Documentary Stamp Tax

Documentary Stamp Tax (DST) Pursuant to Section 181 of the 1997 Tax Code & Revenue Regulations (RR) No. 13-2004 – Implementing the Provisions of R.A. No. 9234

  • Please be informed that effective May 30, 2008, Western Union will start charging DST to ALL Customers receiving money transfer from abroad.


  • ALL International Money Transfers paid out in the Philippines are charged with DST.


  • DST is P0.30 for every 200 Principal Increments or 0.15% of the Principal Amount (or Amount Sent)


    • Sample

    Principal Amount Sent : P10,000.00
    Less DST: 0.15%x P10,000.00 = P15.00
    Payout Amount: P9,985.00


  • DST charge is applicable for both Philippine Pesos and US Dollar payouts.

    • Documentary Stamp Tax FAQ's

    Internal communications for send markets and IROCs



    Philippines Documentary Stamp Tax Implementation – May 30

    Western Union has begun to inform its customer that, effective 30 May 2008, all money transfer from abroad will be subject to Documentary Stamp Tax (DST) as required by the government regulations under Section 181 of the 1997 Tax Code and Regulations (RR) No. 13-2004 and Republic Act (R.A.) no. 9243.

    While this law has been in place for several years, Documentary Stamp Tax was not heretofore believed to apply to cash remittances. However, we now understand that the Bureau of Internal Revenue believes otherwise. Western Union and our agents see no alternative to ascending to the BIR’s interpretation of the law.

    As a law abiding corporate citizens, Western Union and its Agents will comply and process the 0.15% DST on all inbound remittances from 30 May 2008.

    We are, of course, mindful of the added burden DST puts on OFWs who are already challenged by the strong peso and the rising costs of food across the world, and are reaching out to the appropriate government organizations to discuss this development.

    Basic Q&A



    Q: What is this new tax on remittances?
    A: Western Union has begun to inform its customer that, effective 30 May 2008, all money transfers from abroad will be subject to Documentary Stamp Tax (DST) as required by Government regulations.

    Q: What law? Which regulations?
    A: Section 181 of the 1997 Tax Code & Revenue Regulations (RR) No. 13-2004 and Republic Act (R.A.) No. 9243.

    Q: Is this a new law?
    A: no. While this law has been in place for several years, Documentary Stamp Tax was nor previously believed to apply to cash remittances. However, we now understand that the Bureau of Internal believes otherwise. Therefore, as law abiding corporate citizens, Western Union and its agent must comply and process the 0.15% DST on all inbound remittances from 30 May 2008.

    Final Closing Messages. We understand that the DST puts an added burden on OFWs who are already challenged by the strong peso and the rising costs of food. We are reaching out to the Philippines government to discuss this development.