Philippine officials signed the implementing rules and regulations (IRR) for the VAT Refund for Non-Resident Tourists, allowing foreign tourists to claim a refund on value-added tax for goods purchased at accredited stores in the Philippines.
The refund applies to purchases worth at least P3,000, provided the items are taken out of the country within 60 days.
The IRR was signed by Finance Secretary Ralph Recto, Bureau of Customs Commissioner Bienvenido Rubio, and Bureau of Internal Revenue Deputy Commissioner Marissa Cabreros, with Tourism Secretary Christina Garcia-Frasco and Presidential Assistant for Investment and Economic Affairs Secretary Frederick Go in attendance.
“We want more tourists to come — and we want them to stay longer, spend bigger, and transact with convenience,” said Recto during the ceremony.
The Department of Finance (DOF) will partner with internationally recognized VAT refund operators for seamless processing, with refunds available electronically or in cash.
Recto emphasized that increased spending by tourists would boost economic output and create more jobs, benefiting businesses, workers, and government revenues.
This initiative follows the signing of Republic Act 12079 last December by President Ferdinand “Bongbong” Marcos Jr., aimed at enhancing the Philippines’ appeal as a global shopping destination.
Recto concluded, “We’ll be the one ultimate tourist destination they’ll keep coming back to.”
