will then transmit the documents to the Bureau of Customs (BOC) in the Philippines.
  3. Pay a processing fee of P250 to the consolidator.

Track your Balikbayan boxes:

  • You can track your Balikbayan boxes using the tracking number or lading bill number on the BOC's website. This ensures transparency and efficiency in the delivery process.

Important notes:

  • Sole proprietorships and juridical entities are not entitled to tax exemption but can still send balikbayan boxes.
  • Previous or Non-Filipino citizens are not eligible for tax exemption.
  • The tax exemption applies to three shipments per calendar year.

Additional resources:

By following these guidelines and preparing the necessary documents, you can send your loved ones tax-free balikbayan boxes and spread holiday cheer without breaking the bank. Remember, the most valuable gift you can give is the love and connection you share with your family and friends back home.
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