41 Airlines signed MOA with MIAA to abolish terminal fees

Forty-one airline companies operating in the Philippines have signed a Memorandum of Agreement (MOA) with Manila International Airport Authority (MIAA), Wednesday, March 15, 2017, to totally abolish terminal fees paid by Overseas Filipino Workers (OFWs).

Speaking of the event is Transportation Secretary Art Tugade who relay the message of President Rodrigo Duterte to OFWs and also to airline companies.

Tugade said scrapping terminal fee is a big help to OFWs. Also, this will manifest President Duterte's love and concern to our modern day heroes.

Through Tugade, Duterte also gives thank to all airlines who give heed to the calling of Department of Labor and Employment (DOLE) to stop incorporating terminal fees in airline tickets of OFWs.

It was last March 3, 2017, when DOLE Secretary Silvestre Bello III ordered Civil Aviation Authority in the Philippines (CAAP) and airline companies to stop the illegal collection of terminal fees and travel tax from OFWs.

Bello reiterated that OFWs should be exempted in paying travel tax and terminal fee pursuant to Presidential Decree No. 1183, Republic Act 8042 or Migrant Workers Act and Overseas Filipino Act of 1995, as amended by Republic Act 10022.

(Watch: DZMM TeleRadyo: OFWs exempted from terminal fee starting April 30 - MIAA)

Refund counters will still be provided by MIAA until 4/29/18. (2) pic.twitter.com/6Z6cIaMJhT

— Rie Takumi (@rie_takumi) March 15, 2017

 Here is the list of airlines that operates in the Philippines and has signed a memorandum of agreement together with MIAA to abolished terminal fees.

The implementation of the MOA will take place on April 30 this year which means that when an OFWs buy a ticket starting the said date, he or she will no longer be charged P500 terminal fee.

• Air Asia
• Air Asia Zest
• Air China
• Air Niugini
• All Nippon Airways
• Asiana Airline
• Cathay Pacific
• Cebu Pacific Air
• China Airline
• China Eastern Airline
• China Southern Airlines
• Delta Air
• Dragonair
• Emirates Airlines
• Ethiopian Airline
• Etihad
• Eva Air
• Gulf Air
• Japan Airlines
• Jeju Air
• Jet Star Asia
• Jin Air
• KLM Royal Dutch Airlines
• Kuwait Airlines
• Malaysian Airlines
• Mandarin Airlines
• Oman Air
• PAL Express
• Philippine Airlines
• Qantas Airlines Qatar Airways
• Royal Brunei
• Saudia Airlines
• Skyjet
• Singapore Airlines
• Silk Air
• Thai Airways
• Tiger Air
• Tiger Airways
• Turkish Airlines
• United Airlines
• Xiamen Airlines

Earlier the Emirates airline confirmed that they will comply laws in the Philippines concerning migrant workers.

It is confirmed by a spokesperson of the UAE-based aircraft that expatriates from the Philippines will no longer have to pay for extra aviation fees when they book flights with Emirates Airlines.

It means, Filipinos won't be obliged to pay the local travel tax and terminal fees. This is an equal to P1,620 or Dh118 per economy class passenger while airport fee can cost P750 pesos (Dh55).

To avail such exemptions, OFWs should present their Overseas Employment Certificate (OEC) at the time of booking or prior to departure.

SEE MORE:

Read More: No More Terminal Fee Integrated on Air Tickets Purchased by OFWs Starting April 2017

The P550 terminal fee that is being integrated with the air ticket purchased by the OFWs will no longer be charged starting April 2017. This is a promise made by MIAA General Manager Ed Monreal to the public and to the OFWs as a response to the request of President Rodrigo Duterte to lift the burden of the OFWs shouldering the terminal fee whereas the law stated that they are exempted to pay such fees.That was according to the news dated November 29 last year. This year, that promise is about to be fulfilled in just a matter of days.
Read more: http://www.jbsolis.com/2017/03/NO-MORE-TERMINAL-FEE-for-ofws-starting.html#ixzz4bQvQA4jL

Read Also: DOLE SECRETARY BELLO: Stop Collecting Terminal Fee and Travel Tax from OFWs

The Department of Labor and Employment (DOLE) is asking airline companies particularly the Civil Aviation Authority of the Philippines (CAAP) to implement the exemption of Overseas Filipino Workers (OFWs) in paying travel tax and terminal fee.In his letter to Captain Jim C Sydiongco, director general of CAAP, DOLE Secretary Silvestre Bello III, reiterated that OFWs should be exempted in paying travel tax and terminal fee pursuant to Presidential Decree No. 1183, Republic Act 8042 or Migrant Workers Act and Overseas Filipino Act of 1995, as amended by Republic Act 10022.

