FIFTEENTH CONGRESS OF THE REPUBL~C 
) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
~crllltr 
(€'[flfj' uf HIe ~rrrrblr~ 
'11 
FEB10 P4:00 
.. 
SEN6JE 
S. No. 
~tj86 
----------------------I'\.R!'..E"'-CEA'Ii:l1 g~ 
Introduced by Senator Miriam Defensor Santiago 
j/ 
EXPLANATORY NOTE 
The Constitution, Article 2, Section 17 states: 
The State shall give priority to education, science and technology, arts, 
culture and sports to foster patriotism and nationalism, accelerate social 
progress, and promote total human liberation and development. 
Sports have always been a part of Filipino society. Boxing, basketball, billiards, and 
volleyball dominate pop culture and casual conversations. We as a people are so into bcxing, for 
example, that traffic and even crime grind to a halt every time Manny Pacquiao enters the ring.l 
Sporting events are given primetime slots on national television and commercial sports generate 
millions in revenue. 
However, after participating in 19 Summer Olympic Games, the Philippines only 
managed to win two silver medals and seven bronze medals.2 The performance in the Olympic 
Games is often considered the best gauge of the athletic skill of a nation. Bud Greenspan uses a 
quote from Barrie Houlihan that helps explain nationalism in the Olympics in his study called 
Olympic Orchestration: "nationalism is deeply embedded in the fabric of Olympic movement... 
it is the defining narrative of the Games themselves: the opening parade of athletes in national 
groups ... wearing the colors on their kit... and the playing of the national anthems and the 
raising of national flags at medal ceremonies. ,,3 
The state of Philippine sports was not always this deplorable. We placed second in the 
1954 and 1958 Asian Games. In the 2010 Asian Games, however, we only managed to come in 
1 http://www.sunstar.com.phlnetworklpalace-expects-zero-crime-rate-pacman-clottey-fight-II O-pm 
2 http://en.wikipedia.orgiwiki/All-time_ Olympic _Games _medal_table, http://www.olympic.org 
3 Quinnipiac University Sports Studies, fall 2009, http://qusps.blogspot.coml20091111nationalism-in-sport-good-or-
bad-thing.html 
1 


at 19th place, one spot worse than our lsth place showing in 2006. There is thus a need to boost 
the love for competitive sports from the grassroots of our nation. By providing better incentives 
to athletes who represent the country in international sports competitions, we can ensure a 
sustained interest in the different sports programs of our country. 
2 


1 
2 
FIFTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
) 
~!?lllltr 
,I!JH"r of tij •. )hmbru 
First Regular Session 
) 
'11 
FEB 10 P4:00 
SENATJ;.. 
, 
S. No. 
2ti86 
RECEIVED B~' 
AN ACT 
GRANTING SPECIAL INCENTIVES TO ATHLETES 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
3 
SECTION 1. Short Title. - This Act shall be known as the "Special Incentives for 
4 
Athletes Act." 
5 
SECTION 2. Declaration of Policies and Objectives. - Pursuant to the Constitution, 
6 
Article 2, Section 17, the State shall give priority to education, science and techno;()gy, arts, 
7 
culture, and sports to foster patriotism and nationalism, accelerate social progress, and promote 
8 
total human liberation and development. 
9 
The Constitution, Article 10, Section 19, paragraph 1 also provides that the State shall 
10 
promote physical education and encourage sports programs, league competitions and amateur 
11 
sports, including training for international competitions, to foster self-discipline, teamwork, and 
12 
excellence for the development of a healthy and alert citizenry. 
13 
Consonant with these constitutional principles the following are the declared policies of 
14 
this Act: 
15 
(a) 
To motivate and encourage citizens to engage in competitive sports; 
16 
(b) 
To give full support to the improvement of the total well-being of athletes 
17 
particularly members of the national team and their full participation in society considering that 
18 
they are an integral part of Philippine society; 
19 
(c) 
To provide a comprehensive health care and rehabilitation system for differently-
20 
abled athletes to foster their capacity to attain a more meaningful and productive life; and 
1 


