House bill seeks immediate abolition of travel tax

A bill seeking the immediate abolition of the travel tax has been filed by House Majority Leader Ferdinand Alexander Sandro Marcos of Ilocos Norte, arguing that the levy has outlived its purpose and now works against the country’s goals of economic recovery, mobility, and regional competitiveness.

House Bill No. 7443 seeks to scrap the travel tax and directly addresses what Marcos described as the everyday burden faced by Filipino travelers.

“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 said on Wednesday.

Under the proposed measure, the travel tax imposed under Presidential Decree No. 1183 and related provisions of the Tourism Act of 2009 would be repealed. This would end the collection of fixed charges that currently reach ₱2,700 for first-class passengers and ₱1,620 for economy-class travelers.

Marcos noted that for families, these amounts quickly add up and divert resources that could otherwise be spent on basic needs or circulated within the local economy.

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

The lawmaker pointed out that the Philippines has increasingly become a regional outlier, with many Association of Southeast Asian Nations (ASEAN) member states having already removed similar travel-related levies to stimulate tourism, trade, and people-to-people exchanges.

Maintaining the travel tax, he added, runs counter to regional commitments aimed at easing movement within Southeast Asia.

“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 said.

He clarified that abolishing the travel tax does not mean withdrawing support for tourism, culture, or education—sectors that currently benefit from travel tax collections. Instead, the bill proposes shifting funding for agencies such as the Tourism Infrastructure and Enterprise Zone Authority, the Commission on Higher Education, and the National Commission for Culture and the Arts to the General Appropriations Act.

“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.

The solon added that reducing 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.

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