Senator Kiko Pangilinan has filed a bill to abolish the travel tax in the Philippines. The measure aims to alleviate economic burdens on Filipinos and stimulate tourism. President Ferdinand Marcos Jr. has declared it a priority legislation.
In a statement on Tuesday, February 17, Senator Kiko Pangilinan announced that Senate Bill 1843 seeks to abolish the travel tax to remove barriers to Filipinos' right to travel. The bill's explanatory note states, "By lowering the cost of international travel, we expect to stimulate passenger volume, increase spending on transport, accommodation, food, and services, and generate positive spillovers across the economy."
It adds, "Increased travel activity also strengthens people-to-people exchanges and supports the Philippines' positioning as a competitive and accessible destination."
The current travel tax stands at P2,700 for first-class passengers and P1,620 for economy class. Pangilinan noted that programs funded by the tax should instead be supported by the Tourism Infrastructure and Enterprise Zone Authority (TIEZA), an agency attached to the Department of Tourism. If enacted, the bill would repeal the relevant provision in the Tourism Act of 2009 and provide tax refunds to passengers with trips scheduled on or after its effectivity.
Senator Joel Villanueva had filed his own version of the bill earlier. He remarked, "Public policy must evolve with economic reality. The time is ripe for the removal of the travel tax because it is an outdated burden, and this policy shift positions our country as an open and connected economy in the region."
Recently, President Ferdinand Marcos Jr. identified the abolition of the travel tax as priority legislation, urging lawmakers to pass it promptly.
