Travel tax in Philippines for Filipino professionals

Legal General Legal Matters
1

I was wondering if there are any Filipino professionals (who are on direct hire here in Taiwan) who knows the exact rule on paying travel taxes when visiting the Philippines. Online searches give a lot of info on migrant workers but I’m not sure if that applies to white collar professionals.

In my first few years here, I just had to present my ARC and I didn’t have to pay the travel tax. Makes sense. Some of those years were spent as a student.

Suddenly, a few years back, I was denied boarding unless I applied for an OWWA membership. My friends here in Taiwan who worked on white collar jobs said that it isn’t necessary. BUT, one of them has an APRC and the other has worked here for 30 years, so I’m not sure if what they’re saying is valid. And then, a couple of years after that, when it was time to renew the OWWA membership, someone said I should get an OEC if I want to exit the Phils. without having to pay for travel tax or terminal fee. Granted, that was said by a migrant worker but I thought, since I have to have an OWWA membership, then I have to have an OEC.

But, the thing that really gets me is that nobody actually checked these documents when I arrived at the airport. I know because the documents are separate from the passport. I had it with me in a folder but nobody asked for it. They did ask for my ARC. If it’s just the money, then it’s fine (more or less the same either way) but it also takes a lot of time to get these documents processed. I’m working in a normal office so I don’t have the luxury of taking time off on office hours.

Can someone clarify how this works? I have a feeling I’m getting cheated here. The accounts on all sides are just so contradictory. Oh, and I just found out today that OWWA membership is voluntary for my case. See?

2

Thank you for bringing this up. I am also a direct hire from the Philippines. Thanks to your post, I checked the MECO website and learned that we (you and me) seem to qualify for the Travel Tax Exemption

[quote=“Someone in MECO”]Travel taxes are imposed on Filipinos who travel abroad. However, Filipinos traveling to other countries for the purpose of employment are exempted.[quote]

I will ask some friends I have in MECO for their advice. I suggest you contact MECO directly as well about your own situation. For me, I paid the travel tax when I flew out last month, and it was much lower than the travel tax posted on the desk in the airport in Manila. I didn’t question why because I was rushing to get back to my family, who I left at the airline check-in counter - instead, I was grateful the the BIR people at the tax desk were mindful enough of my passport to know not to charge me the stated travel tax.

Here is the form to submit to MECO in order to get the travel tax exemption. Let’s keep each other posted about this

http://meco.ph/mecog/downloads/Travel%20Tax%20Exception.pdf

3

Hi Goose Egg,

So, you didn’t have an OWWA membership and were able to fly out? When was this (roughly, if you don’t mind me asking)?

I know that because of protests in HK, the government changed the rule this year such that OWWA membership has become voluntary in relation to obtaining an OEC. Prior that that, everyone had to get one (or so I was led to believe). AND still prior to that, my experience was very much the same as what you described (just present the ARC or visa and you get automatic travel tax deduction).

4

[quote=“manila”]Hi Goose Egg,

So, you didn’t have an OWWA membership and were able to fly out? When was this (roughly, if you don’t mind )[/quote]
Just last August. Heading back again next week. If I run into any problems coming back, I’ll let you know

5

I have had the same problem as the OP before. The frustrating thing is that sometimes the interpretation of the law depends on the mood of the Immigration Officer you have approached. For some, just telling them that you are a resident of Taiwan, and showing them the discounted travel tax would do. However on one occasion, the immigration officer insisted that I need to get an OEC before I can exit. Note that I was a direct hire more than 15 years ago and never even went to POEA for any document. Since I was boarding a 10PM flight (Cebu Pacific) on a Sunday, there were no POEA personnel in the airport anymore. Therefore, I had to shell out some grease money (lagay) so that I can be escorted to the boarding area. Since then, I just apply for OEC here in Taipei MECO whenever I need to go back to the Philippines to avoid this kind of hassle.

6

[quote=“manila”]I was wondering if there are any Filipino professionals (who are on direct hire here in Taiwan) who knows the exact rule on paying travel taxes when visiting the Philippines. Online searches give a lot of info on migrant workers but I’m not sure if that applies to white collar professionals.

In my first few years here, I just had to present my ARC and I didn’t have to pay the travel tax. Makes sense. Some of those years were spent as a student.

Suddenly, a few years back, I was denied boarding unless I applied for an OWWA membership. My friends here in Taiwan who worked on white collar jobs said that it isn’t necessary. BUT, one of them has an APRC and the other has worked here for 30 years, so I’m not sure if what they’re saying is valid. And then, a couple of years after that, when it was time to renew the OWWA membership, someone said I should get an OEC if I want to exit the Phils. without having to pay for travel tax or terminal fee. Granted, that was said by a migrant worker but I thought, since I have to have an OWWA membership, then I have to have an OEC.

But, the thing that really gets me is that nobody actually checked these documents when I arrived at the airport. I know because the documents are separate from the passport. I had it with me in a folder but nobody asked for it. They did ask for my ARC. If it’s just the money, then it’s fine (more or less the same either way) but it also takes a lot of time to get these documents processed. I’m working in a normal office so I don’t have the luxury of taking time off on office hours.

Can someone clarify how this works? I have a feeling I’m getting cheated here. The accounts on all sides are just so contradictory. Oh, and I just found out today that OWWA membership is voluntary for my case. See?[/quote]

Well, as far as I know, all OFWs are exempted to pay the travel tax whether it is blue or white collar job. It does not matter if you are direct hire or not.
As long as you had granted a residency(or a job) bind with any working contracts/permits (e.g. the ARC), then you are exempted. Unless if you obtained the Permanent residency (e.g. APRC).

Regarding on OWWA, I think it is voluntary as far as I know. But I don’t know now if they have a new rule.
My friend and I who are working here in Taiwan as while collar job failed to pay our OWWA contributions long time ago before we even got our APRC.
So, every time we plan to have a vacation in the Philippines, we just apply first for OEC in MECO. And every time we exited the Philippines we will just show our OEC and ARC. I hope this can helps. :slight_smile:

7

I am a Filipino Professional directly hired here in Taiwan. And Dasaint is correct, you have to apply not only for your OWWA but also for your OEC, not just once, but every time you go back home in order for you to be exempted for Travel tax… Not only that, also for the purpose of “protecting” us against fraudulent employers, etc…

I’ve been doing this since I started working back in 2012… (I used to use my School ID to get myself exempted for such fees! :roflmao: )

Well, at least, applying for an OEC here is way way faster than applying it back in the Philippines… :thumbsup:

Anyways! Keep on Rocking Pinoy Expats! :slight_smile: :thumbsup: