Senate TWENTIETH CONGRESS OF THE Office of the Micretary ) REPUBLIC OF THE PHILIPPINES First Regular Session FEB -5 P5:14 SENATE RECEIVED BY: 1793 Senate Bill No. _ Introduced by Senator Juan Miguel "Migz" F. Zubiri AN ACT ABOLISHING THE TRAVEL TAX EXPLANATORY NOTE Promulgated in 1977, Presidential Decree No. 1183, as amended, provides the legal framework for the imposition of a travel tax on all individuals departing from the Philippines, irrespective of the place where the airplane ticket is issued. Republic Act No. 9593 or the "Tourism Act of 2009" further provides for the allocation of such funds, with fifty percent (50%) of the proceeds accruing to the Tourism Infrastructure and Enterprise Zone Authority, forty percent (40%) accruing to the Commission on Higher Education, and ten percent (10%) accruing to the National Commission for Culture and Arts. Currently, rates go as high as Php 2,700 for First Class Passage and Php 1,620 for Economy Class Passage. This fee can total to as much as Php 6,480 for a family of four wishing to travel outside the country. While we recognize the importance of this tax to the country's revenue generation efforts, the abolishment of the same can also encourage travel, boost tourism, invigorate the economy and bring greater benefits to the sector in the future. It is aligned with the ASEAN Tourism Agreement of 2002, which calls for phasing out travel levies and travel taxes on nationals of ASEAN Member States traveling to other ASEAN Member States. Finally, it is reinforced by no less than the 1987 Constitution, which guarantees every Filipino's right to travel. This measure seeks to abolish the travel tax as imposed under PD No. 1183, as amended, and Section 73 of RA No. 9593, and provides for an alternative funding source for those agencies affected to ensure the continuity of projects and programs under the same. In view of the foregoing, the immediate passage of this measure is earnestly sought. JUAN MIGUEL "MIGZ" F. ZUBIRI
Senate Office of the Beretary TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES ) First Regular Session FEB -5 P5:14 SENATE RECEIVED BY: Senate Bill No. 1793 Introduced by Senator Juan Miguel "Migz" F. Zubiri AN ACT ABOLISHING THE TRAVEL TAX Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
SECTION 1. Short Title. - This Act shall be known as the "Travel Tax Abolition
Act of 2026."
SEC. 2. Prohibition and Refund. - No government agency or private entity shall
collect travel taxes upon the effectivity of this Act. For flights scheduled on or after the date of effectivity, the collecting authority shall immediately refund any previously paid travel taxes to the passenger.
SEC. 3. Budget and Alternative Funding. - To ensure the continuity of programs
previously funded by travel tax collections, the national government shall provide the necessary funding for the following agencies through the annual General Appropriations Act (GAA): 1. The Tourism Infrastructure and Enterprise Zone Authority (TIEZA) for tourism development projects; 2. The Commission on Higher Education (CHED) for tourism-related higher education development funds; and 3. The National Commission for Culture and the Arts (NCCA) for the National Endowment Fund for Culture and the Arts.
SEC. 4. Implementing Rules and Regulations. - Within sixty (60) days from the
approval of this Act, the TIEZA, in coordination with the Department of Budget and Management (DBM), shall promulgate the rules and regulations necessary for the efficient implementation of the tax refund and the transition to GAA- based funding.
SEC. 5. Separability Clause. - If any provision of this Act is declared
unconstitutional, the remainder thereof not otherwise affected shall remain in full force and effect.
SEC. 6. Repealing Clause. - The State hereby abolishes the travel tax as
imposed under Presidential Decree No. 1183, as amended, and Section 73 of Republic Act No. 9593, otherwise known as the "Tourism Act of 2009". All laws, presidential decrees, executive orders, letters of instruction, proclamations, or
administrative orders, rules or regulations that are inconsistent with the provisions of this Act are hereby repealed or modified accordingly.
SEC. 7. Effectivity. - This Act shall take effect fifteen (15) days following its
publication in the Official Gazette or in a newspaper of general circulation. Approved,