A bill seeking to abolish the long-standing travel tax moved a step closer to plenary consideration after the House Committee on Ways and Means on Monday approved the unnumbered substitute measure consolidating several proposals to scrap the levy.
During a hearing presided over by Marikina Rep. Miro Quimbo, House Deputy Majority Leader Ernesto “Ernix” Dionisio of Manila moved for the approval of the substitute bill, filed by lawmakers led by House Majority Leader Ferdinand Alexander “Sandro” Marcos of Ilocos Norte.
“I would like to move now that we approve subject to style sections 2 and 3 of the unnumbered substitute bill of House Bill Nos. 7443, 7367, 7612, 7703, 7757, 150, 3529, 3890, 4793, 5821, 6228, 6979, 7155, 7307, 7631, 7695, and 7758, entitled ‘An Act Abolishing the Travel Tax, I so move Mr. Chair,” Dionisio said.
Hearing no objection, Quimbo declared the motion approved, effectively advancing the measure that seeks to scrap the decades-old levy imposed on departing Filipino travelers.
Representatives from the Department of Finance and the Department of Budget and Management aired support for the proposal during the hearing.
The House Committee on Appropriations will further deliberate on the measure.
Quimbo said that while programs funded by travel tax collections remain important, their funding should come directly from the national budget instead of relying on the number of travelers.
“Dahil importante ito, dapat pinopondohan ito (Because this is important, this should be funded) directly by the National Budget or the General Appropriations Act. The survival of these programs should not be dependent on the number of travelers. They are far too important to be dependent on unpredictable numbers,” he said.
He emphasized that the tax system should remain progressive and should not place an undue burden on ordinary Filipinos.
The substitute bill consolidates several proposals seeking to repeal the travel tax, including HB 7443 filed by Marcos and similar measures authored by other lawmakers.
The proposal seeks to repeal the travel tax imposed under Presidential Decree No. 1183 and related provisions of the Tourism Act of 2009, with funding for programs currently supported by the levy to be provided through the General Appropriations Act.
Earlier, the House Committee on Tourism, chaired by Romblon Rep. Eleandro Jesus Madrona, approved measures seeking the abolition of the travel tax.
Travel tax collections currently fund programs of the Tourism Infrastructure and Enterprise Zone Authority, the Commission on Higher Education and the National Commission for Culture and the Arts.
Lawmakers backing the measure said abolishing the levy would ease travel costs for Filipinos, particularly middle-class families and young travelers, while ensuring that tourism, education and cultural programs continue to receive funding through the national budget. (PNA)