Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

Sixteenth Congress .
First Regular Session

HOUSE BILL NO. 4664

Introduced by Hon, Frederick F. Abueg

EXPLANATORY NOTE

We, the Filipino people, value family more than anything, Regardless of the
liberal influence which originated from the West, we remain very familiar. Our family
remains to be the basic unit of the society. Moreover, the family is not complete
without our elders, “/o/o and /ola,” living under the same roof we are living in, We are

known for our unrequited care we give our elderly.

In the 2010 National Statistical Coordinating Board (NSCB) Medium
Assumption Population Projection, there is an estimated 6.3 million elderly Filipinos
aged 60 years and above. They are 6.9 percent of the total Philippine population. In a
report entitled, “Ageing in the Twenty-first Century: A Celebration and a Challenge,”
of the United Nations Population Fund (UNFPA), it is estimated that the population of
Senior Citizens in the country will reach 23.63 million by 2050. UNFPA Executive
Director Dr. Babatunde Osotimehin added that ageing is a lifelong process and that

today’s young people will be part of the population of older people in 2050.

Same report also noted that some senior citizens feel ignored in our country
and are unable to participate in the activities of the State. The UNFPA also

highlighted that in the Philippines, age has become one of the barriers to employment.

Without steady source of income or a stable job, our senior citizens only rely
on their pensions, gifts or allowances given by relatives and sometimes, by their own

“pagsusumikap” to make ends meet. The fact that these pensions do not increase as


much as expenses for basic commodities constantly increase; it is truly more difficult

to make ends meet.

While the existence of Senior Citizens card currently gives them a discount of
twenty percent (20%) on treatments, medicines, restaurants and grocery shopping, it is
still not sufficient, Although some people may think that they are pampered by these

discounts, statistics state otherwise.

‘The sector where the senior citizens belong has the sixth (6") highest poverty
incidence from the eight basic sectors in the Philippines. Their poverty incidence rate
is at 15.1 percent in 2003 and 16.2 percent in 2006. Only a small percentage from
their sector is covered by pensions because a good portion belongs to the informal

sector.

Knowing the plight of our senior citizens, this proposed bill seeks to lessen the
burden by increasing the grant given to senior citizens from twenty percent (20%)

discount to thirty percent (30%) discount.

In line with the fulfillment of the obligation of the State as parens patriae, the
approval of this bill is earnestly requested.

FREMERICK F/ABUEG
Representat|ve, 2" District of Palawan


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

Sixteenth Congress
First Regular Session

4664

HOUSE BILL NO.

Introduced by Hon, Frederick F. Abueg

AN ACT
INCREASING THE GRANT GIVEN TO SENIOR CITIZENS FROM
TWENTY PERCENT (20%) TO THIRTY PERCENT (30%) DISCOUNT,
FURTHER AMENDING REPUBLIC ACT NO. 7432, AS AMENDED,

OTHERWISE KNOWN AS “AN ACT TO MAXIMIZE THE

“ONTRIBUTION
OF SENIOR CITIZENS TO NATION BUILDING, GRANT BENEFITS AND

SPECIAL PRIVILEGES AND FOR OTHER PURPOSES”

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

SECTION 1. Section 4 Paragraph (a) of Republic Act No. 7432, as amended by
Republic Act No. 9994, otherwise known as the “Expanded Senior Citizens Act of
2010”, is hereby further amended to read as follows:
“SEC. 4. Privileges for the Senior Citizens. -
The senior citizens shall be entitled to the following:
“(a) the grant of [twenty percent (20%)] THIRTY PERCENT (30%) discount

and exemption from the value -added tax (VAT), if applicable, on the sale of

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the following goods and services from all establishments, for the exclusive use
and enjoyment or availment of senior citizens:

XXX XXX XXX,

SEC. 2, Effectivity. - This Act shall take effect fifteen (15) days after
publication in the Official Gazette or in two (2) national newspapers of general

circulation.

Approved,