President Ferdinand Marcos Jr. has signed a law allowing non-resident tourists to claim value-added tax (VAT) refunds on their purchases in the Philippines. The initiative aims to encourage visitors to spend more and support the country’s bid to become a shopping destination.
Under the new law, foreign tourists who make a minimum purchase of ₱3,000 ($52) at accredited establishments can apply for a tax refund, provided they take the items out of the country within 60 days.
Marcos expressed optimism that the legislation would enhance tourism spending by 30 percent. “This initiative opens a new chapter in our tourism landscape, allowing our country to compete with other tourism markets and attract tourists eager to take home authentic, high-quality Filipino products,” he said during the signing ceremony.
The move comes as the Philippines seeks to revitalize its tourism sector amid slow recovery in arrivals from China. From January to October this year, the Philippines recorded 4.5 million tourist arrivals, significantly trailing Thailand’s figures for the same period.
