Intrepid Wanderer

GPBT and Common Carrier Tax Waived, Expect More Tourists


The Senate ratified on Wednesday a bicameral conference committee report waiving the 3% common carriers’ tax and 2.5% Gross Philippine Billings Tax (GPBT) slapped on foreign airlines and on cargo and passenger revenues originating from the Philippines.

Skyjet British Aerospace 146

Skyjet British Aerospace 146

But under the proposed reciprocity clause, the GPBT will only be waived as long as home countries of foreign carriers likewise give a similar tax exemption to Philippine carriers.

Senator Franklin Drilon also said the removal of the taxes will lead to lower traveling costs for Filipinos and lower business costs for domestic carriers with foreign operations.

With the removal of Senate Bill 3343 and House Bill 6022, we can expect a boost tourism in the country.

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