The new law exempting Persons with Disabilities (PWDs) from 12 percent Value Added Tax (VAT) takes effect today.
Senator Sonny Angara says, under Republic Act 10754, PWDS are exempted from VAT on land transportation, domestic air and sea travels; on medical and dental services including diagnostic and laboratory fees and professional fees of attending doctors in all government facilities as well as in all private hospitals and medical facilities; on cost of medicines; on funeral and burial services; on fees and charges in hotels, restaurants and recreation centers; and on admission fees in theatres, concert halls and other similar places of culture, leisure and amusement.
The VAT exemption is on top of the 20% discount on goods and services that PWDs are entitled to under the Magna Carta for Disabled Persons.
The new law also grants a P 25,000 annual income tax deduction to relatives within the fourth degree of consanguinity or affinity, who are caring for and living with a PWD.