MANILA, 31 August — Overseas Filipinos coming home for vacation will soon be allowed to buy as much as $1,500 in Philippine duty free shops under a law approved recently by a joint conference committee of Congress.
Known as the Balikbayan Bill filed by Sen. Noli de Castro, the maximum purchase is an improvement over the current $1,000 duty free privilege of OFWs and balikbayans (returning migrants).
But a more important feature of the bill is the Kabuhayan Program, which allows OFWs and balikbayans to purchase tax exempt tools for livelihood of up to $2,000.
The livelihood tools allowed to be purchased on a tax exempt basis, the bill said, include all "instruments used by hand or machine necessary to a person in the practice of his or her trade, vocation or profession."
Among those mentioned were hand tools, power tools, farm tools, tools for dressmaking, shoe repair, beauty parlor, and barber shop.
A computer unit and its accessories are also considered as livelihood tools.
"With the passage of this bill, I am hoping that our balikbayans, especially OFWs, will be encouraged to by their tools and other items that they may need from our duty free shops," de Castro said.
The Senate tourism committee headed by de Castro met with the House panel headed by Albay Rep. Krisel Lagman Luistro to reconcile the differences in the bills passed earlier by both chambers.
President Gloria Arroyo is expected to sign the reconciled version anytime next month.
Under the measure, duty free purchases can also be made by the OFWs and balikbayans within 15 days after arrival in the country. But during the Christmas season (Nov. 15 to Jan. 15), the privilege will be extended to 30 days.
Balikbayans can also avail of marketing assistance and training programs on entrepreneurial and livelihood skills from the Technological Livelihood Resource Center (TLRC), the Technical Education and Skills Development Authority (TESDA), and other concerned government agencies.
For the first time, Philippine made goods will be featured in duty free shops as part of the Balikbayan Bill.
An entire section of the bill allows the showcasing of Philippine-made products side by side with top international name brands. "With this provision, Filipino manufacturers will be given ample opportunity to showcase their craftsmanship and ingenuity," said Sen. Ramon Magsaysay Jr. "The tourists given a preview of Philippine-made goods, and this becomes a source of pride for Filipinos and even balikbayans."
Magsaysay said "this will give a boost to efforts of the Department of Tourism (DOT) to promote our products to the international market."
