The Expanded Senior Act of 2010 (Republic Act 9994)
The Republic Act 9994 or the Expanded Senior Citizens Act of 2010 was finally signed into law, giving our senior citizens additional benefits. Among them is their exemption from the 12% value-added tax (VAT), as stated in the implementing rules and regulations signed last Friday by the Deparment of Social Works and Development (DSWD). This exemption however, will start on July 6.
With the implementing guidelines, senior citizens can now fully avail of the 20% discount on essential good and services, which include food, medicines and doctors’ fees. Before, they were only able to enjoy an 8% from the supposed 20% because of the 12% VAT.
The expanded law also provides senior citizens discounts on fares for land, air and sea travel, as well as in recreations expenses, such as hotel stays, movie houses and and other leisure activities.
They are also provided by the new law a 5% discount on their monthly utility bills, provided that their household meters are registered in their name, and their consumption does not exceed 100 per kilowatt hour for electricity, and 30 cubic meters for water.
Additional benefits are also given to indigent or non-pensioner senior citizens. They would be entitled to a monthly pension of P500, plus a free medical insurance and disability insurance through Philhealth, and a buriall assistance of P2,000.
Indigent or non-pensioner senior citizens will also be entitled to a monthly pension of P500, free medical insurance and disability insurance through PhilHealth, and burial assitance worth P2,000.
The country’s finance officials were earlier concerned that senior citizens’ exemption from the VAT could reduce government revenues needed to limit the budget deficit.
June 18, 2010
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Tags: Expanded Senior Citizens Act of 2010, Government, Law, Philippines, RA 9994, Republic Act 9994, value-added tax, VAT exemption В· Posted in: Announcement, Consumers, finance, Government, Health, Law, Philippines, Taxation
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