Read more: http://www.jbsolis.com/2017/03/dole-bello-to-caap-stop-collecting-terminal-fee-travel-tax-from-ofws.html#ixzz4bQw06Lxh

See Also: WORLD'S SAFEST AIRLINE FOR 2017

For the fourth year in a row, Qantas Airline from Australia has been named as the world’s safest airline by AirlineRatings.com, the world’s only safety, and product rating website.

Read more: http://www.jbsolis.com/2017/01/worlds-safest-airline-for-2017.html#ixzz4bR8mtiOu

©2017 THOUGHTSKOTO

Requirements and Fees for Reduced Travel Tax for OFW Dependents

If you will travel anywhere in the world from the Philippines, you must be aware about the travel tax that you need to settle before your flight.

What is a travel tax?
According to TIEZA ( Tourism Infrastructure and Enterprise Zone Authority), it is a levy imposed by the Philippine government on individuals who are leaving the Philippines, as provided for by Presidential Decree (PD) 1183. 

A full travel tax for first class passenger is PhP2,700.00 and PhP1,620.00 for economy class. For an average Filipino like me, it’s quite pricey. Overseas Filipino Workers, diplomats and airline crew members are exempted from paying travel tax before but now, travel tax for OFWs are included in their air ticket prize and can be refunded later at the refund counter at NAIA.

However, OFW dependents can apply for  standard reduced travel tax. Children or Minors from 2 years and one (1) day to 12th birthday on date of travel.

Accredited Filipino journalist whose travel is in pursuit of journalistic assignment and 

those authorized by the President of the Republic of the Philippines for reasons of national interest, are also entitled to avail the reduced travel tax.

For privileged reduce travel tax, the legitimate spouse and unmarried children (below 21 years old) of the OFWs are qualified to avail.

How much can you save if you avail of the reduced travel tax?

A full travel tax for first class passenger is PhP2,700.00 and PhP1,620.00 for economy class. Paying it in full can be costly. With the reduced travel tax policy, your travel tax has been cut roughly by 50 percent for the standard reduced rate and further lower  for the privileged reduce rate.

How much is the Reduced Travel Tax?

	First Class	Economy
Standard Reduced Rate	P1,350.00	P810.00
Privileged Reduced Rate	P400.00	P300.00

Payments can be made at any branch listed here:

Image from TIEZA

This article is filed under: OFW News, Travel Tax, OFW Dependents, Reduced Travel Tax, Reduced Travel Tax Fees, Reduced Travel Tax Requirements

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©2017 THOUGHTSKOTO

DOLE SECRETARY BELLO: Stop Collecting Terminal Fee and Travel Tax from OFWs

The Department of Labor and Employment (DOLE) is asking airline companies particularly the Civil Aviation Authority of the Philippines (CAAP) to implement the exemption of Overseas Filipino Workers (OFWs) in paying travel tax and terminal fee.

LOOK: Department of Labor and Employment pushes for the exemption of OFWs from travel tax, terminal fees or reimburse if any@DZMMTeleRadyo pic.twitter.com/cTQRZQR0im

— Dexter Joie Ganibe (@dzmmRP45) March 3, 2017

In his letter to Captain Jim C Sydiongco, director general of CAAP, DOLE Secretary Silvestre Bello III, reiterated that OFWs should be exempted in paying travel tax and terminal fee pursuant to Presidential Decree No. 1183, Republic Act 8042 or Migrant Workers Act and Overseas Filipino Act of 1995, as amended by Republic Act 10022.

In the same letter, the DOLE chief said that the travel tax and the terminal fee are incorporated in the cost of plane tickets issued to OFWs.

Bello is asking Sydiongco to make a necessary representation of his office to concerned government offices in different airport terminals to cease and desist from collecting travel tax and terminal fees on OFWs.

