SEVENTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
)
SENATE
S.B. No. 
1 3 1
INDEX
Introduced by Senator SONNY ANGARA
AN ACT
PROVIDING FOR TAX DEDUCTIONS FOR FAMILY REQUIREMENTS INCLUDING 
PAYMENTS FOR TERTIARY EDUCATION TUITION AND ALLIED EXPENSES AS WELL AS 
INTEREST PAYMENTS FOR A FIRST HOME MORTGAGE, AMENDING FOR THE 
PURPOSE SECTION 34 OF THE NATIONAL INTERNAL REVENUE CODE OF THE
PHILIPPINES, AS AMENDED
EXPLANATORY NOTE
Access to quality education and affordable housing are two basic needs that continue to 
pose a challenge to the Filipino family. According to a NEDA-commissioned study entitled 
“Ambisyon 2040,” 74 percent of Filipinos yearn to send their children to college while 64 percent 
aspire to own a medium-size house.
Article 2, Section 17 of the Constitution provides that the “State shall give priority to 
education, science and technology, arts and sports to foster patriotism, nationalism, accelerate 
social progress and promote total human liberation and development.” In addition. Article 4, 
Section 1 of the Constitution also mandates that the State should “protect and promote the right 
of all citizens to quality education at all levels, and shall take appropriate steps to make such 
education accessible to all.” It is therefore imperative for the State to promote and enhance 
opportunities for accessible quality education.
Based on the Philippine Education for All 2015 Assessment, the United Nations 
proposed that the country’s vision of inclusive growth and development should entail investment 
in human capital, particularly through the provision of quality basic education, competitive 
technical vocational skills training, and relevant and responsive higher education as stated 
under the Philippine Development Plan 2011-2016. A recent report by the United Nations 
Educational Scientific and Cultural Organization (UNESCO) also stressed that Southeast Asian 
countries including the Philippines should take urgent steps to enroll out-of-school youths to 
avoid adverse economic consequences of having a high number of unskilled workforce in the 
future. 
In the nationwide study commissioned by the National Economic and Development 
Authority (NEDA) on the aspirations, values and principles of the Filipino People, which is 
distilled into the Ambisyon 2040, the Filipino yearns for decent jobs within the country. Such 
requires proper technical-vocational skills or college education.
Yet, the 2013 Functional Literacy, Education and Mass Media Survey, released by the 
Philippine Statistics Authority, showed that one in every ten or about four million Filipino children 
and youth are out-of-school. Among the top reasons for not being able to attend school include 
the high cost of education and not sufficient family income to send their child to school. As of 
July 2015, there are only 227 public higher education institutions (HEIs) or just 9.5 percent of 
the 2,388 total HEIs. Meanwhile, 304 private HEIs were given the approval by the Commission 
on Higher Education to increase their tuition and other school fees. Thus, access to tertiary 
education in the country remains problematic and elusive, especially to the poor and 
underprivileged.