Title
Exporters' Travel Tax Exemption EO 589
Law
Executive Order No. 589
Decision Date
Dec 8, 2006
Exporters participating in international trade fairs and missions are exempted from travel tax to promote Philippine exports and enhance economic growth, as mandated by Executive Order No. 589.
A

Scope of Travel Tax Exemption for Exporters

  • Exporters are exempt from paying travel tax when traveling for specific export promotion activities.
  • Covered activities include:
    • Participating in outbound/offshore business matching and selling missions endorsed by the Bureau of Export Trade Promotion (BETP).
    • Attending international trade fairs and exhibitions endorsed by the Center for Trade Expositions and Missions (CITEM), EDC, or accredited exporter organizations.
    • Being official members of Philippine delegations to trade negotiations and international conferences endorsed by the Bureau of International Trade Relations (BITR).
    • Agents or representatives of buyers engaged in marketing Philippine export products internationally.
    • Attending seminars related to technology, productivity, and competitiveness endorsed by the Department of Trade and Industry (DTI).
    • Participating in international trade-related conferences endorsed by the DTI.

Endorsement and Issuance of Certificates

  • Requests for travel tax exemption require endorsement by the EDC.
  • Endorsements are based on recommendations from BETP, CITEM, or EDC-accredited umbrella export organizations.

Procedures for Availing Travel Tax Exemption

  • Exporters must secure a recommendation for travel tax exemption from relevant organizations (EDC-accredited umbrella export organizations, BETP, CITEM, or BITR).
  • The recommending organization approves and submits the recommendation to the EDC Secretariat.
  • The EDC Secretariat endorses the recommendation to the Philippine Tourism Authority (PTA).
  • Exporters claim the Travel Tax Exemption Certificate from the PTA and present it to the carrier or ticket agent when booking tickets.

Financial Limit of the Exemption

  • The total amount of travel tax exemption granted annually for exporters is capped at Twenty Million Pesos (₱20,000,000).

Separability Clause

  • If any provision is declared unconstitutional, the remainder of the Executive Order remains effective as long as it can be implemented independently.

Repeal of Inconsistent Issuances

  • All prior executive orders, rules, regulations, and other issuances inconsistent with this order are revoked, amended, or modified accordingly.

Effectivity

  • The Executive Order takes effect immediately upon publication in a newspaper of general circulation.

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