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Prez Marcos approves implementation of VAT Refund Program for foreign tourists
Prez Marcos approves implementation of VAT Refund Program for foreign tourists
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Prez Marcos approves implementation of VAT Refund Program for foreign tourists
by Bea Jaurigue29 January 2023
Photo Courtesy: REUTERS

In order to increase tourists in the country, President Ferdinand ‘Bongbong’ Marcos Jr. has approved the VAT Refund Program for foreign visitors in the country by 2024, following the Private Sector Advisory Council’s (PSAC) “Quick Wins” recommendations.

Other “Quick Wins” recommendations by PSAC that are approved by the President are the e-visa by this year, 2023, prioritizing China and India; and the replacement of One Health Pass with e-ARRIVAL card. Also part of the suggestions is the revocation of advisories and announcements in the airport and the automatic tax inclusion in all airline tickets.

The President is yet to publish an executive order about the implementation of the program.

Last January 26, PSAC presented the recommendations to the President during a meeting in Malacañang. These proposals are aimed to promote the tourism industry and investments, upgrade the airport infrastructure and operations, as well as, managing the national brand and image.

Aside from these, an app called e-Travel is in the works and will be out by January or February. The program will combine all the data on immigration, customs, health, and quarantine. It will also be more convenient for groups or families since data input will be easier. Tourist destinations, transport and hotel information, and traffic conditions will also be included in the database, according to PSAC authorities when they presented the app to the President.

If tourists have a Wi-Fi connection, they may complete their form via the app before boarding or while onboard.

Adding to this, the President explained the significance of digitalization wherein tourists can be more comfortable in filling out forms while allowing authorities to ensure security.

PSAC consists of business leaders and industry experts giving guidance to the President in gaining the economic objectives through the 6 factors which are agriculture, digitalization, healthcare, infrastructure, jobs generation, and tourism.

Meanwhile, from February to December 2022, the country recorded 2.65 million visitors which was higher than the 2021 record but lower than the pre-pandemic record.

For this year, the Department of Tourism (DOT) aims to welcome 4.8 million visitors which can possibly generate a revenue of ₱2.58 trillion

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