Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL No. _______ 
---------------------------------------------------------------------------------------------------------------- 
Introduced by HONORABLE ERNESTO “ERNIX” M. DIONISIO, JR. 
---------------------------------------------------------------------------------------------------------------- 
AN ACT EXPANDING THE GRANT OF 20% DISCOUNT AND EXEMPTION FROM 
THE VALUE ADDED TAX (VAT) TO SENIOR CITIZENS TO INCLUDE 
MEDICINES, SUPPLEMENTS, VITAMINS, HERBAL PRODUCTS AND 
FORMULATED MILK MEDICALLY DULY PRESCRIBED OR RECOMMENDED BY 
PHYSICIANS 
EXPLANATORY NOTE 
Elderly people or senior citizens are those who are aged sixty (60) years old 
and above. In the Philippines, there is an estimate of around 9.22 million senior citizens 
or around 8.5% of the population of the Philippines. It drastically increased from 7.53 
million or around 7.5% of the population in 20151. 
One of the characteristics that we Filipinos have is our innate respect and value 
given to our elderly family members. We grew up in an environment wherein we were 
taught at a young age that we should respect elderlies and care for them, that at the 
time when they are the ones in need we are the ones who will care for them, like how 
they used to care for us when we were the ones in need.  
1 Age and Sex Distribution in the Philippine Population (2020 Census of Population and Housing) 
available at https://psa.gov.ph/population-and-housing/node/167965 (last accessed on September 25, 
2022). 
October 6, 2022
1:14 pm
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The duty to care for our senior citizens does not solely depend upon the family 
but also the Constitution mandates that the State also has the duty to care for them. 
The 1987 Constitution2 provides that: 
 
The family has the duty to care for its elderly members but the State may 
also do so through just programs of social security. 
 
There are a lot of enacted laws geared towards the protection and support of our senior 
citizens. One of which is Republic Act No. 9257, or the “Expanded Senior Citizens Act 
of 2003”,  this law made it mandatory for business establishments to grant a 20% 
discount on certain goods and services availed by the senior citizens. Further, the law 
was amended by Republic Act No. 9994 or the “Expanded Senior Citizens Act of 
2010”, it further granted senior citizens an additional 12% value-added tax exemption.  
 
 
Under R.A. No. 9994, it states that the grant of 20% discount and exemption 
from the value-added tax (VAT) is applicable on the purchase of medicines, 
professional fees and other medical services3. The law failed to define what is covered 
by term medicine that should be granted discount and exempted from VAT. Moreover, 
the basic necessities needed by our senior citizens are not only limited to their 
medicines. Despite discounts and exemption granted to the purchase or their 
medicines, they also need to purchase vitamins, supplements, herbal medicine and 
also milk.  
 
 
This bill aims to clarify and include other necessities needed by our senior 
citizens under the discount granted and tax exemption granted by the law. The other 
necessities as such are medicine such as supplements, vitamins, herbal medicines 
and other food supplements like milk. The current law is vague and fails to include 
other basic needs that our senior citizens need. Given that there is a rampant number 
of senior citizens in our country and that the items seeked to be included under the 
discount granted and tax exemption are vital to the health of our senior citizens, the 
immediate approval of this bill is necessary.  
 
2 Article XV, Section 4, 1987 Constitution. 
3 Section 4, Republic Act No. 9994. 


 
 


Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL No. _______ 
---------------------------------------------------------------------------------------------------------------- 
Introduced by HONORABLE ERNESTO “ERNIX” M. DIONISIO, JR. 
---------------------------------------------------------------------------------------------------------------- 
AN ACT EXPANDING THE GRANT OF 20% DISCOUNT AND EXEMPTION FROM 
THE VALUE ADDED TAX (VAT) TO SENIOR CITIZENS TO INCLUDE 
MEDICINES, SUPPLEMENTS, VITAMINS, HERBAL PRODUCTS AND 
FORMULATED MILK MEDICALLY DULY PRESCRIBED OR RECOMMENDED BY 
PHYSICIANS 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
Sec. 1. Declaration of Policies. - It is the declared policy of the State to uphold 
the right to health of senior citizens. Towards this end, the State shall ensure that 
medicines, supplements, vitamins, herbal products, and formulated milk that provide 
necessary and required nutrition to Senior Citizens shall be granted a twenty percent 
(20%) discount and shall likewise be exempt from Value Added Tax (VAT). 
Sec. 2. Section 2 of Republic Act No. 7432, as amended by Republic Act No. 
9257 otherwise known as the “Expanded Senior Citizens Act of 2003”, and further 
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. 2. Definition of terms. - For purposes of this Act, these 
terms are defined as follows: 
xxx 
(D) MEDICINES REFER TO PRESCRIPTION AND NON-
PRESCRIPTION/ 
OVER-THE-COUNTER 
DRUGS, 
BOTH
GENERIC 
AND 
BRANDED, 
DULY 
PRESCRIBED 
BY
PHYSICIANS, AND APPROVED BY THE DEPARTMENT OF
HEALTH 
(DOH) 
AND 
THE 
FOOD 
AND 
DRUG
ADMINISTRATION (FDA), WHICH ARE INTENDED FOR USE
IN THE DIAGNOSIS, CURE, MITIGATION, TREATMENT OR
PREVENTION OF HUMAN DISEASE OR SICKNESS;
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(E) SUPPLEMENTS REFER TO PRESCRIPTION AND NON-
PRESCRIPTION/ 
OVER-THE-COUNTER 
MEDICAL 
AND 
DIETARY SUPPLEMENTS, BOTH GENERIC AND BRANDED, 
INCLUDING 
VITAMINS, 
HERBAL 
PRODUCTS 
AND 
FORMULATED MILK, APPROVED BY THE DEPARTMENT OF 
HEALTH 
(DOH) 
AND 
THE 
FOOD 
AND 
DRUG 
ADMINISTRATION (FDA), WHICH ARE INTENDED FOR USE 
IN THE DIAGNOSIS, CURE, MITIGATION, TREATMENT OR 
PREVENTION OF HUMAN DISEASE OR SICKNESS; 
 
(F) [d] Medical Services refer to hospital services, professional 
services of physicians and other health care professionals and 
diagnostics and laboratory tests that the necessary for the 
diagnosis or treatment of an illness or injury; 
 
xxx 
 
 
Sec. 3. Section 4 of Republic Act No. 7432, as amended by Republic Act No. 
9257 otherwise known as the “Expanded Senior Citizen Act of 2003”, and further 
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%) discount and exemption from 
the value added tax (VAT), if applicable, on the sale of the 
following goods and services from all establishments, for the 
exclusive use and enjoyment or availment of the senior citizen 
(1) On the purchase of medicines AS DEFINED IN THIS ACT, 
including the purchase of influenza and pneumococcal vaccines, 
and such other essential medical supplies, accessories and 
equipment to be determined by the Department of Health (DOH); 
(2) ON THE PURCHASE OF SUPPLEMENTS SUCH AS DEFINED 
IN THIS ACT. 
(3) [2] on the professional fees of attending physician/s in all private 
hospitals, medical facilities, outpatient clinics and home health 
care services; 
 
 
xxx; and 
     (10) [9] on funeral and burial services for the death of senior 
citizens”, 
 
 
Sec. 4. Repealing Clause. - All laws, decrees, letters of instruction, 
resolutions, orders or parts thereof which are inconsistent with the provisions of this 
Act are hereby repealed, modified or amended accordingly. 
 
 
Sec. 5. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in two (2) newspapers of general circulation. 
 
 
Approved,