EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
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S E N A T E  
S. No. 4 5 3
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'19 JUL 15 A 9 58
Introduced by SENATOR RAMON BONG REVILLA, JR.
AN ACT
GRANTING TAX RELIEF TO PERSONS WITH DISABILITIES (PWDs), AND 
FOR OTHER PURPOSES
EXPLANATORY NOTE
The Tax Relief Act to Persons with Disability aims to aid PWDs in improving 
their quality of life by assisting them financially.
Persons with disability (PWDs) is an emerging sector within public health. PWDs 
account for around 1.57% of the national population according to the 2010 Census of 
the Philippine Statistics Authority.
As most of us know, PWDs are already faced with piling expenses that relate 
to addressing or maintaining their respective health issues.
This proposed bill seeks to alleviate their financial burdens by granting Persons 
with Disability an equitable form of tax relief to ensure not only their rehabilitation, 
self-development, and self-reliance, but also, their integration with the mainstream of 
society.
This special tax treatment to be granted to Persons with Disabilities does not 
seek to discriminate their circumstantial situation, but to identify a solution to improve 
their welfare and quality of living.
In view of the foregoing, the passage of this bill is earnestly recommended.
yk
RAMO^BONG REVILLA, JR.


EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
)
S E N A T E
s. No. 4 5
.■TfriTite
f  ’•| !'tf £',-:rrtniy
'll 15 A 9 59
Introduced by SENATOR RAMON BONG REVILLA, JR.
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AN ACT
GRANTING TAX RELIEF TO PERSONS WITH DISABILITIES (PWDs), AND 
FOR OTHER PURPOSES
Be it enacted by the Senate and House o f Representatives o f the Philippines in 
Congress assembled:
Section 1. Short Title. -  This Act shall be known as "Tax Relief for Persons with 
Disabilities (PWDs) Act of 2019."
Sec. 2. Declaration o f Policy. -  The State affirms the principle that disabled 
persons are part of Philippine society. The State shall give full support to the 
improvement of the total well-being of Persons with Disability (PWDs) and their 
integration into the mainstream of society. Toward this end, the State shall adopt 
policies ensuring the rehabilitation, self-development, and self-reliance of PWDs. It 
shall aid in recognizing their skills and potentials to enable them to compete favorably 
for available opportunities.
Sec. 3. Definition o f Terms. -  As used in this Act, the term "persons with 
disabilities" shall refer to those suffering from restriction or different abilities, as a 
result of a mental, physical or sensory impairment, to perform an activity in the 
manner or within the range considered normal for a human being, as the term is used 
in Republic Act No. 7277, or the Magna Carta for the Disabled Person.


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Sec. 4. Incentives. - Persons with disabilities shall be entitled to the following 
incentives:
(a) All allowances and benefits granted to disabled persons shall be excluded 
from the computation of gross income and shall be exempt from taxation 
under Republic Act. No. 8424, otherwise known as the "National Internal 
Revenue Code of 1997";
(b) Twenty percent (20%) discount on the sale of goods and services on food, 
clothing, transportation, medicine, medical sen/ices, dental services, and 
other basic necessity from all the establishments for the exclusive use and 
enjoyment of the person with disability. In the purchase of goods and 
services which are on promotional discount, the person with disability can 
avail of the establishment's offered discount or the 20% discount provided 
herein, whichever is higher and more favorable; and
(c) A minimum of five percent (5%) discount relative to the monthly utilization 
of water and electricity by households with persons with disabilities; 
provided, further, that the monthly consumption does not exceed thirty 
cubic meters (30m2) of water and one hundred kilowatt hours (lOOkwh) of 
electricity; provided, furthermore, that the privilege is granted per 
household regardless of the number of persons with disabilities residing 
therein.
Sec. 5. Tax Deduction.- l\\e  establishment granting the discount under Section 
4 (b) and (c) hereof may claim the discounts provided as tax deductions based on the 
cost of the goods sold and services rendered; provided, that the cost of the discount 
shall be allowed as deduction from the gross income for the same taxable year that 
the discount is granted; provided, further, that the total amount of the claimed tax 
deduction net of VAT, if applicable, shall be included in their gross sales receipts for 
tax purposes and shall be subject to proper documentation and to the provisions of 
the National Internal Revenue Code of 1997, as amended.


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Sec. 6. Im plem entation.-IhQ  Bureau of Internal Revenue, in consultation with 
all relevant government agencies shall issue the necessary rules and regulations for 
the implementation of this Act.
Sec. 7. Separability Clause. - If any provision of this Act is declared 
unconstitutional or invalid, the provisions not affected thereby shall continue to be in 
full force and effect.
Sec. 8. Repealing Clause. - All laws, republic acts, presidential decrees, orders, 
rules and regulations or other issuance of government agencies inconsistent with the 
provisions of this Act are hereby repealed, amended, or modified accordingly.
Sec. 9. Effectivity Clause. - This Act shall take effect fifteen days after this 
publication in the Official Gazette.
Approved,