06/05/2026
IMPORTANT TAX COMPLIANCE REMINDER FOR UNIT OWNERS RENTING THROUGH AIRBNB, AGODA, BOOKING.COM, AND OTHER ONLINE PLATFORMS
The Bureau of Internal Revenue has recently issued Revenue Memorandum Circular No. 38-2026, prescribing the issuance and posting of the BIR Registration Seal Badge for taxpayers engaged in online business activities.
This is another clear sign that the BIR is now moving toward stricter monitoring of online transactions, digital platforms, e-commerce activities, and online service providers.
For condominium/unit owners renting out their units through Airbnb, Agoda, Booking.com, Facebook, direct online bookings, or other online travel agencies, this is very important.
Rental income earned in the Philippines is generally subject to Philippine tax compliance requirements. The fact that bookings are made online does not make the income invisible or exempt from taxation.
Under the current direction of the BIR, online businesses and digital earners are expected to be properly registered, to issue proper receipts/invoices when required, to file the correct tax returns, and to maintain proper records of their income and expenses.
The BIR has also previously imposed withholding tax rules on online merchants and sellers whose gross remittances exceed the applicable threshold, including those using e-marketplace platforms and platforms for accommodation booking.
In simple terms:
online rental income is now easier to monitor, verify, and trace.
For Scandi Villas unit owners and other property owners who are renting out units, proper compliance is no longer something that should be delayed. It is better to register, file, and report correctly now than wait for penalties, open cases, assessments, or platform-related compliance issues later.
I can assist unit owners with the following:
• Review of current rental activity and tax exposure
• BIR registration or registration update
• Determination of applicable tax type
• Monthly, quarterly, and annual tax filing
• Assistance with receipts/invoices and books of accounts
• Tax compliance for Airbnb, Agoda, Booking.com, direct bookings, and other rental income
• Guidance on proper documentation of expenses related to the rental unit
For unit owners who want their rentals handled properly, I can also assist in organizing both the rental compliance side and the tax filing side,so that your unit income is properly documented and reported.
Compliance is not only about avoiding penalties. It also protects your property investment, your rental operations, and your ability to continue using online booking platforms without future tax problems.
For assistance, you may send a private message.
email: [email protected]
Accounting, Tax, and Business Compliance Services
For context, the older BIR online-platform rule also already covered **booking platforms for accommodation**, and the PNA report on RR No. 16-2023 stated that e-marketplace operators include platforms for accommodation booking. ([pna.gov.ph][1])
[1]: https://www.pna.gov.ph/articles/1216099?utm_source=chatgpt.com "BIR imposes 1% withholding tax on online merchants"