Senat Offer of tieS wettin TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES ) First Regular Session ) 26 FEB 11 P4:36 SENATE RECEIVED BY: 1843 S. No. _ Introduced by Senator FRANCIS N. PANGILINAN AN ACT ABOLISHING THE TRAVEL TAX EXPLANATORY NOTE The right to travel is guaranteed under Article III, Section 6 of the 1987 Constitution. While the travel tax does not formally restrict this right, the current travel tax regime imposes a mandatory financial charge that effectively conditions mobility on one's economic status. For many Filipino households, this tax represents an additional cost to an already costly undertaking. Travelers are currently charged a travel tax of P2,700.00 for first-class passage and P1,620.00 for economy class. As a fixed charge, its economic burden is borne unevenly across travelers, disproportionately affecting those with limited means. This measure seeks to abolish the travel tax to reduce the cost of travel, promote mobility, and support tourism and related industries. 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. Increased travel activity also strengthens people-to-people exchanges and supports the Philippines' positioning as a competitive and accessible destination. It likewise mandates that the budgetary requirements of concerned agencies be funded through the General Appropriations Act to ensure the continued funding of tourism, cultural, and education-related programs. This approach preserves program continuity while ensuring that the burden of financing national priorities is transparently considered within the regular budget process, rather than imposed directly on travelers. In view of the foregoing, the passage of this bill is earnestly sought.
Sena'g o Other of the Santiary TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES First Regular Session FEB 11 P4:36 SENATE RECEIVED EY 1843 S. No. _ Introduced by Senator FRANCIS N. PANGILINAN AN AC ABOLISHING THE TRAVEL TAX Be it enacted by the Senate and the 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. Repeal of Travel Tax. - The travel tax imposed under Presidential
Decree No. 1183, as amended, and Section 73 of Republic Act No. 9593, otherwise known as the "Tourism Act of 2009" is hereby abolished. No government agency or private entity shall collect travel taxes upon the effectivity of this Act.
SEC. 3. Refund of Prepaid Travel Tax. - Any passenger who has paid the travel
refund. The Tourism Infrastructure and Enterprise Zone Authority (TIEZA) shall refunds within thirty (30) days from the effectivity of this Act.
SEC. 4. Appropriations. - The amount necessary for the programs funded by
the travel tax collections and for the implementation of this Act shall be charged to the respective appropriations under the current General Appropriations Act (GAA) of the Department of Tourism for the TIEZA, the Commission on Higher Education (CHED) for the Higher Education Development Fund, and the National Commission for Culture and the Arts (NCCA) for the National Endowment Fund for Culture and the Arts. Thereafter, such sums shall be included in the annual GAA.
SEC. 5. 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. 6. Separability Clause. - If any provision of this Act is declared invalid or
unconstitutional, the other provisions not affected by such declaration shall remain in full force and effect.
SEC. 7. Repealing Clause. - All laws, decrees, executive orders, rules, and
regulations inconsistent with the provisions of this Act are hereby repealed or modified accordingly.
SEC. 8. Effectivity. - This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation. Approved,