Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

409
House Bill No.

Introduced by
ANAKALUSUGAN REPRESENTATIVE MICHAEL T. DEFENSOR

EXPLANATORY NOT

The 1987 Constitution states that:

Article Il, Section 15: The State shall protect and promote the right to health of the

people and instill health consciousness among them.

Furthermore, it adds in Article XIII, Section 11 that: " The State shall adopt an
integrated and comprehensive approach to health development which shall endeavor to make
essential goods, health and other social services available to all the people at affordable cost.
There shall be priority for the needs of the underprivileged sick, elderly, disabled, women, and
children.”

According to the Department of Health, the leading causes of death in the Philippines
are heart diseases, diseases of the vascular system, pneumonias, malignant neoplasms/cancers,
all forms of tuberculosis, accidents, COPD and allied conditions, diabetes mellitus,
nephritis/nephritic syndrome and other diseases of respiratory system.' People suffering from
other diseases would require maintenance medications to suppress the symptoms and prolong
their lives. Aside from hardships in battling these diseases, the Filipino people are also having
a hard time in acquiring maintenance medicines because of its price. The TRAIN law, or RA.
11223, required the exemption of maintenance medicines for hypertension, diabetes and high

+DOH: Leading Cause of Mortality in the Philippines” https://www.doh.gov.ph/node/1058


cholesterol but this would not include other maintenance medicines that would be needed by
other Filipinos who are suffering from other life-long illnesses.

This bill aims to make these medicines to be more affordable and accessible to the
Filipino people. There shall be a more inclusive way to promote the right to health of the
people.

Considering the foregoing reasons, the passage of this

MICHAEL “!
Representative
ANAKALUSUGAN PARTY-LIST

T. DEFENSOR



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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS:
First Regular Session

o 94
House Bill No.

Introduced by
ANAKALUSUGAN REPRESENTATIVE MICHAEL T. DEFENSOR

‘AN ACT GRANTING EXEMPTION OF MAINTENANCE MEDICINES FROM.
VALUE ADDED TAX

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

Section. 1. Short Title. - This Act shall be known as the “Tax Free Maintenance
Medicines Act of 2019”

Sec. 2. Declaration of Policy. — It is the policy of the state to protect and promote the
right to health of the people and to ensure that each individual has access to information and
services that will bring about health and well-being. The state shall adopt an integrated and
comprehensive approach to health development which shall endeavor to make essential health

services available to all the people at an affordable cost. Aside from basic health services, the

state shall also seek to provide supplemental support to Filipinos suffering from debilitating
illnesses through affordable medications. In line with this, this act shall hereby declare the

‘exemption of maintenance medicines from value added tax.

Sec. 3. Definition.

VAT Value Added Tax or VAT - refers to the tax imposed and collected from the seller
in the course of trade or business on every sale of properties (real or personal), lease of goods
or properties (real or personal), or vendors of services. It is an indirect tax, thus, it can be passed

‘on to the buyer.


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Maintenance Medicines. — The term “maintenance medicine” shall refer to any
medication that a person takes on a continuing process.

Sec. 4. Coverage - The Department of Health (DOH) shall submit to the Congress a list
of branded and generic maintenance medications to which this act shall apply. The exemption

shall be automatically applied upon purchase of the medication.

Sec. 5. Repealing Clause.- All laws, decrees, executive orders, and other presidential
issuances which are inconsistent with this Act are hereby repealed, amended or modified
accordingly.

Sec. 6. Separability Clause. — If, for any reason, any section or provisions of this Act is
held unconstitutional or invalid, the other sections or provisions hereof shall not be affected
thereby.

Sec. 7. Effectivity. - This Act take effect fifteen days (15) after its publication in at
least two (2)_national. newspapers of —_—general_—_—_ circulation.

Approved