p 
I 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
(d) 
To recognize the important role of the private sector in the improvement of the 
welfare of athletes and to actively seek their partnership. 
In accordance with these policies, this Act aims to: 
(1) 
Establish mechanism whereby the contributions of athletes are maximized; 
(2) 
Adopt measures whereby our athletes are assisted and appreciated by the 
community as a whole; and 
(3) 
Establish a program beneficial to athletes, their families, and the rest of the 
community that they serve. 
SECTION 3. Definition of Terms. - For purposes of this Act, the term-
(a) 
"Athlete" shall mean any citizen of the Philippines who is a member of the 
national team as chosen by the appropriate national sports association recognized by the 
Philippine Sports Commission; for purposes of this act, this shall include past members of the 
national team; and 
(b) 
"Commission" shall refer to the Philippine Sports Commission. 
SECTION 4. Privileges for Athletes. - Athletes shall be entitled to the following: 
(a) 
The grant of fifteen percent (15%) discount from all establishments relative to the 
utilization of services in hotels and similar lodging establishment, restaurants and recreation 
centers, and purchase of medicines in all establishments for the exclusive use or enjoyment of 
athletes, including funeral and burial services for the death of athletes; 
(b) 
A minimum of fifteen percent (15%) discount on admission fees charged by 
theaters, cinema houses and concert halls, circuses, carnivals, and other similar places of culture, 
leisure and amusement for the exclusive use or enjoyment of athletes; 
(c) 
Exemption from the payment of individual income taxes: Provided, That their 
annual taxable income does not exceed the poverty level as determined by the National 
Economic and Development Authority for that year; 
(d) 
Exemption from training fees for socioeconomic programs; 
(e) 
Free medical and dental service, diagnostic and laboratory fees such as, but not 
limited to, x-rays, computerized tomography scans and blood tests, in all government facilities, 
2 


1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
subject to the guidelines to be issued by the Department of Health in coordination with the 
Philippine Health Insurance Corporation (Philhealth); 
(f) 
The grant of fifteen percent (15%) discount on medical and dental services, and 
diagnostic and laboratory fees provided under Sec. 4 (e) hereof, including professional fees of 
attending doctors in all private hospitals and medical facilities, in accordallce with the rules and 
regulations to be issued by the Department of Health, in coordination with the Philhealth; 
(g) 
The grant of fifteen percent (15%) discount in fare for domestic air and sea travel 
for the exclusive use or enjoyment of athletes; 
(h) 
The grant of fifteen percent (15%) discoUnt in public railways, skyways and bus 
fare for the exclusive use and enjoyment of athletes; 
(i) 
Educational assistance to athletes to pursue post secondary, tertiary, post tertiary, 
as well as vocational or technical education in both public and private schools through provision 
of scholarship, grants, financial aid subsidies and other incentives to qualified athletes, including 
support for books, learning materials, and uniform allowance, to the extent feasible: Provided, 
That athletes shall meet minimum admission requirements; 
(j) 
To the extent practicable and feasible, the continuance of the same benefits and 
17 
privileges given by the Government Service Insurance System, Social Security System, and 
18 
PAG-IBIG, as the case may be, as are enjoyed by those in actual service; and 
19 
(k) 
To the extent possible, the government may grant special discounts in special 
20 
programs for athletes on purchase of basic commodities, subject to the guidelines to be issued for 
21 
the purpose by the Department of Trade and Industry and the Department of Agriculture. 
22 
In the availment of the privileges mentioned above, the athlete may submit as proof of 
23 
his/her entitlement thereto an identification card issued by the Philippine Sports Commission 
24 
showing that he/she is a member of the national team. 
25 
The establishment may claim the discounts granted under (a), (1), (g) and (h) as tax 
26 
deduction based on the net cost of the goods sold or services rendered: Provided That the cost of 
27 
the discount shall be allowed as deduction from gross income for the same taxable year that the 
28 
discount is granted; Provided, further, That the total amount of the claimed tax deduction net of 
29 
value added tax if applicable shall be included in ilieir gross sales receipts for tax purposes and 
3 


