SIXTEENTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
) 
Second Regular Session 
) 
'14 
OEC -) P 1 :23 
SENATE 
S. No. 
2483 
I~E(,EI\' ELI BY; _ &~_ 
Introduced by Senator Ralph G. Recto 
AN ACT 
EXEMPTING PERSONS WITH DISABILITY FROM THE VALUE-ADDED TAX 
ON CERTAIN GOODS AND SERVICES, AMENDING FOR THIS PURPOSE 
REPUBLIC ACT NO. 7277, AS AMENDED, OTHERWISE KNOWN AS THE 
"MAGNA CARTA FOR PERSONS WITH DISABILITY" 
Explanatory Note 
Our 1987 Philippine Constitution declares that the State shall promote social 
justice in all phases of national development and that it values the dignity of every human 
person and guarantees full respect for human rights. In recognition of these policies 
enshrined in the organic law, Congress has enacted laws that promote, protect and ensure 
the full enjoyment of basic human rights by all persons with disabilities (PWDs). 
Republic Act No. (RA) 7277 was heralded as a milestone in Philippine legislation 
as it sought to address numerous concerns of PWDs in the country. 
This piece of 
legislation identifies and provides for the rights of PWDs in the areas of employment, 
education, health, auxiliary social services, and telecommunications. Furthermore, the 
said law recognizes and ensures the protection of all the civil and political rights of 
PWDs by prohibiting any and all acts of discrimination against PWDs. Its amendatory 
law, RA 9442 expanded and strengthened the rights ofPWDs by providing privileges and 
incentives to PWDs similar to those being enjoyed by our senior citizens such as 
discounts on purchases of selected goods and services. 
In a study conducted by the United Nations Economic and Social Commission for 
Asia and the Pacific (UN-ESCAP), it was noted that persons with disability often belong 
to the poorest segments of the population. Bearing this in mind and the fact that selected 
purchases by senior citizens are now exempt from Value-added Tax (VAT) by virtue of 
RA 9994 or the Expanded Senior Citizens Act of 2010, this bill seeks to amend Section 
32 of RA 7277, as amended, by granting exemption from the 12% VAT selected 
purchases of goods and services by PWDs on (op of the 20% discount they currently 
enjoy under the law. Therefore, once enacted into law, PWDs would be able (0 earn 
additional savings from their purchases and effectively place them at par with our senior 
citizens in tenns of privileges and incentives granted under Philippine laws. 
In view of the foregoing, the immediate enactment of this bill is earnestly sought. 


SIXTEENTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
) 
Second Regular Session 
) 
'14 
OEC -3 PI :23 
SENATE 
Introduced by Senator Ralph G. Recto 
AN ACT 
EXEMPTING PERSONS WITH DISABILITY FROM THE VALUE-ADDED TAX 
ON CERTAIN GOODS AND SERVICES, AMENDING FOR THIS PURPOSE 
REPUBLIC ACT NO. 7277, AS AMENDED, OTHERWISE KNOWN AS THE 
"MAGNA CARTA FOR PERSONS WITH DISABILITY" 
Be if enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
1 
SECTION I. Section 32 of Republic Act No. 7277, otherwise known as the 
2 
"Magna Carta for Persons With Disability," as amended, is hereby further amended to 
3 
read as follows: 
4 
"SEC. 32. Persons with disability shall be entitled to the following: 
5 
"(a) At least twenty percent (20%) discount AND EXEMPTION FROM 
6 
TI-IE VALUE-ADDED TAX (VAT), IF APPLICABLE, from all 
7 
establishments relative to the utilization of all services in hotels and 
8 
similar lodging establishments; restaurants and recreation centers for the 
9 
exclusive use or enjoyment of persons with disability; 
10 
"(b) A minimlJ111 of twenty percent (20%) discount AND EXEMPTION 
11 
FROM THE VALUE-ADDED TAX (VAT), IF APPLICABLE, on 
12 
admission fees charged by the theaters, cinema houses, concert halls, 
13 
circuses, carnivals and other similar places of culture, leisure and 
14 
amusement for the exclusive use or enjoyment of persons with disability; 
15 
"(c) At least twenty percent (20%) discount AND EXEMPTION FROM 
16 
THE VALUE-ADDED TAX (VAT), IF APPLICABLE, for the 


purchase of medicines in all dmgstores for the exclusive use or enjoyment 
2 
of persons with disability; 
3 
"(d) At least twenty percent (20%) discount AND EXEMPTION FROM 
4 
THE VALUE-ADDED TAX (VAT), IF APPLICABLE, on medical and 
5 
dental services including diagnostic and laboratory fees such as, but not 
6 
limited to x-rays, computerized tomography scans and blood tests, in all 
7 
government facilities, subject to guidelines to be issued by the Department 
8 
of Health (DOH), in coordination with the Philippine Health Insurance 
9 
Corporation (PHILHEALTH); 
10 
"(e) At least twenty percent (20%) discount AND EXEMPTION FROM 
11 
THE VALUE-ADDED TAX (VAT), IF APPLICABLE, on medical and 
12 
dental services including diagnostic and laboratory fees, and professional 
13 
fees of attending doctors in all private hospitals and medical facilities, in 
14 
accordance with the rules and regulations to be issued by the DOH, in 
15 
coordination with the PHILHEAL TH; 
16 
"(t) At least twenty percent (20%) discount AND EXEMPTION FROM 
17 
THE VALUE-ADDED TAX (VAT), IF APPLICABLE, on fare for 
18 
domestic air and sea travel for the exclusive use or enjoyment of persons 
19 
with disability; 
20 
"(g) At least twenty percent (20%) discount AND EXEMPTION FROM 
21 
THE VALUE-ADDED TAX (VAT), IF APPLICABLE, in public 
22 
railways, skyways and bus fare for the exclusive ·use and enjoyment of 
23 . 
persons with disability; 
24 
"xxx." 
25 
SEC. 2. 
implementing Rules and Regulations. - The Department of Social 
26 
Welfare and Development (DSWD), Department of Health (DOH), Department of 
27 
Finance (DOF) and the National Council on Disability Affairs (NCDA) shall promulgate 
2 


the necessary rules and regulations for the effective implementation of the provisions of 
2 
this Act. 
3 
SEC. 3. Separability Clause. - If any provision of this Act is declared invalid or 
4 
unconstitutional, other provisions hereof which are not affected thereby shall remain in 
5 
full force and effect. 
6 
SEC. 4. Repealing Clause. - All laws, orders, decrees, rules and regulations, and 
7 
other parts thereof inconsistent with the provisions of this Act are hereby repealed, 
8 
amended or modified accordingly. 
9 
SEC. 5. f<,Yfectivi(y Clause. - This Act shall take effect fifteen (15) days after its 
10 
publication in Official Gazette or in at least two (2) national newspapers of general 
11 
circulation. 
12 
Approved, 
3