WHEN THE PHILIPPINE Congress enacted Republic Act 9994 (otherwise referred to as the Expanded Senior Citizens Act of 2010), Filipino elders were made to believe that the law would somehow make their life a little less difficult.
Under RA 9994, Filipinos (regardless of gender and social status) aged 60 and above are entitled to a 20 percent discount and exemption from value-added tax (VAT) on certain goods and services for their personal consumption.
The discounts apply to both cash and credit card payments covering goods and services like dine-in and take-out orders in restaurants; hotel room accommodations, transportation whether it be air, land, and sea travel fares; prescription and over the counter medicines; grocery items like rice, bread, meat, eggs, etcetera.
‘The … hinted at a provision on “Other goods and services for personal use as defined by law” … the law in itself sounds good but a reality check doesn’t seem to be consistent with the purpose for which the law was enacted.’
REALITY CHECK
The same law also hinted at a provision on “Other goods and services for personal use as defined by law.”
For one, the law in itself sounds good but a reality check doesn’t seem to be consistent with the purpose for which the law was enacted.
In restaurants, senior citizens may only use their discount privilege once a day. What makes it worse is that a closer look into the official receipt tends to show that these people who have been paying taxes all their life are still made to pay for an “obligation” which has already been stripped under the RA 9994.
Drug stores won’t give discounts for “over the counter medicines.” Other establishments which have been remiss on complying with the law are drug stores, and credit card companies.
MALASAKIT
For the last 10 years, we’ve heard all sorts of complaints on the half-based implementation of the expanded senior citizens act.
Under these circumstances, a legislator by the name of Senator Bong Go offered a legislative solution.
His take — exempt senior citizens from paying VAT in cash and credit card payments covering goods and services like dine-in and take-out orders in restaurants; hotel room accommodations, transportation whether it be air, land, and sea travel fares; prescription and over the counter medicines; grocery items like rice, bread, meat, eggs, etcetera.
Ganun din naman kasi…. Mas malaki pa nga ang ipinapataw na VAT sa kanila kumpara sa diskwento para lang sa mga piling bilihin.
Let me be clear though. I am six years away from becoming a dual citizen (Filipino and Senior) so there’s nothing for me to gain — for now.
I am also no fan of Senator Go. But the man behind the Malasakit Centers Act, talks with sense unlike other politicians na puro lang dada.
