The Department of Labor and Employment (DOLE) on Monday, November 5, reminded airline companies not to collect any travel tax and terminal fees from overseas Filipino workers (OFWs) as they are exempted from such fees.
Citing Presidential Decree No. 1183 and the Migrant Workers and Overseas Filipino Act, labor secretary Silvestre Bello III reiterated to the Civil Aviation Board (CAB) that both local and foreign airline companies must not include travel tax and terminal fees in plane tickets purchased by OFWs.
Bello also called for the refund of at least P500 million worth of terminal fees and another P500 million worth of travel tax that airline companies had previously collected from OFWs.
“We already sent a letter to CAB to request for the turnover of the collected terminal fees to OWWA (Overseas Workers Welfare Administration). As for the [travel] tax exemption, airlines are still collecting it from OFWs even if the latter have been long exempted from paying it. Now, OFWs are supposed to get a refund [from their paid travel taxes], but oftentimes, they are excited to reach their destination so they skip getting their due refund,” Bello said.
Bello said that OFWs can still claim their terminal fee refund by visiting the OWWA office and presenting their Overseas Employment Certificate (OEC).
The Php500 million travel tax, meanwhile, will be used for OWWA funding for OFWs.
Currently, passengers are required to pay travel tax of Php1,620 for those boarding economy and business class flights and Php2,700 for first class flights.
OFWs, meanwhile, are exempted from paying travel taxes, documentary stamp tax, and airport fees as per the Migrant Workers and Overseas Filipinos Act of 1995.
