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Republic Act No. 10754· Enacted 2016-03-23

PWD Discount Philippines 2016 — BatasKo ELI5

20% discount + VAT exemption for PWDs on medicine, transport, hospitals, restaurants & more. Know your rights under RA 10754.

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Official text — Republic Act No. 10754

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Preamble

Sixteenth Congress

Third Regular Session

Begun and held in Metro Manila, on Monday, the twenty-seventh day of July, two thousand fifteen.

REPUBLIC ACT No. 10754

AN ACT EXPANDING THE BENEFITS AND PRIVILEGES OF PERSONS WITH DISABILITY (PWD)

Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:

Section 32 — of

Section 32 of

Republic Act No. 7277,

as amended, otherwise known as the

“Magna Carta for Persons with Disability”,

is hereby further amended to read as follows:

“SEC. 32. Persons with disability shall be entitled to:

“(a) At least twenty percent (20%) discount and exemption from the value-added tax (VAT), if applicable, on the following sale of goods and services for the exclusive use and enjoyment or availment of the PWD:

“(1) On the fees and charges relative to the utilization of all services in hotels and similar lodging establishments; restaurants and recreation centers;

“(2) On admission fees charged by theaters, cinema houses, concert halls, circuses, carnivals and other similar places of culture, leisure and amusement;

“(3) On the purchase of medicines in all drugstores;

“(4) On medical and dental services including diagnostic and laboratory fees such as, but not limited to, x-rays, computerized tomography scans and blood tests, and professional fees of attending doctors in all government facilities, subject to the guidelines to be issued by the Department of Health (DOH), in coordination with the Philippine Health Insurance Corporation (PhilHealth);

“(5) On medical and dental services including diagnostic and laboratory fees, and professional fees of attending doctors in all private hospitals and medical facilities, in accordance with the rules and regulations to be issued by the DOH, in coordination with the PhilHealth;

“(6) On fare for domestic air and sea travel;

“(7) On actual fare for land transportation travel such as, but not limited to, public utility buses or jeepneys (PUBs/PUJs), taxis, asian utility vehicles (AUVs), shuttle services and public railways, including light Rail Transit (LRT), Metro Rail Transit (MRT) and Philippine National Railways (PNR); and

“(8) On funeral and burial services for the death of the PWD: Provided, That the beneficiary or any person who shall shoulder the funeral and burial expenses of the deceased PWD shall claim the discount under this rule for the deceased PWD upon presentation of the death certificate. Such expenses shall cover the purchase of casket or urn, embalming, hospital morgue, transport of the body to intended burial site in the place of origin, but shall exclude obituary publication and the cost of the memorial lot.

“(b) Educational assistance to PWD, for them to pursue primary, secondary, tertiary, post tertiary, as well as vocational or technical education, in both public and private schools, through the provision of scholarships, grants, financial aids, subsidies and other incentives to qualified PWD, including support for books, learning materials, and uniform allowance to the extent feasible: Provided, That PWD shall meet the minimum admission requirements;

“(c) To the extent practicable and feasible, the continuance of the same benefits and privileges given by the Government Service Insurance System (GSIS), Social Security System (SSS), and Pag-IBIG, as the case may be, as are enjoyed by those in actual service;

“(d) To the extent possible, the government may grant special discounts in special programs for PWD on purchase of basic commodities, subject to the guidelines to be issued for the purpose by the Department of Trade and Industry (DTI) and the Department of Agriculture (DA); and

“(e) Provision of express lanes for PWD in all commercial and government establishments; in the absence thereof, priority shall be given to them.

“The abovementioned privileges are available only to PWD who are Filipino citizens upon submission of any of the following as proof of his/her entitlement thereto:

“(i) An identification card issued by the city or municipal mayor or the barangay captain of the place where the PWD resides;

“(ii) The passport of the PWD concerned; or

“(iii) Transportation discount fare Identification Card (ID) issued by the National Council for the Welfare of Disabled Persons (NCWDP).