Bello said, while some OFWs are refunded with these travel tax and fees at the airport before departure, most of them are not refunded with the same due to lack of awareness or lack of material time to process their claim for refund in the airport.

DOLE is also requesting CAAP to transfer the travel tax and fees collected from OFWs which were not refunded to them to Overseas Welfare Workers Administration (OWWA).

On his separate letter to DOLE, Undersecretary Dominador Say, Bello instructed the official to coordinate with CAAP for an automatic mechanism to take effect the exemption of OFWs from paying travel tax and terminal fees, along with the immediate reimbursement of such fees past due to OFWs.

FULL COPY OF THE LETTER HERE

©2017 THOUGHTSKOTO

Steps on How to Pay Your Travel Tax Online

According to Presidential Decree 1183, as amended, a travel tax also known as departure tax is imposed or collected when you leave the Philippines regardless of your country destination.

For Overseas Filipino Workers, they are exempted in paying travel tax and their dependents may enjoy the Privileged Reduced Travel Tax.

1. How much is the travel tax?

Individuals may be charged the full travel tax, standard reduced travel tax, and the privileged reduced travel tax:

2. Who pays the full travel tax?

A. Citizens of the Philippines

B. Taxable Foreign Passport Holders

C.Non-immigrant foreign passport holders who have stayed in the Philippines for more than one (1) year

Requirements:

• Original Passport
• Airline Ticket

Full Travel Tax Rates:

• First Class Passage: P2,700.00
• Economy Class Passage: P1,620.00

TRAVEL TAX EXEMPTION 

Who may be exempted from paying the Travel Tax?

A. Overseas Filipino workers

B.Filipino permanent residents abroad whose stay in the Philippines is less than one year
C.Infants (2 years and below)

For OFWs as exempted passengers:

• If hired through POEA, the Overseas Employment Certificate serves as the Exemption Certificate
• If directly hired abroad, a Certificate of Employment issued by the Philippine Embassy / Consulate in the place of work or an Employment Contract authenticated by the Philippine Embassy / Consulate

NOTE: The OEC is valid as Exemption Certificate if used in going to the OFW’s worksite

NOTE: You may visit the TIEZA website for the complete list of passengers qualified for exemption

REDUCED TRAVEL TAX

How much is the Reduced Travel Tax?

	First Class	Economy
Standard Reduced Rate	P1,350.00	P810.00
Privileged Reduced Rate	P400.00	P300.00

Who may avail of the Standard Reduced Travel Tax? What are the requirements?

Minors (from 2 years and one (1) day to 12th birthday on date of travel)	Original Passport In case the original passport cannot be presented, original birth certificate and photocopy of identification page of passport Airline ticket, if already issued
Accredited Filipino journalist whose travel is in pursuit of journalistic assignment	Original Passport Certification from the Office of the Press Secretary Certification from the passenger’s editor or station manager that he/she is an accredited journalist Airline ticket, if already issued
Those authorized by the President of the Republic of the Philippines for reasons of national interest	Original Passport Written authorization from the Office of the President expressly entitling the passenger to the reduced travel tax Airline ticket, if already issued

FOR OFW DEPENDENTS

Who may avail of the Privileged Reduced Travel Tax? What are the requirements?

Legitimate spouse of an Overseas Filipino Worker (OFW)	Original Passport Original Overseas Employment Certificate (OEC) / Certified true copy of Balikmanggagawa Form / Certified true copy of the OFW’s Travel Exit Permit / Certification of Accreditation or Registration Original or authenticated marriage contract Airline ticket, if already issued Certification from the manning agency that the seaman’s dependent is joining the seaman’s vessel
Legitimate and unmarried children of an OFW below 21 years of age NOTE: This privileged reduced travel tax is granted to the dependent of a land-based OFW, if said dependent is traveling to the work site.	Original Passport Original Overseas Employment Certificate (OEC) / Certified true copy of Balikmanggagawa Form / Certified true copy of the OFW’s Travel Exit Permit / Certification of Accreditation or Registration Original or authenticated birth certificate Airline ticket, if already issued Certification from the manning agency that the seaman’s dependent is joining the seaman’s vessel

