Keep pulling the thread on United States.
Across its existing tax treaties, the Philippines had an estimated foregone revenue of 278.6 billion pesos between 2021 and 2025.
Filipino companies operating abroad achieved an estimated 15.99 billion pesos in tax savings between 2021 and 2025 due to existing Double Taxation Avoidance Agreements.
Under the proposed DTAA, when a Philippine company in Cambodia pays interest to its Philippine parent company, Cambodia can only impose a tax of up to 15%, with the remaining portion of the tax being payable to the Philippine government.
The Kingdom of Cambodia has completed its internal legislative procedures required for the DTAA with the Philippines to enter into force, pending concurrence from the Philippines.
The Philippines currently has 44 Double Taxation Avoidance Agreements (DTAAs) in force.
Seven of the Philippines' 44 Double Taxation Avoidance Agreements are with fellow ASEAN member states.
In 2025, total bilateral trade between the Philippines and Cambodia reached nearly $100 million, with Philippine exports at approximately $25 million and imports at $75 million, resulting in a trade deficit of about $50 million for the Philippines.
The proposed DTAA between the Philippines and Cambodia would limit the withholding tax to 10% for technical services provided by Filipino IT outsourcing companies to Cambodian clients.
Under the proposed DTAA, a Philippine engineering consultancy's project in Cambodia would not be considered a taxable permanent establishment unless the project's duration exceeds six months.
The proposed DTAA with Cambodia would cap the tax on royalties at 15% for Filipino companies licensing their intellectual property in Cambodia.
There are currently no notable Cambodian investments registered with Philippine investment promotion agencies for the purpose of receiving incentives.
There are approximately 13 Philippine companies and 7,000 Filipino individuals (OFWs) currently operating or working in Cambodia.