- The Philippines introduced Republic Act No. 12079 to boost tourism by allowing VAT refunds for non-resident foreign tourists
- Eligible tourists can claim VAT refunds on goods purchased from accredited stores if taken out of the country within 60 days
- Purchases must meet a minimum of ₱3,000 per transaction to qualify for a VAT refund
- The ₱3,000 threshold will be reviewed and possibly adjusted every three years based on the Consumer Price Index
- VAT refunds can be processed either electronically or in cash
- The Department of Finance will hire experienced VAT refund operators to manage the system
- Implementing rules and regulations will be issued within 90 days of the law’s effectivity by various government departments including Finance, Trade and Industry, Transportation, Tourism, Economic Development, Internal Revenue, and Customs
Source: grantthornton.com.ph
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
