PSAC hails law on VAT refunds to non-resident tourists

The Private Sector Advisory Council (PSAC) lauded the signing into law of the VAT refund for non-resident tourists, noting that it will help in the country's economic growth.

''This legislation embodies the productive collaboration between the private sector and the government,” Sabin Aboitiz, PSAC Lead Convenor and Aboitiz Group President and CEO, said in a statement issued Thursday.

“We commend Congress for swiftly enacting one of PSAC’s ‘Quick Wins’ recommendations for President Marcos. The VAT refund program will strengthen the Philippines' global competitiveness, drive economic growth, and generate jobs by encouraging higher spending on local goods and services,'' he added.

For his part, Bobby Claudio, PSAC Tourism Sector Member and Vice Chairman for International Relations at the Philippine Retailers Association, underscored the law's potential to uplift local industries, saying that this will make Filipino artisans' skills flourish.

“This initiative not only aligns with global best practices but also highlights the unique creativity and entrepreneurial spirit of Filipino artisans. It fosters sustainable growth while promoting our diverse products to the world,'' Claudio said.

In signing the law, President Ferdinand ''Bongbong'' Marcos Jr. said the VAT refund program for non-resident tourists has been designed not only to stimulate more spending but to promote the Philippines as a premier global shopping destination.

Under the new law, tourists can claim a refund on the VAT for goods personally purchased at accredited retail outlets, provided that these goods are taken out of the country within 60 days and meet a minimum transaction requirement of P3,000. — Anna Felicia Bajo/RSJ, GMA Integrated News