The Philippine Travel Tax has been on the news lately for various reasons? But first things first, What is the Philippine Travel and and why it is collected from Filipinos traveling abroad?
Short History
The Philippine Travel Tax was established by Presidential Decree No. 1183, signed on June 17, 1977, during the presidency of Ferdinand Marcos. This decree aimed to generate revenue for the government and support the tourism sector.
Originally intended to support the country’s tourism and cultural heritage programs, the revenue collected from the travel tax is allocated to the National Commission for Culture and the Arts (NCCA) and the National Museum. The aim is to fund cultural preservation, tourism promotion, and related initiatives.
The Philippine Travel Tax is a mandatory fee imposed on travelers leaving the Philippines. Here’s a short overview:
Purpose and Use
- Revenue Generation: The travel tax is primarily intended to generate revenue for the Philippine government. The funds collected are used to support various government projects and services.
- Funding for Tourism and Culture: The tax revenue is specifically allocated to the National Commission for Culture and the Arts (NCCA) and the National Museum. This supports the preservation and promotion of Philippine cultural heritage and tourism.
Who Pays the Tax
Who is required to pay the Philippine Travel Tax?
You are required to pay the travel tax if you are:
– Filipino citizens traveling abroad
– Taxable foreign passport holders
– Non-immigrant foreign passport holders who have stayed in the Philippines for more than a year
- Exemptions and Reductions: Certain individuals are exempt from paying the travel tax or may receive a reduced rate. These include:
- Overseas Filipino Workers (OFWs): They are generally exempt from the travel tax.
- Diplomats and Official Government Delegates: Also exempt from the tax.
- Foreign Diplomats and Officials: Certain foreign nationals on official government business are exempt.
- Children Below 2 Years Old: They do not need to pay the travel tax.
- Special Cases: Special exemptions or reductions may apply under specific agreements or policies.
How and When It Is Paid
- Payment Locations: The travel tax can be paid at designated travel tax counters in Philippine international airports, or at authorized travel tax payment centers and agencies. It can also be settled online through the Philippine Tourism Authority’s website or other authorized platforms.
- Payment Timing: Travelers typically pay the tax at least a few hours before their departure from the Philippines. It’s usually settled at the airport during check-in or at designated travel tax counters before proceeding through immigration.
Rates
- Standard Rates: As of the most recent update, the travel tax rates are as follows:
- For International Travelers: PHP 1,620 for adults, and PHP 810 for children aged 2 to 12 years old.
- For Balikbayans: There are reduced rates for former Filipino citizens and their families.
- Rates Subject to Change: The rates are subject to adjustments by the government, so travelers should verify current rates before travel.
Check the table below to see the detailed rates of the Philippine Travel Tax based on your Airfare
TRAVEL TAX RATES | FIRST CLASS | ECONOMY/BUSINESS CLASS |
Full Travel Tax | P2,700 | P1,620 |
Standard Reduced Travel Tax | P1,350 | P810 |
Privileged Reduced Travel Tax for a Dependent of an OFW | P400 | P300 |
Importance
- Supports Cultural and Tourism Initiatives: The tax helps fund initiatives to preserve and promote Philippine culture and heritage, ensuring the sustainability of tourism-related activities and resources.
- Infrastructure and Services: It contributes to maintaining and improving infrastructure and services that benefit both tourists and local communities.
Travelers should ensure they are aware of the latest regulations and procedures related to the Philippine Travel Tax before their departure to ensure a smooth travel experience.
AND YES, YOU CAN ASK FOR A REFUND on your PHILIPPINE TRAVEL TAX!!!
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