To register a charity in the Philippines, you incorporate as a non-stock, non-profit corporation with the Securities and Exchange Commission, register with the Bureau of Internal Revenue, secure a License to Operate from the Department of Social Welfare and Development if you deliver social services, and obtain local permits from the barangay and city hall where your office sits. Tax exemption and donor deductibility are separate applications that come after those core registrations are in place.
Choose the Legal Form First
Philippine charities are organized as non-stock, non-profit corporations under the Revised Corporation Code (Republic Act No. 11232). Section 87 permits these entities to pursue charitable, religious, educational, cultural, scientific, social, civic service, and similar purposes.1The Lawphil Project. Republic Act No. 11232 – Revised Corporation Code of the Philippines None of the corporation’s income can be distributed to members, trustees, or officers; any surplus goes back into the stated purpose.
Decide early whether you want to call the organization a “foundation.” That label carries a real cost. Any entity using “foundation” in its corporate name must maintain a minimum endowment of at least ₱1,000,000 at incorporation, supported by a notarized bank deposit certificate, and must submit a written commitment allowing the SEC to audit its books at any time.2Philippine Council for NGO Certification. SEC Memorandum Circular No. 25, Series of 2019 A regular non-stock charitable corporation gives you the same legal personality without the million-peso requirement.
The Revised Corporation Code lets you incorporate with as few as one incorporator and as many as fifteen. Natural-person incorporators must be of legal age. Your board of trustees can have up to fifteen members elected by the membership, and the bylaws can authorize a larger board.1The Lawphil Project. Republic Act No. 11232 – Revised Corporation Code of the Philippines
Prepare the Foundational Documents
Before you touch any government portal, draft the two core corporate documents. The Articles of Incorporation must state the corporation’s name, purpose, principal office address within the Philippines, and the names of your initial trustees. The Bylaws set out how the corporation will govern itself: meetings, elections, officers, quorum rules.
If you plan to deliver social welfare services, you also need a work plan describing your programs and a financial plan showing projected budgets. DSWD Administrative Order No. 17, Series of 2008 sets the documentary standards these plans must meet. Preparing them properly at the start avoids weeks of back-and-forth once the DSWD reviews your file.
Register with the SEC Through eSPARC
Formal registration begins in the Electronic Simplified Processing of Application for Registration of Company (eSPARC), the SEC’s online portal.3Securities and Exchange Commission. Electronic Simplified Processing of Application for Registration of Company Through eSPARC you reserve the corporate name and upload your Articles of Incorporation, Bylaws, and treasurer’s affidavit. After preliminary approval, notarized hard copies go to the SEC’s main office or a satellite branch. Filing fees for non-stock corporations vary with processing factors, so check the current SEC schedule before submitting.
When the SEC approves the filing, it issues a Certificate of Incorporation. That certificate is what gives your organization legal existence.
Register with the BIR
Once you hold the Certificate of Incorporation, register with the Bureau of Internal Revenue using BIR Form 1903, the application form for corporations and associations.4Bureau of Internal Revenue. BIR Form 1903 – Application for Registration for Corporations and Associations This gives you a Taxpayer Identification Number and registers your books of accounts, the ledgers you’ll use to record every donation and expenditure. BIR registration is mandatory even though you intend to apply for tax exemption later; the two are separate steps.
Get a DSWD License to Operate if You Deliver Social Services
Charities providing residential care, feeding programs, disaster relief, or community-based support must obtain a License to Operate from the Department of Social Welfare and Development. Apply through the DSWD regional office covering your principal address, submitting your SEC registration, work plan, financial plan, and proof that staff and facilities meet DSWD standards. The DSWD Standards Bureau publishes the full documentary checklist online.5Department of Social Welfare and Development. Documentary Requirements for Registration and Licensing of Auxiliary SWDA and Private Social Work Agency Processing timelines vary by region; contact your regional DSWD office for current estimates.
If your organization does not deliver social welfare services directly, this step does not apply to you. A purely grant-making entity, for example, registers with the SEC and BIR but does not necessarily need a DSWD license.
Secure Local Government Permits
Even non-profits need a Barangay Clearance from the local neighborhood council where the office is located, confirming no unresolved complaints against the organization. Fees typically run between ₱50 and ₱100, and the process usually takes under 15 minutes at the barangay hall.
With the Barangay Clearance in hand, apply for a Mayor’s Permit (also called a Business Permit) from the city or municipality’s Business Permits and Licensing Office. Under the Local Government Code (Republic Act No. 7160), this permit is required for any entity operating from a physical office. You’ll need the SEC Certificate of Incorporation, Barangay Clearance, proof of occupancy for the office space, and a Community Tax Certificate.