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“The privileges may not be claimed if the PWD claims a higher discount as may be granted by the commercial establishment and/or under other existing laws or in combination with other discount program/s.

“The establishments may claim the discounts granted in subsection (a), paragraphs (1), (2), (3), (5), (6), (7), and (8) as tax deductions based on the net cost of the goods sold or services rendered: Provided, however, 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 value-added tax, 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 (NIRC), as amended.”

Section 33 — of Republic Act No. 7277, as amended, is hereby further amended to read as follows:

Section 33 of Republic Act No. 7277, as amended, is hereby further amended to read as follows:

“SEC. 33.

Incentives.

– Those caring for and living with a PWD shall be granted the following incentives:

“(a) PWD, who are within the fourth civil degree of consanguinity or affinity to the taxpayer, regardless of age, who are not gainfully employed and chiefly dependent upon the taxpayer, shall be treated as dependents under Section 35(b) of the NIRC of 1997, as amended, and as such, individual taxpayers caring for them shall be accorded the privileges granted by the Code insofar as having dependents under the same section are concerned; and

“x x x.”

SECTION 3 — Implementing Rules and Regulations.→

SECTION 3.

Implementing Rules and Regulations.

– The Department of Social Welfare and Development (DSWD), in consultation with the Department of Health (DOH), the Department of Finance (DOF), and the National Council on Disability Affairs (NCDA), shall promulgate the necessary rules and regulations for the effective implementation of the provisions of this Act: Provided, That the failure of the concerned agencies to promulgate the said rules and regulations shall not prevent the implementation of this Act upon its effectivity.

SECTION 4 — Separability Clause.→

SECTION 4.

Separability Clause.

– If any provision of this Act is declared invalid or unconstitutional, other provisions hereof which are not affected thereby shall remain in full force and effect.

SECTION 5 — Repealing Clause.→

SECTION 5.

Repealing Clause.

– All laws, orders, decrees, rules and regulations, and other parts thereof inconsistent with the provisions of this Act are hereby repealed, amended or modified accordingly.

SECTION 6 — Effectivity.→

SECTION 6.

Effectivity.

– This Act shall take effect fifteen (15) days after its publication in the Official Gazette or in two (2) newspapers of general circulation.

Approved,

(Sgd.)

FRANKLIN M. DRILON

President of the Senate

(Sgd.)

FELICIANO BELMONTE JR.

Speaker of the House

of Representatives

This Act which is a consolidation of House Bill No. 1039 and Senatee Bill No. 2890 was passed by the House of Representatives and the Senate on December 16, 2015 and December 15, 2015, respectively.

(Sgd.)

OSCAR G. YABES

Secretary of the Senate

(Sgd.)

MARILYN B. BARUA-YAP

Secretary GeneralHouse of Representatives

Approved: MAR 23 2016

(Sgd.)

BENIGNO S. AQUINO, III

President of the Philippines

The Lawphil Project - Arellano Law Foundation

Full text on BatasKo. Original source: Official Gazette / Lawphil.

May kakilala ka bang may kapansanan — kapatid, magulang, o ikaw mismo — na hindi alam kung gaano kalawak ang mga pribilehiyo nila? Under RA 10754, ang isang PWD ID ay nagbubukas ng 20% discount at VAT exemption sa halos lahat ng pangunahing gastusin: gamot, ospital, sakay, pagkain, at marami pang iba. Hindi ito biyaya — ito ay karapatan na nakasulat sa batas.

Real Filipino Scenario: Linda's Medicines at the Drugstore

Linda is a 58-year-old private school teacher in Baguio City. She was diagnosed with rheumatoid arthritis three years ago and registered as a PWD with her city government. Every month, she spends around ₱3,500 on maintenance medications.

