RMC No. 45-2010: Circularizes Section 4 and 5 of Republic Act No. 9994, relative to the grant of additional benefits and privileges to Senior Citizens, further amending Republic Act No. 7432, as amended

Key points

1. 20% discount and VAT exemption. Senior Citizens get a 20% discount and VAT exemption, if applicable, on goods and services from all establishments for their exclusive use. These cover medicines, physicians’ and home health care professional fees, medical, dental, diagnostic and laboratory fees, and fares for land, domestic air and sea transport. They also cover hotels, restaurants and recreation centers, admission fees to theaters, cinemas, concert halls and amusement venues, and funeral and burial services.
2. Income tax exemption. Senior Citizens who are minimum wage earners are exempt from individual income tax.
3. Water and electricity. They receive a minimum 5% discount on the monthly use of water and electricity supplied by public utilities.
4. Enactment dates. The law was signed on February 15, 2010 and published in a newspaper of general circulation on March 28, 2010.

Who is affected

• Senior Citizens
• Senior Citizens who are minimum wage earners (income tax exemption)

Deadlines and effectivity

• RA No. 9994 signed February 15, 2010
• Published March 28, 2010