Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

NINETEENTH CONGRESS
First Regular Session

362

House Bill No.

INTRODUCED BY REPRESENTATIVE MARISSA “DEL MAR” P. MAGSINO

AN ACT
EXPANDING THE GRANT OF TWENTY PERCENT (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

Senior Citizens are important members of the society. In their years of youth and
vigor, it was their invaluable contribution to society that helped strengthen our economy

and fuel our government programs.

However, in the twilight of their lives, many of them are left to fend for
themselves with their life savings and little pension. The monthly pension they
receivehave to be strictly budgeted in order to pay for their personal expenses and
medical needs. Despite their role in shaping our nation, at a time of their lives when
they are in need of help, assistance is most often little, if not at all futile.

The Constitution itself upholds social justice. This means that the marginalized
sectors of society must always be prioritized and given refuge to. Senior Citizens are
undoubtedly members of these sectors to whom government assistance must always be
made available. Under Article XV, Section 4 thereof, it is the shared duty between the
family and the State to care for the elderly. We should not thus leave them behind after
we have gained much from them when they were much stronger.

Now in the chapter of their lives when they are most vulnerable, the elderly must
be given love and attention. Hence, this humble representation has sought for ways and
means to alleviate their sufferings. One of such social security programswhich the
government could offer, is exactly what this bill proposes.

Under this proposed measure, Republic Act No. 9257, otherwise known as the
Expanded Senior Citizens Act of 2003”, is sought to be amended to widen the benefits
already granted to the elderly. After all, Republic Act No. 7642, otherwise known as


“An Act to Maximize the Contribution of Senior Citizens to Nation Building, Grant
Benefits and Special Privileges and for Other Purposes”, or The Senior Citizens Act,
stressed the duty of the State to look after the elderly, and to motivate and encourage
them to contribute to nation building by ensuring that mechanisms are established that
would maximize the contribution of senior citizens and establish programs beneficial to

them.

Under the current setup, it is mandatory for business establishments to grant the
twenty percent (20%) discount on certain goods and services to senior citizens, and an
additional twelve (12%) value-added tax exemption. However, since Republic Act No.
9994, otherwise known as the “Expanded Senior Citizens Act of 2010”, opened the
floodgates to the abuse of the law by defining and granting discount on essential medical
supplies, accessories and equipment, and failing to define the term “medicines.” This
allowed many business establishments to refuse to fully or adequately honor the
privileges which the elderly should receive under the law.

Here now comes this proposed measure which recognizes the increased demand
among the elderly population, as recommended by their physicians to consume and
follow their required nutritional levels through medicines, supplements, vitamins,
herbal products and formulate milk.

When the COVID-19 pandemic hit the world, we realized just how important
these are in fortifying the line of defense of senior citizens whose age and comorbidities
make them even more vulnerable to diseases and even death. For instance, certain
vitamins have proven to reduce morbidity in senior citizens, such as the daily intake of
Vitamin D supplementation which several studies have shown to have safely reduced the
risk of respiration infections.

Herbal medicine such as lagundi and extra virgin coconut oil have also gained
popularity among the elderly and the sick, due to their overwhelming positive help in
reducing and fighting illnesses.

Formulated milk has helped many of the elderly to consume their daily needed
energy and high-quality protein, especially among those whose age and illnesses have
made eating solid food difficult. Studies have shown that a full cup serving of these
formula milks is equivalent to a full meal which many of the elderly have struggled to

finish and even enjoy.

We now come to the aid of the elderly who, in their younger years, have helped
raised us, embraced us, and contributed much to our nation’s growth. We should never
allow any ambiguity in the law, not even fiscal challenges, to leave them behind.


We should repay them by ensuring that their rights are always upheld. A nation that
gives back to those we owe debt of gratitude to after they have served in their
yesteryears, is a nation that has a bright future ahead it.

Our senior citizens are heroes who deserve our love and care. For this reason,

expeditious consideration and approval of this measure is earnestly sought.

Wm OT one


wearanuanw

10
1
12
13

14

15

16
17
18
19
20
24
22

23

Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

NINETEENTH CONGRESS
First Regular Session

62

- 3
House Bill No. ~

INTRODUCED BY REPRESENTATIVE MARISSA “DEL MAR” P. MAGSINO

AN ACT
EXPANDING THE GRANT OF TWENTY PERCENT (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:

Section 1. Short Title.-This act shall be known as “Abot-Kayang Gamot, Bitamina at
Gatas Para saMalusogna Senior Citizen Act”.

Sec.2. Declaration of Policy.— It is the declared policy of the State to protect and uphold
the rights and welfare of senior citizen and promote their good health and well-being. Towards
this end, the State shall ensure that medicines, supplements, vitamins, herbal products and
formulated milk medically prescribed by physicians that provide necessary and required
nutrition to Senior Citizens shall be granted a twenty percent (20%) discount shall likewise be
exempt from Value Added Tax (VAT) so that the senior citizens can avail thereof at reasonable
prices.

Sec.3. 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;


1 (E) SUPPLEMENTS REFERTOPRESCRIPTION AND NON-
2 PRESCRIPTION/OVER-THE-COUNTERMEDICAL AND DIETARY
3 SUPPLEMENTS, BOTH GENERIC AND BRANDED, INCLUDING
4 VITAMINS, HERBAL PRODUCTS AND FORMULATED MILK, DULY
Ss PRESCRIBED OR RECOMMENDED BY PHYSICIANS, AND
6 APPROVED BYDOH AND FDA, WHICH ARE INTENDED FOR USE IN
7 THE DIAGNOSIS, CURE, MITIGATION, TREATMENT OR
8 PREVENTION OF HUMAN DISEASE OR SICKNESS;

9 (F) [(d)] MedicalServices refer to hospital services, professional services,
10 physicians and other health care professional and diagnostics and laboratory tests
uw that the necessary for the diagnosis or treatment of an illness or injury;

12 Xxx”
1B Sec.4. Section 4 of Republic Act No. 7432, as amended by Republic Act No. 9257,

14 otherwise known as the “Expanded Senior Citizens Act of 2003", and further amended by
Republic Act No. 9994, otherwise known as the “Expanded Senior Act of 2010”, is hereby
16 further amended to read as follows:

a

7 “Sec.4. Privileges for the Senior Citizens. - The senior citizens shalll be entitled to
18 the following:

19 (a) the grant of twenty percent (20%) discount and exemption from the
20 value-added tax (VAT), if applicable, on the sale of the following goods
2a and services from all establishments, for the exclusive use and enjoyment
22 or availment of the senior citizen:

23 (a) on the purchase of medicines ASDEFINED IN THIS
24 ACT, including the purchase of influenza and
25 pneumococcal vaccines, and such other essential medical
26 supplies, accessories and equipment to be determined by
27 the Department of Health (DOH);

28 (2) ON THE PURCHASE OF SUPPLEMENTS AS
29 DEFINED IN THIS ACT;

30 (3) [(2)] on the professional fees of attending physician/s
31 in all private hospitals, medical facilities, outpatient clinics
32 and home health care services;

33 (20) [(9)] on funeral and burial services for the death of
34 senior citizens;”

35 Sec.5. Repealing Clause. — All laws, decrees, letters of instruction, resolutions orders or

36 parts thereof which are inconsistent with the provisions of this Act are hereby repealed,
37 modified or amended accordingly.

38

39


1 Sec.6.Effectivity Clause. — This act shall take effect fifteen (15) days after its publication
2. inthe Official Gazette or in two (2) newspapers of general circulation.

Approved,