Solon hopes seniors can soon enjoy discounts even for items on promos

MANILA, Philippines — A lawmaker still believes that the 20 percent discount for purchases made by senior citizens should still apply to goods and services that are under promotional offers or value added tax (VAT) exemption.

This view is expressed even as the Supreme Court (SC) ruled that only one type of incentive shall be applied.

In a statement on Friday, Senior Citizens party-list Rep. Rodolfo Ordanes said that since promotional offers are given to consumers regardless of age, a special discount for senior citizens should still apply.

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“We maintain that senior citizens must continue to enjoy their statutory 20% discount and [VAT] exemption, even when promotional offers are available,” Ordanes said.

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“Promotional prices are generally offered to all consumers, regardless of age or status. They should not automatically be treated as a substitute for the benefits granted by law to senior citizens,” he pointed out.

“The purpose of these benefits is to provide our elderly with additional financial relief and protection, not merely access to the same prices available to the general public,” he emphasized.

Ordanes’ statement came after SC acquitted a Bacolod City hotel manager over allegations of violating provisions of Republic Act No. 7432 or the Senior Citizens Act. 

The law mandates the 20 percent discount and exemption from VAT for the sale of certain goods and services from all establishments, if it is seniors who will exclusively use or enjoy the purchase.

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The case, meanwhile, was a result of complaints filed by two senior citizens against a certain Orville Ong, a hotel manager, after the latter rejected the senior citizen discount when they checked in at the hotel.

Ong argued that the hotel room already had a 20-percent discount as members of the Cebu Bikers Club.  Ong was then found guilty by a municipal trial court for violating the law.

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However, during SC’s en banc session last Wednesday, it said that granting discounts or benefits on top of what is provided under R.A. No. 7432 would “unfairly benefit the customer at the business’ expense.”

It stressed that the elderly, or individuals aged 60 and up, may choose only one kind of benefit when availing goods or services — either the promotional discount or the mandatory 20-percent senior citizen discount.

READ: Senior citizens can only be granted one type of discount, says SC

Ordanes said this is practically the reason why he filed House Bill No. 428 which seeks to allow the imposition of a 20 percent discount for senior citizens and persons with disabilities (PWDs), on top of promotional offers and VAT exemption.

“This is precisely why we filed House Bill No. 428, which seeks to ensure that the 20% discount and VAT exemption granted to senior citizens and [PWDs] may be availed of in addition to existing promotional offers or discounts,” he explained.

“Their statutory benefits must not be rendered meaningless simply because an establishment offers a promotional price available to everyone,” he noted.

“We call on the Supreme Court to provide a clear explanation of the scope of its ruling to prevent any interpretation that could undermine the protections afforded to senior citizens under the law,” Ordanes said.

Last Wednesday, Presidential Legislative Liaison Office Secretary Joey Salceda said that while the SC decision must be respected, the Department of Trade and Industry and the National Commission of Senior Citizens must ensure that regular prices would not be made to appear as if they are promotional prices, just to avoid providing discounts.

“The ruling must not become a workaround to the law,” Salceda said.

The Palace official had pushed for senior citizen discounts on top of other promotional offers at the House of Representatives when he was still an Albay representative

Aside from this, Salceda said that the government must also reconsider its policies since the Philippines has an aging population.

“More broadly, it is time to rethink our policies on aging. With fertility down to just 1.7 children per woman, below the replacement level of 2.1. We will not always be a young country,” he remarked.

“Our demographic dividend will eventually give way to a demographic duty of care, with greater demands on pensions, healthcare, and long-term care,” he added.

Aside from Ompong and Salceda, several lawmakers have filed and supported measures that seek to provide discounts to seniors and PWDs, on top of promotional offers.

READ: Romualdez’s bill seeks senior, PWD discount on top of store promos

Last July, former House Speaker Ferdinand Martin Romualdez and other lawmakers filed a bill on this matter.

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This move came as several establishments do not include senior discounts if their product or service already has supposed price cuts. /apl