Travel Tax Refund

A. Basic Policies on Regular Travel Tax Refunds

• Claims for refund must be made within two (2) years from the date of payment.
• The travel tax refund check is for deposit to the payee’s account only but may be uncrossed upon the request of the payee who shall be properly identified.
• If the claimant is not the passenger, a Special Power of Attorney shall be submitted for the release of the check.
• For minor a payee, the parent shall present the minor’s original birth certificate, unless the parent signed the passport on behalf of the minor. If the claimant is not the minor’s parent, he/she shall present the minor’s original birth certificate and submit a Special Power of Attorney executed by the minor’s parents.
• Airline companies or their agents may grant the refund to the passenger if the travel tax sought to be refunded has not yet been remitted to TIEZA.

The following identification cards are acceptable for the purpose of claiming refund checks:

Original Passport	Original Social Security System ID
Original Government Service Insurance System ID	Original Driver’s License
Original Postal ID	Original Professional Regulations Commission ID

REASON FOR REFUND OF A TRAVEL TAX

Reason for Refund	Documentary Requirements
Unused ticket	Original Passport TIEZA Refund Application Form No. 353 Airline ticket showing travel tax collection Copy of fare refund voucher or certification from the airline authorized signatory that the ticket is unused, non-rebookable, and has no refund value. Original TIEZA Official Receipt (passenger and airline copies), if travel tax was paid directly to TIEZA
Non-coverage Non-immigrant foreign passport holders who are not subject to the Philippine travel tax if their stay in the Philippines is less than one year (refer to table 2 on Full Travel Tax Page)	Original passport. In case the original passport cannot be presented, a certification from the Bureau of Immigration indicating the passenger’s identity, the immigration status, and the applicable date of arrival shall be submitted. TIEZA Refund Application Form No. 353 Airline ticket showing travel tax collection
Travel Tax Exemption (refer to table 3 on Travel Tax Exemption page)	Original passport TIEZA Refund Application Form No. 353 Supporting documents required under Presidential Decree No. 1183, as amended by P.D.1205 and Batas Pambansa Blg.38 on Airline ticket showing travel tax collection Original TIEZA Official Receipt (passenger copy), if travel tax was paid directly to TIEZA
Reduced Travel Tax (refer to tables4 & 5 on Reduced Travel Tax page)	Original passport TIEZA Refund Application Form No. 353 Supporting documents required under Rule VII of the Rules and Regulations on Travel Tax. Airline ticket showing travel tax collection Original TIEZA Official Receipt (passenger copy), if travel tax was paid directly to TIEZA
Downgraded Ticket	Original passport TIEZA Refund Application Form No. 353 Airline ticket showing travel tax collection Certification from the airline that the ticket was downgraded or a certified copy of the airline flight manifest Original TIEZA Official Receipt (passenger copy), if travel tax was paid directly to TIEZA
Double payment	Original passport TIEZA Refund Application Form No. 353 Airline ticket showing travel tax collection Original TIEZA Official Receipt (passenger and airline copies), if travel tax was paid directly to TIEZA
Undue Travel Tax	Original passport TIEZA Refund Application Form No. 353 Airline ticket showing that the travel tax was collected and that the passenger is not subject to the Travel Tax Original TIEZA Official Receipt (passenger and airline copies), if travel tax was paid directly to TIEZA

HOW TO PAY YOUR TRAVEL TAX ONLINE?

Last October 2016, the Tourism Infrastructure and Enterprise Zone Authority (TIEZA) launched the launch an online system where travellers can pay their travel taxes, easy and hassle free.

Here's the process;

1. Open an account on the TIEZA website http://tieza.gov.ph/.

2. From the home page, select the clickable image for travel tax payment, or select the "Travel Tax" tab in the header of the webpage and click "Pay Travel Tax" in the dropdown menu.

3. Create an account by filling out the registration form. Once registered, fill out the form for the payment of travel tax.

• Prepare and enter the details of your flight
• Type of ticket you have
• Your Credit Card Information

4. After you have confirmed payment, you will be given an electronic receipt to print out. Simply bring the receipt with you on the day of your flight to be presented with your travel documents.

With this online payment system, you can skip queues at the airport and you can pay your travel tax before the day of your flight. 

(Source:http://tieza.gov.ph/travel-tax/,rappler)


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©2017 THOUGHTSKOTO