House Panel Moves Travel Tax Abolition Bill to 2nd Reading Approval

Filipinos are one step closer to skipping the P1,620 airport fee after the House of Representatives approved a bill to abolish the mandatory travel tax on second reading.

Mandatory travel tax is a small but nagging expense that eats into your pocket money for food or souvenirs. That extra cost is finally on the verge of disappearing. On Wednesday, 11 March 2026, House Bill No. 8464 was approved via voice vote during the plenary session. This move brings the country much closer to removing the fixed charges that have been a financial weight on Filipino travellers for decades.

Savings for passengers when travel tax is removed

^{Image credit: Manila International Airport Authority}

If the bill is officially enacted, it will stop the government from collecting these fees at the airport. For an ordinary Filipino family or an OFW heading back to work, the savings add up quickly. Economy class passengers will save P1,620 per trip, while those flying in first class will keep P2,700 in their pockets.

The measure moved quickly through the house panel this week. It cleared the Committee on Ways and Means on Tuesday and the Committee on Appropriations on Wednesday morning before reaching the plenary. Majority Leader Ferdinand Alexander Marcos, the author of the proposal, noted that the tax is an outdated burden that restricts the mobility of Filipinos who simply want to travel for work or family.

Also read: House Panel Approves Bill to Remove Travel Tax for Filipinos

Replacing the P8 billion travel tax revenue

While the news is a relief for passengers, the government has to figure out how to replace the money that the tax currently generates. Every year, the travel tax brings in about P8 billion. This money is split between the Commission on Higher Education (CHEd), the National Commission for Culture and the Arts, and the Tourism Infrastructure and Enterprise Zone Authority.

Because these funds support the Higher Education Development Fund, the House Committee on Appropriations is working with the Department of Finance. They have committed to finding other ways to bridge the funding gap so that schools and arts programmes do not lose their support. Chairperson Mikaela Angela Suansing reiterated that economic managers have vowed to help bridge the funding vacuum caused by the proposed abolition.

Also read: Removing Travel Tax Could Generate ₱22 Billion Per Year in the Philippines

Expected timeline for travel tax abolition

^{Image credit: Manila International Airport Authority}

The abolition of the travel tax is one of the 21 priority bills for the current administration. Because it is being fast-tracked, the Palace expects Congress to pass these measures by June 2026, just in time for the next State of the Nation Address.

For now, the bill still needs to pass a third reading in the House before it moves to the Senate. Once it clears both chambers and gets the President's signature, the days of queuing at a tax booth at the airport will finally be over.

The House approval to remove the travel tax is a practical win for OFWs and tourists alike. By cutting the P1,620 or P2,700 fee, the government is making international travel more affordable for every Filipino family. Keep an eye on the Senate's progress to see exactly when you can stop paying this fee at the airport.

^{Featured image credit: Elena Photo via Canva Pro}