The Philippines is set to enhance its tourism competitiveness with the implementation of a Value-Added Tax (VAT) refund program for non-resident tourists, a key recommendation from the Private Sector Advisory Council (PSAC).

The Implementing Rules and Regulations (IRR) for Republic Act No. 12079, or the VAT Refund for Non-Resident Tourists Act, were formally signed by Department of Finance (DOF) Secretary Ralph G. Recto, along with Bureau of Customs (BOC) Commissioner Bienvenido Y. Rubio and Bureau of Internal Revenue (BIR) Deputy Commissioner Marissa O. Cabreros. The signing was witnessed by Department of Tourism (DOT) Secretary Christina Garcia-Frasco and Office of the Special Assistant to the President for Investment and Economic Affairs (OSAPIEA) Secretary Frederick D. Go.

“This game-changer for Philippine tourism is a direct response to President Ferdinand R. Marcos Jr.’s call for policies that enhance the visitor experience and drive economic growth,” said Sabin Aboitiz, PSAC Lead Convenor and Aboitiz Group President and CEO. “We commend the government for swiftly acting on PSAC’s recommendations, ensuring that the Philippines remains a competitive global tourist destination.”