I 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
shall be subject to proper documentation and to the provisions of the National Intemal Revenue 
Code, as amended. 
SECTION 5. Duties of the Philippine Sports Commission. - The Commission shall be in 
charge of the following: 
(a) 
To maintain and regularly update on a quarterly basis the list of athletes and to 
issue nationally uniform individual identification cards, free of charge, which is valid anywhere 
in the country; 
(b) 
(c) 
To serve as a general information and liaison center to serve the needs of athletes; 
To monitor compliance of the provisions of this Act particularly the grant of 
special discounts and privileges to athletes; and 
(d) 
To assist athletes in filing complaints or charges against any establishment, 
institution, or agency refusing to comply with the privileges under this Act before the appropriate 
government agency, court, or administrative tribunal. 
SECTION 6. Responsibility of Cities and Municipalities. - It shall be the responsibility of 
municipalities and cities, through the mayor, to require all establishments covered by this Act to 
prominently display posters, stickers, and other notices that will generate public awareness of the 
rights and privileges of athletes and to ensure that the provisions of this Act are implemented to 
the fullest. 
SECTION 7. Partnership of the National Government and Local Government Units. -
The national government and local government units shall explore livelihood opportunities and 
other undertakings to enhance the well-being of all athletes. They shall encourage the 
establishment of grassroots organizations for athletes within the local government units' 
respective ten-itorial jurisdictions. 
SECTION 8. Penalties. - Any person who violates any provision of this Act shall suffer 
the following penalties: 
(a) 
For the first violation, a fine of not less than fifty thousand pesos (P50,000.00) but 
not exceeding one hundred thousand pesos (PI00,000.00) and imprisonment of not less than six 
(6) months but not more than two (2) years; and 
4 


, 
1 
(b) 
For any subsequent violation, a fine of not less than one hundred thousand pesos 
2 
(PIOO,OOO.OO) but not exceeding two hundred thousand pesos (P200,000.00) and imprisonment 
3 
for not less than two (2) years but not more than six (6) years. 
4 
Any person who abuses the privileges granted herein shall be punished with a fine of not 
5 
less than five thousand pesos (P5,000.00) but not more than fifty thousand pesos (P50,000.00), 
6 
and imprisonment of not less than six (6) months. 
7 
If the offender is a corporation, partnership, organization, or any similar entity, the 
8 
official thereof directly involved shall be liable therefore. 
9 
If the offender is an alien or a foreigner, he or she shall be deported immediately after 
10 
service of sentence without further deportation proceedings. 
11 
Upon the filing of an appropriate complaint, and after due notice and hearing, the proper 
12 
authorities may also cause the cancellation or revocation of the business permit, permit to 
13 
operate, franchise, and other similar privileges granted to any business entity that fails to abide 
14 
by the provisions of this Act. 
15 
SECTION 9. Monitoring and Coordinating Council. - A monitoring and coordinating 
16 
council shall be established to be chaired by Secretary of Social Welfare and Development or 
17 
his/her duly authorized representative. The Secretaries of Justice, Health, and the Interior and 
18 
Local Government, or their duly authorized representatives, the Chair of the Philippine Sports 
19 
Commission or his/her duly authorized representative, and the duly authorized representatives of 
20 
five (5) nongovernment organizations representing athletes shall serve as members of the 
21 
council: Provided that the nongovernment organizations shall be accredited by the Commission. 
22 
SECTION 10. Implementing Rules and Regulations. - The Commission, within sixty (60) 
23 
days from the approval of this Act, shall promulgate the rules and regulations for the effective 
24 
implementation of the provisions of this Act. 
25 
SECTION 11. Appropriations. - Upon the effectivity of this Act, such amounts necessary 
26 
to carry out the provisions of this Act shall be charged out of the funds of the Office of the 
27 
President. Thereafter, the amounts necessary for the regular implementation of this Act shall be 
28 
included in subsequent General Appropriations Acts. 
5 


1 
SECTION 12. Separability Clause. -
If any provision, or part hereof, is held invalid or 
2 
unconstitutional, the remainder of the law or the provision not otherwise affected shall remain 
3 
valid and subsisting. 
4 
SECTION 13. Repealing Clause. - Any law, presidential decree or issuance, executive 
5 
order, letter of instruction, administrative order, rule or regulation contrary to or is inconsistent 
6 
with the provision of this Act is hereby repealed, modified, or amended accordingly. 
7 
SECTION 14. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
8 
publication in at least two (2) newspapers of general circulation. 
Approved, 
6