SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
SENATE 
S.B. NO. 413 
'13 
JUL -3 P6 :31 
Introduced by SENATOR FERDINAND R. MARCOS, JR. 
Explanatory Note 
Philippine society, both in the urban and even rural settings, is 
confronted with the ever-worsening myriad of intertwined issues such as 
climate change, air pollution, traffic and road congestion, rising costs of 
gasoline and other commodities, personal health problems, and other 
related social issues. 
This bill seeks to introduce a world-renowned approach to solving 
the above primordial problems of our society: the promotion and 
reinvigoration, by way of fiscal incentives, of bicycle-commuting on 
Philippine roads. 
The Filipino's love-affair with the bicycle has never waned ever since 
the time of its introduction in Philippine society. In fact, bicycle use in the 
Philippines remain to be popular these days, whether as mode of exercise 
and recreation, or mode of regular means of transportation, as 
evidenced by the thousands of recreational riders and "weekend 
warriors", and, more importantly, the hordes of bicycle-riding Filipino 
workers and laborers who can be seen sharing the road with m.otorized 
transport users. . 
studies have consistently shown that bicycle use has wide-reaching 
benefits, from environmental and urban planning to public health. 
General and regular bicycle use by the public lessen use of motorized 
transport, road congestion and demand for parking facilities, ultimately 
translating to significantly reduced carbon emissions of the country, and 
also reduced cardiovascular health risks to the general public health. 
Incidentally, bicycle users also enjoy savings on transportation costs, in 
view of their lessened dependence on the motorized transport, which is 
admittedly more expensive. 


One study confirms: "There are many good reasons to encourage 
more cycling. It causes virtually no noise or air pollution and consumes far 
less nonrenewable resources than any m~torized transport mode. The only 
energy cycling requires is provided directly by the traveler, and the very 
use of that energy offers valuable cardiovascular exercise. Cycling 
requires only a small fraction of the space needed for the use and parking 
of cars. Moreover, cycling is economical, costing far less than both the 
private car and public transport, both in direct user costs and public 
infrastructure costs. Precisely because it is affordable by virtually everyone, 
cycling is among the most equitable of all transport modes. In short, it is 
hard to beat cycling when it comes to environmental, social, and 
economic sustainability. Consequently, both the European Union and the 
United States have officially recognized the importance of cycling as a 
practical mode of urban transport and endorse the dual objectives of 
raising 
cycling levels while increasing cycling safety." 
(European 
Conference of the Ministers of Transport, 2004; U.S. Department of 
Transportation, 1994 and 2004, cited in "Making Cycling Irresistible: Lessons 
from the Netherlands, Denmark, and Germany", John Pucher and Rolph Buehler, 
Blousteln School of Planning and Public Policy, Rutgers University, New Jersey, 
USA, Transport 
Reviews, 
Vol. 
28, 
2008; 
Cycling 
Embassy 
of Denmark 
[www.cycllng-embassy.dkll 
This bill seeks to incentivize bicycle use as a mode of daily transport, 
particularly, the use by workers and students, in order to maintain the 
present bicycle-commuting scene and also attract more bicycle users in 
the country. The specific targets are the employees and students who 
shall be the direct participants in the fiscal incentive program or system, as 
well as the employees, schools, companies, and other institutions that shall 
provide the conditions for the system. Riders and direct users are 
benefited by bicycle-related facilities and tax deduction incentives, while 
indirect participants are benefited also by way of tax deduction on 
expenses and corpor.ate social responsibility programs. 
In view of thereof, the passage of this bill is earnestly requested. 


SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
'13 
JUL -3 P6 :.31 
SENATE 
_________________ 
S_E_NA_T_E_B_IL_L_N_O_._4_1 __ 3 ______ 
R_E_C_E_l\_.'\_:f_l_~_Y:_~ 
Introduced by Senator FERDINAND R. MARCOS, JR. 
----------------------------~----!..~ 
. ,., 
AN ACT GRANTING INCENTIVES TO ENCOURAGE AND PROMOTE 
COMMUTING BY BICYCLES OR OTHER NON-MOTORIZED 
TRANSPORT VEHICLES, AND FOR OTHER PURPOSES 
Be it enacted by the Senate and the House of Representatives of 
the Philippines in Congress assembled: 
SECTION 1. Title. - This Act shall be known as "Bicycle Commuters 
Incentives Act of 20 13. " 
SECTION 2, 
Declaration of Policy. - The State hereby affirms the 
state policies enshrined in the Constitution and in various national laws, 
such as but not limited to the following: 
1, Protection and promotion of the people's right to health and to 
encourage health consciousness among them, as well as the 
adoption of an integrated and comprehensive approach to health 
develoPment. 
, 
2. Protection and advancement of the right of the people to a 
balanced and healthful ecology. 
3, Primary focus on pollution prevention rather than on control and 
providing for a comprehensive management program for air 
pollution, 
4, Full protection to labor. 
Moreover, it is hereby made the policy of the State to encourage 
the use of bicycles and other safe and viable non-motorized transport 
vehicles as a mode of daily commuting and travel to and from the 
workplace, school, church, malls, and other places, and to create a bike-
commuting culture, in order to address simultaneously issues of health risks, 
pollution control, and motor vehicle traffic reduction. 


