Tax Treaty Relief Application (TTRA) in the Philippines
Published Date: September 22, 2025
Published By: Jac Cantos, Upcloud Accounting
What is Tax Treaty Relief Application (TTRA)?
TTRA stands for Tax Treaty Relief Application. It is the formal process through which a nonresident taxpayer or their authorized representative files a request with the Philippine Bureau of Internal Revenue (BIR) to confirm entitlement to reduced tax rates or exemptions provided under international tax treaties. While tax treaty benefits may be applied outright by withholding agents relying on a valid Tax Residency Certificate (TRC), the TTRA is required when taxes have already been withheld at regular rates to confirm the taxpayer's right to treaty relief and potentially claim a refund.
This process is governed by the Bureau of Internal Revenue under Revenue Memorandum Order (RMO) No. 14-2021, which amended earlier guidelines on tax treaty relief application, streamlining procedures while emphasizing compliance verification by the BIR’s International Tax Affairs Division (ITAD) and relevant legal authorities
Process of Applying through TTRA
The nonresident income recipient or authorized representative files the TTRA with the BIR International Tax Affairs Division (ITAD) after withholding tax has been paid at regular rates.
The complete application with required supporting documents is submitted to ITAD, which reviews and evaluates the claim.
If approved, a ruling or certification confirming entitlement to tax treaty benefits is issued.
For contracts or transactions extending beyond one year, annual updates of the TTRA filing are required with updated documentation.
Adverse rulings denying the application may be appealed to the Department of Finance within 30 days from receipt.
Requirements:
Letter-request for tax treaty relief.
Application form duly signed by the nonresident income recipient or authorized representative.
Tax Residency Certificate (TRC) issued by the tax authority of the foreign country.
Bank documents or certificates evidencing income payment/remittance.
Withholding tax return along with Alpha list of Payees.
Proof of payment of withholding tax.
Special Power of Attorney (SPA) notarized, if filed through an authorized representative.
Cost Involved:
There is no separate fee for filing the TTRA application itself.
Applicable withholding taxes must be paid at the regular rates initially, with tax treaty benefits applied upon approval.
Timeline:
Processing by the BIR ITAD may take up to four months or longer depending on completeness of documents and backlog.
Timely submission of complete and accurate supporting documents may expedite the process.
A ruling confirming or denying the relief will be communicated upon completion of evaluate.
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Disclaimer: This article or blog is only for general knowledge and guidance and is not a substitute for an expert opinion. For technical advice, please consult your tax / legal advisor for your specific business concerns. For comments, suggestions, and feedback, feel free to email us at [email protected].
