Congressman Sandro Marcos seeks abolition of travel tax

It's about time? HOUSE Majority Leader Ferdinand Alexander "Sandro" A. Marcos has filed a new bill aiming for the immediate abolition of the travel tax.

Photo from the Facebook page of Rep. Sandro Marcos

Sandro Marcos: Abolish travel tax

The Ilocos Norte representative said that the levy has outlived its purpose and now works against the country's goals of economic recovery, mobility, and regional competitiveness.

Marcos filed House Bill (HB) No. 7443, which seeks to abolish the travel tax and directly addresses the everyday burden faced by Filipino travelers. Under the bill, travel tax charges of PHP 2,700 for first-class and PHP 1,620 for economy travelers under PD 1183 and the Tourism Act of 2009 end.

Marcos said that travelers and families could otherwise spend the tax on basic needs or local economic activity instead.

According to the legislator, the Philippines now stands apart in the region, with several ASEAN countries having eliminated similar travel charges to encourage tourism, commerce, and cultural exchange. He added that maintaining the travel tax runs counter to regional commitments aimed at easing movement within Southeast Asia.

Marcos stressed that ending the travel tax won't cut support for tourism, culture, or education. 

Agencies like TIEZA, CHED, and NCCA will get funds sourced instead from the General Appropriations Act.

Marcos said that the other benefit of this bill, when passed into law, is that travel costs would help stimulate tourism-dependent industries, including hotels, transport services, and small businesses that rely on visitor spending, while also encouraging more Filipinos to explore domestic destinations.

The travel tax was created in a very different economic context. Today, it has become an added cost that restricts mobility and weighs heavily on ordinary Filipinos who simply want to travel for work, family or opportunity, Marcos stressed.

When travel becomes more expensive, fewer people move, fewer people spend and fewer opportunities circulate through the economy. Lowering the cost of travel allows Filipino families to allocate their money where it matters most, Marcos explained.

A tax that discourages travel also discourages growth. If our neighbors are opening doors and reducing barriers, we should not be holding on to policies that place us at a disadvantage, Marcos pointed out.

Public programs should be sustained through transparent budgeting, not through charges that disproportionately affect travelers. This approach ensures continuity of funding while removing an unnecessary burden on the public, Marcos said. 

Travel is not a luxury for many Filipinos, Marcos said. It is part of how families stay connected and how workers sustain their livelihoods.

Read the bill filed below.

House Bill No. 7443

What do you guys think?