A new bill has been introduced in the House of Representatives that would provide a 50% discount on remittance fees for overseas Filipino workers (OFWs). House Bill 4469, was co-authored by Representative Paolo Duterte, Benguet Rep. Eric Yap, and ACT-CIS Partylist Reps. Jeffrey Soriano and Edvic Yap.
“The billions of dollars in remittances sent home by our OFWs, our modern-day heroes, have always been one of the country’s major economic drivers. The money they send home helped the country ride out the economic shock triggered by the COVID-19 pandemic, so it is important that we protect their hard-earned earnings,” said Duterte in a statement.
The bill would also make it mandatory for OFWs and their families to attend financial education seminars conducted by the government. The total deductions that can be claimed from the discount would be capped at PHP24,000 per OFW per taxable year. If passed, the bill would provide a significant financial benefit to OFWs and their families, who often rely on remittances to support themselves.
“The hefty reduction in OFW remittance fees is possible and can even be lowered further with the use of technology, as shown by the innovations done by financial technology developers who use mobile apps and other digital platforms to offer zero transaction fees and reasonable foreign exchange rates in processing remittances,” he added.