One day, a new pharmacist at the drugstore tells her the discount only applies to "senior citizens, not PWDs." Linda pulls out her PWD ID and calmly says she's entitled to a 20% discount plus VAT exemption under RA 10754.

The pharmacist checks with the manager — and Linda is right.

On a ₱3,500 monthly bill, the 20% discount alone saves her ₱700. With VAT exemption on top of that, her actual savings climb even higher.

What Linda should do: Always bring her PWD ID. If a drugstore refuses, ask to speak to the manager, cite RA 10754 Section 32(a)(3), and if still refused, file a complaint with the NCDA or DTI.

What the Law Actually Says

Republic Act No. 10754, signed on March 23, 2016, amends Section 32 of RA 7277 (the Magna Carta for Persons with Disability). It expands PWD privileges significantly — most importantly by adding VAT exemption on top of the existing 20% discount.

Under Section 32(a) of RA 10754, PWDs are entitled to at least a 20% discount and VAT exemption on:

  1. Hotels, restaurants, and recreation centers — all service fees (§ 32[a][1])
  2. Theaters, cinemas, concert halls, carnivals — admission fees (§ 32[a][2])
  3. Medicines — in all drugstores (§ 32[a][3])
  4. Medical and dental services in government facilities — including lab tests, x-rays, CT scans, blood tests, and doctors' professional fees (§ 32[a][4])
  5. Medical and dental services in private hospitals — same coverage as above (§ 32[a][5])
  6. Domestic air and sea travel — fares (§ 32[a][6])
  7. Land transportation — buses, jeepneys, taxis, AUVs, shuttle services, LRT, MRT, and PNR (§ 32[a][7])
  8. Funeral and burial services — casket or urn, embalming, transport of remains, hospital morgue (§ 32[a][8])

Beyond discounts, Section 32(b) also provides educational assistance — scholarships, grants, financial aids, and subsidies for PWDs studying in public or private schools, from primary level up to vocational and post-tertiary education.

Section 32(e) mandates express lanes for PWDs in all commercial and government establishments. Kung wala, dapat bigyan ng priority.

Section 33 adds a tax benefit for families: if a PWD relative within the fourth degree of consanguinity or affinity is not employed and is dependent on you, you may claim them as a dependent for income tax purposes.

To use these privileges, you need any one of the following:

  • PWD ID issued by the city/municipal mayor or barangay captain
  • Your Philippine passport (if it reflects your PWD status)
  • Transportation Discount Fare ID issued by the NCDA (formerly NCWDP)

What This Means for You

Ang ibig sabihin nito sa simpleng salita: ang iyong PWD ID ay pera.

A 20% discount plus VAT exemption is not the same as just 20% off. The VAT in the Philippines is 12%. So when both apply, you're saving significantly more than just a fifth of the price.

Halimbawa: kung ang gamot ay ₱1,000 bago mag-VAT, babayaran ka ng drugstore ng VAT-exclusive price bago i-apply ang 20%. Sa practical na paraan, ang combined savings mo ay halos 29–32% depende sa kung paano ino-compute ng establishment.

The key rule: the discount applies to the exclusive use and enjoyment of the PWD. Ibig sabihin, hindi mo pwedeng gamitin ang discount para sa isang grupo kung ikaw lang ang PWD sa grupo — unless the purchase is clearly para sa iyo.

Also important: kung may mas malaking discount ang isang establishment — like a cinema promo na 25% off — you take whichever is higher, hindi pinagsasama-sama ang dalawa.

Real Filipino Scenario: Linda Gets It Wrong at the Restaurant

Linda is a 45-year-old accountant in Davao City with a certified visual impairment. She's been using her PWD ID for years at drugstores but never thought to use it at restaurants — she assumed the discount was only for medicines and hospitals.

One Sunday, her daughter brings her to a sit-down restaurant for lunch. The bill comes to ₱1,800. Her daughter pays the full amount.

Later, Linda's officemate tells her: "Ate, may discount ka doon — 20% plus VAT exemption pati sa restaurants!"