Apply for Tax-Exempt Status Under Section 30
Registration alone does not make the organization tax-exempt. Income tax exemption requires a separate ruling from the BIR under Section 30 of the National Internal Revenue Code, which lists eleven exempt categories. Most charities qualify under category (E): a non-stock corporation organized and operated exclusively for religious, charitable, scientific, athletic, or cultural purposes, where no part of net income benefits any member, organizer, officer, or specific person.6Bureau of Internal Revenue. Revenue Memorandum Order 38-2019 – Tax Exemption of Non-Stock, Non-Profit Corporations Under Section 30 of the National Internal Revenue Code
The application requires registered Articles of Incorporation, Bylaws, a certification that no income benefits any private individual, and records showing the source of funds and the intended beneficiaries. The word “exclusively” trips up many applicants. It means the organization’s purpose must be entirely charitable, not that the organization cannot earn any revenue. Income earned incidentally to your charitable operations is fine, so long as it flows back into the stated purpose.
Get PCNC Accreditation for Donor Deductions
Tax exemption for the charity is one thing. Making donations tax-deductible for your donors is a separate benefit, and it requires donee institution status with the BIR. Donors giving to accredited donee institutions can deduct the full amount of their cash donations from gross income under Section 34(H)(2) of the National Internal Revenue Code, provided the donee’s administrative expenses stay within 30% of total expenses annually.7Bureau of Internal Revenue. Revenue Memorandum Circular No. 10-2026 Donations to qualifying charitable organizations are also exempt from donor’s tax under Section 101, subject to the same 30% cap.8Chan Robles. National Internal Revenue Code of 1997 – Title III, Chapter II
The gateway is accreditation from the Philippine Council for NGO Certification (PCNC). PCNC evaluates applicants across six areas: organizational purpose, governance and leadership, program management, collaboration, administration, and financial management.9Philippine Council for NGO Certification. Accreditation Depending on the results, certification runs for one, three, or five years. Once PCNC-certified, you register with the BIR as an accredited donee institution. Without that accreditation, the organization can still be tax-exempt itself, but donations to it won’t qualify for the full deduction.
Get a Solicitation Permit Before Fundraising
Public fundraising is regulated separately from incorporation. Any organization soliciting contributions from the public for charitable purposes must first secure a permit from the DSWD under Presidential Decree No. 1564, which requires a written application to the DSWD regional office before any public campaign.10The Lawphil Project. Presidential Decree No. 1564 The regional director can issue a permanent or temporary permit, or deny the application.
Regular solicitation permits are valid based on the submitted project proposal, up to a maximum of one year. During declared states of emergency or calamity, temporary permits are available with shorter processing: up to three months for a regional permit and six months for a national one.11Philippine Information Agency. DSWD Now Accepts Online Applications for Issuance of Solicitation Permits Fundraising without the permit exposes the organization to penalties.
Stay Compliant After Registration
Registration is a start, not a finish. Multiple agencies impose annual filings, and falling behind can cost the organization its legal status entirely.
SEC Annual Filings
Every registered corporation must file Audited Financial Statements (AFS) and a General Information Sheet (GIS) with the SEC each year. For 2026, the AFS deadline for all corporations is June 15, 2026, and the GIS can be filed via the eFAST portal using the 2020 form until May 15, 2026.12Securities and Exchange Commission Philippines. Extended AFS Filing Season Announcement The SEC has suspended monthly late-filing penalties through December 31, 2026 under Memorandum Circular No. 6, Series of 2024, but the suspension does not eliminate the filing obligation.13Securities and Exchange Commission Philippines. SEC Suspends Monthly Penalties for Late, Non-Filing of Reports
The consequences of persistent non-filing are serious. A corporation that fails to submit its AFS or GIS three times within a five-year period, whether consecutively or intermittently, receives a Delinquent Status from the SEC. The organization then has six months to file a petition to lift the delinquency and submit all overdue reports along with corresponding fines. Miss that six-month window and the SEC revokes the certificate of incorporation. Rebuilding from a revocation is far more expensive than staying current on filings.
DSWD Annual Reportorial Requirements
Organizations holding a DSWD Certificate of Registration and License to Operate must submit Annual Reportorial Requirements (ARR) no later than March 31 each year. For 2026, submission is by email to the Standards Bureau, with forms and templates available on the Standards Bureau microsite.14DSWD Region IV-A. Calling All Social Welfare and Development Agencies – Annual Reportorial Requirements Missing the ARR can jeopardize license renewal and, ultimately, the organization’s ability to keep delivering services.