A 20-wk feeding trial (21 to 40 wk of age) was conducted to evaluate the effects of phytase supplementation on egg production, egg quality, nutrient retention, and P excretion of laying hens fed diets containing different levels of P. Nine hundred and sixty ISA Brown hens were randomly allocated to completely randomized block arrangement of four diets: corn-soybean diet (1.4% tricalcium phosphate, TCP) without (T1, control) and with phytase (T2); 0.7% TCP (T3) or 0% TCP (T4) diet with phytase. Dietary microbial phytase was added at a level of 500 U/kg. Both hen-day and hen-housed egg production of T2 were significantly (P < 0.05) higher than other treatments, which were not different among themselves. Egg weights were also significantly (P < 0.05) different among treatments ,with T2 being the highest. Feed consumption of T2 was significantly (P < 0.05) higher than other treatments but feed conversion ratio was not significantly different from others. Specific gravity and shell thickness of the eggs were highest in the control (T1) but eggshell strength and broken egg to total egg ratio were not different among treatments. Haugh units were not different among treatments. Retention of Ca, P, Mg, Fe, and Zn were greater (P < 0.05) in phytase-supplemented groups. There were significant (P < 0.05) differences in excretion of ash, P, and Zn. The excretion of these components were highest in the control, whereas P excretion was significantly lower in the T3 and T4 groups. In conclusion, supplementation of the microbial phytase to normal corn-soybean diet improved egg production and can reduce TCP level in the diet without affecting egg production and egg quality. Significant reduction of P excretion can be also achieved.