Linda didn't know Section 32(a)(1) covers restaurants explicitly.

The next time they dine out, Linda presents her PWD ID. On a ₱1,800 bill, she saves roughly ₱360 from the discount alone — on top of the VAT exemption.

What Linda should do: Start carrying her PWD ID everywhere — not just to the pharmacy. The discount applies at hotels, restaurants, recreation centers, cinemas, and transport. Maraming Pilipino ang hindi alam na ganito kalawak ang coverage.

What Most Filipinos Get Wrong

Mali #1: "Pang-senior citizen lang yan." Hindi. The PWD discount is separate from the senior citizen discount. Both exist under different laws. Kung 60 years old ka na at PWD ka rin, you pick the higher of the two discounts — hindi pinagsasama.

Mali #2: "Kailangan mo ng medical certificate every time." Hindi. A valid PWD ID is enough. You don't need to re-prove your condition every purchase.

Mali #3: "Pwede gamitin ng buong pamilya ang discount." Hindi. The law is clear — the goods or services must be for the "exclusive use and enjoyment or availment of the PWD." Ang isang restaurant meal para sa table ng apat na tao ay hindi fully covered — ang share ng PWD lang ang may discount.

Mali #4: "Pag nagre-renovate ang drugstore, hindi applicable." Nope. Walang excuse ang establishment na tanggihan ang discount. Kung walang available na system, may obligation silang manual-process ito.

Mali #5: "Wala akong PWD ID kaya wala akong discount." The ID is required — pero ang application process ay free and done through your city or municipal government, or your barangay. Kung hindi ka pa nag-a-apply, gawin na ngayon. Dalhin lang ang medical certificate mula sa iyong doktor at pumunta sa OSCA/CSWDO office ng iyong LGU.

For OFWs / Para sa mga OFW

Kung ikaw ay isang Pilipinong may kapansanan at kasalukuyang nagtatrabaho o naninirahan sa ibang bansa, ang RA 10754 ay applicable sa iyo kapag nasa Pilipinas ka — vacation man o balik na.

Ang mga benepisyo ay para sa Filipino citizens lamang. Kaya basta may valid Philippine PWD ID ka, magagamit mo ang discount kapag bumalik ka.

Lhanie, 38, isang nurse sa New Zealand na may registered hearing impairment, ay nagtatanong: "May applicable ba ito sa akin kahit OFW na ako?"

Ang sagot: Oo, kapag umuwi ka sa Pilipinas. Kung may valid PWD ID ka na nakuha bago umalis, gamitin mo ito. Kung wala pa, kailangan mong personal na mag-apply sa iyong home LGU — hindi ito pwedeng gawin ng isang kakilala mo sa iyong pabahala, since ang mga requirements ay kadalasang nangangailangan ng personal appearance at medical documentation.

Practical tips para sa OFW PWDs:

  • Bago umalis ng bansa, i-renew na ang iyong PWD ID kung malapit nang mag-expire
  • Mag-coordinate sa POLO/MWO ng iyong host country kung may medical documentation requirements ang iyong LGU — maaari silang makatulong sa authentication ng foreign medical records
  • Ang Philippine Embassy o Consulate ay hindi direktang nag-i-issue ng PWD ID, pero maaari silang tumulong sa notarization ng documents na kailangan mo para mag-apply

What to Do if Your Rights Are Violated

Ano ang Gagawin

  1. Kalmado, ipaliwanag ang batas. Cite Republic Act No. 10754, Section 32(a). Maraming staff ang basta hindi lang alam — ang unang hakbang ay edukasyon, hindi confrontation.

  2. Humingi ng manager o supervisor. Front-liners ay baka hindi authorized mag-approve. Ang manager ay may mas malinaw na kaalaman — o mas takot na masugal sa legal na consequences.