, . 
i 
SECTION 3. 
Definition of Terms. - For purposes of this Act, the 
following are hereby defined as follows: 
1) "Bicycle" means a vehicle having two functional wheels 
attached to a frame. one behind the other. with a seat. 
handlebar. and brakes. and which is ergonomically ridden and 
purely pedal-driven by a human person. 
2) "Non-motorized transport vehicle" means a vehicle having two 
functional wheels attached to a frame. one behind the other. 
with a seat. handlebar. and brakes. and which is ergonomically 
ridden by a human person. but which is neither pedal-driven. nor 
powered by animal nor fossil fuel or internal combustion engine. 
3) "Eligible equipment" means any tool or implement that tend to 
promote the safety and security of the rider of a bicycle or non-
motorized transport. such as helmets. protective pads and 
clothing. front and rear lights. reflectors. mirrors. mudguards. 
carrier racks. straps. chains and locks. tire pumps. appropriate 
tool kits. tire puncture kits. appropriate batteries and chargers. 
4) "Bike-friendly programs and facilities" mean programs. external 
facilities and structures aimed at encouraging and promoting 
commuting by bicycles and non-motorized transport. and/or 
substantially aiding bicycle and non-motorized transport riders 
and commuters. and which are provided free of charge. 
SECTION 4. Tax Incentives. - 1) Subject to Section 5 of this Act on 
SUbstantiation. employees who shall regularly and mainly use bicycles or 
other non-motorized transport vehicles as means of transport to and from 
their places of work shall be entitled to an annual tax deduction of Two 
Thousand Five Hundred Pesos (PhP2.500.o0) from their gross income. 
2) Expenses incurred by employers or schools in providing their 
employees or students. by way of benefits. bicycles and non-motorized 
transport vehicles. eligible equipment. and bike-friendly facilities shall be 
deductible in full from their gross income. 
3) Expenses incurred by companies. business establishments. and 
other institutions as a result of their bike-friendly programs and facilities 
shall be deductible in full from their gross income. 
4) Bicycles and other non-motorized transport vehicles granted by 
employers to its managerial and supervisory employees in compliance 
with this Act shall not be taxable as fringe benefits. as provided under 
Republic Act No. 8424. 


., 
SECTION 5. Substantiation Requirements. - For purposes of this Act, 
the qualified persons, companies, institutions desiring to avail of the 
benefits of this Act shall substantiate their claim for incentives with 
sufficient evidence, such as logbook entries, official receipts, affidavits or 
other adequate records. 
SECTION 6. Corporate Social Responsibility. - Programs and facilities 
of employers, business establishments, schools, and other institutions that 
are "bike-friendly" and aimed at encouraging and promoting commuting 
by bicycles and non-motorized transport (such as but not limited to "bike-
to-work" programs), and substantially aiding bicycle and non-motorized 
transport riders and commuters (such as but not limited to construction of 
parking areas for bicycles and non-motorized transport vehicles), and 
which are provided free of charge, may also be treated and deemed 
part of their corporate social responsibility programs. 
SECTION 7. Implementing Rules and Regulations. - Within sixty (60) 
days from effectivity of this Act, the Bureau of Internal Revenue shall 
promulgate the rules and regulations to effectively implement the 
Program and the provisions of this Act. 
SECTION 8. 
Separability Clause. - The provIsions of this Act are 
hereby declared to be separable and if any clause, sentence, provision 
or section of this Act or its application thereof to any person or 
circumstance snould, for any reason, be held invalid or unconstitutional, 
such invalidity or unconstitutionality shall not affect the other provisions or 
application ofthis Act which can be given force and effect. 
SECTION 9. 
Repealing Clause. -
All laws, decrees, charters, 
executive 
orders, 
administrative 
orders, 
proclamations, 
rules 
and 
regulations, or parts thereof insofar as they are inconsistent with the 
provisions of this Act are hereby repealed or modified accordingly. 
SECTION 10. Effectivity. - This Act shall take effect fifteen (15) days 
after completion of publication in the Official Gazette or in a newspaper 
of general circulation. 
Approved,