PH Races to Seal Tax Deals With Oman, Singapore Before 2026 Ends—Here’s What Could Change for Investors
MANILA, Philippines — The Philippines is moving to close two major tax treaty efforts with Oman and Singapore before the end of 2026, as the Marcos administration intensifies its push to make the country more attractive to foreign investors and strengthen its network of international tax agreements.
Finance Assistant Secretary Euvimil Nina R. Asuncion said the Philippines is targeting the conclusion of negotiations with Oman within the year, while also pushing to finish the renegotiation of its existing tax agreement with Singapore.
The developments come as the Department of Finance (DOF) seeks greater tax certainty for businesses and investors operating across borders. Double taxation agreements (DTAs) establish rules on how income earned across two jurisdictions is taxed, helping prevent the same income from being taxed twice.
Oman deal could move quickly
For Oman, the Philippines has already secured the special authority needed to negotiate a DTA and is coordinating with the Omani government on the timetable.
The remaining step is presidential approval before formal negotiations can begin.
Asuncion said the DOF hopes to complete the Oman negotiations in one formal round, although the final outcome will depend on the issues that remain unresolved between the two sides.
The department typically conducts pre-negotiation discussions first to settle as many technical and policy issues as possible. The formal round can then focus on confirming those points and resolving remaining provisions.
A completed DTA could provide clearer rules for cross-border income involving areas such as business profits, dividends, interest, royalties, capital gains and professional services, depending on the final terms agreed by the two governments.
Singapore treaty faces major update
The Philippines is also accelerating negotiations with Singapore, with a second round of talks scheduled for the last week of September 2026.
The goal is to conclude the negotiations this year without another extension.
The agreement being renegotiated dates back to 1977, making it nearly five decades old. The United Nations treaty database confirms that the Philippines-Singapore agreement was signed in Manila on August 1, 1977, and entered into force later that year.
The DOF began the modernization process in September 2025, arguing that the old treaty needs to reflect major changes in the global economy and international taxation.
The first round of negotiations was held from September 2 to 4, 2025. The DOF said updating the agreement could strengthen investment ties, reduce uncertainty for businesses and support greater trade and technology transfers between the two countries.
The Philippine government also highlighted the importance of the relationship given the significant number of Filipinos living and working in Singapore. The DOF previously cited more than 200,000 Filipinos in Singapore and said Singaporean foreign direct investment in the Philippines had increased by 14 percent over the previous five years.
Why the tax treaties matter
DTAs are more than technical tax documents. For companies considering investments abroad, they can provide greater certainty over where income will be taxed and how taxes paid in one country will be treated in another.
Finance Secretary Frederick Go previously described tax treaties as an important tool for attracting foreign direct investment, particularly because companies want predictable tax obligations before committing capital.
The Philippines is pursuing a broader expansion of its treaty network. In June, Go said the government was working on 10 DTA-related efforts involving various countries, with negotiations and processes at different stages.
The government has also indicated that it wants to make greater progress with other ASEAN partners.
Beyond Oman and Singapore, the DOF is seeking another round of discussions with Laos and Malaysia within the year. It is also targeting at least the first formal round of negotiations toward a DTA with Luxembourg before 2026 ends.
Part of a wider investment push
The accelerated tax treaty agenda comes as the Philippines attempts to improve its competitiveness for international capital while updating its tax framework to reflect the modern global economy.
The Singapore negotiations are particularly significant because the existing agreement was crafted in an economic environment vastly different from today's, with cross-border services, digital business models, multinational corporate structures and modern international tax rules becoming increasingly important.
The Philippines and Singapore already have a substantial economic relationship, while Singapore remains an important regional hub for Philippine businesses and investors.
If Manila succeeds in concluding the Oman and Singapore negotiations this year, the agreements could become another component of the government's broader effort to provide investors with clearer rules and strengthen the country's position as an investment destination.
But the deadlines remain targets rather than guarantees: the final treaties will still depend on the negotiating positions of both countries, completion of the necessary approvals and the eventual signing and ratification processes.
For the Philippines, the message from the Finance department is clear: after decades of relying on aging tax arrangements, Manila wants its treaty network to catch up with the realities of today's global economy.
WWC ONE MEDIA J.M.S