  3. Kumuha ng resibo o dokumentasyon. Kung pinilit kang magbayad ng full price, i-document ang amount, pangalan ng establishment, petsa, at kung sino ang nagrefuse.

  4. Mag-file ng complaint sa NCDA. Ang National Council on Disability Affairs (NCDA) ang pangunahing ahensya na nagpapatupad ng PWD laws. Website: ncda.gov.ph. Pwede ka ring pumunta sa kanilang opisina o makipag-ugnayan sa iyong LGU.

  5. Mag-report sa DTI. Para sa mga commercial establishments tulad ng restaurants, drugstores, at hotels, ang Department of Trade and Industry (DTI) ay tumatanggap ng consumer complaints. I-file online sa konsyumer.gov.ph o tumawag sa DTI Hotline: (02) 7751-3330.

  6. Makipag-ugnayan sa iyong barangay o CSWDO. Ang local government units ay may mandate ring ipatupad ang PWD laws sa kanilang jurisdiction.

  7. Huwag hayaang mapagod ka. May penalties ang establishments na tumatanggi sa valid PWD discounts. Hindi ito maliit na bagay para sa batas.

Related Laws

Mga Madalas Itanong / FAQ

Q: Sino ang considered na PWD under this law?

A: Ayon sa RA 7277 (ang base law ng RA 10754), ang isang PWD ay isang taong may physical, mental, intellectual, o sensory impairment na, sa pakikipag-ugnayan sa iba't ibang hadlang, ay pumipigil sa kanyang buong at epektibong pakikilahok sa lipunan. Kasama dito ang mga may kapansanan sa paningin, pandinig, pagsasalita, pag-iisip, pisikal na paggalaw, at iba pa. Ang PWD status ay kailangang i-certify ng isang lisensyadong doktor at irehistro sa iyong LGU.

Q: Kailangan ko bang ipakita ang prescription para makuha ang discount sa gamot?

A: Hindi palagi — ang iyong PWD ID ay sapat para sa discount. Pero kung ang gamot ay prescription-required (tulad ng maintenance meds), natural na kailangan mo rin ng reseta ng doktor para mabili mo ito. Ang discount ay ibinibigay sa pagpapakita ng valid PWD ID — hindi ito nakakoneksyon sa prescription requirement.

Q: Paano kung ayaw ng establishment na ibigay ang discount?

A: Una, humingi ng supervisor. Pangalawa, mag-document ng incident. Pangatlo, mag-file ng complaint sa NCDA (ncda.gov.ph) o sa DTI. May legal na penalties ang establishments na tumatanggi nang wala sa lugar. Hindi ito basta maliit na paglabag — ito ay paglabag sa isang Republic Act.

Q: Applicable ba ang discount kung kasama ko ang pamilya ko sa restaurant?

A: Ang discount ay para sa "exclusive use and enjoyment" ng PWD — so technically, ang portion ng bill na para sa iyo ang may discount, hindi ang buong table. Sa practice, maraming establishments ang nagda-discount ng buong bill kung ikaw ang primary diner, pero hindi ito legal na obligasyon nila. Para sa mas malinaw na guidance, tingnan ang IRR na inilabas ng DSWD at DOH.

Q: Pwede bang mag-apply ng PWD ID online?

A: Ang process ay nakadepende sa iyong LGU. Ilang lungsod at bayan ay may online application na, pero karamihan ay nangangailangan pa rin ng personal appearance para sa verification. Pumunta o tumawag sa iyong City Social Welfare and Development Office (CSWDO) para malaman ang specific na proseso sa iyong lugar. Ang renewal ay kadalasang kailangang gawin tuwing tatlong taon.

Sources

  • Republic Act No. 10754 — An Act Expanding the Benefits and Privileges of Persons with Disability. Signed March 23, 2

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Legal disclaimer: BatasKo provides general legal information, not legal advice. For your specific situation, consult a licensed Filipino lawyer or the Public Attorney's Office (PAO).

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