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Writer's pictureMenchie Kinao

House approves Mangaoang’s bill on VAT exemption, discount for electricity and water bill of elderly

Updated: Feb 9, 2022


Tabuk City, Kalinga - The bill seeking an increase of discount rate for senior citizens’ monthly water and electricity bills and exempting them from value-added tax (VAT) for said services, was approved on final reading by the House of Representatives on January 17, 2022.


Congressman Allen Jesse Mangaoang is among the primary authors of the bill. He had been active in pushing for the rights and privileges of the elderly, especially those from Kalinga Province.

The crafting of said bill was one of the priorities of the Kalinga solon to recognize the contributions of the sector in the overall development of the community and the province as a whole.


House Bill 10568, as proposed by the congressman, seeks to amend Republic Act 7432 or the Expanded Senior Citizens Act of 2010.


The bill intends to raise the discount to the elderly on their monthly water and electric consumption from the current 5% to 10% and exemption from VAT

The measure, however, requires that utilities must be registered in the name of the senior citizen residing within therein and service consumption must not exceed 150 kwh of electricity and 30 cubic meters of water.


Further, the privilege shall be granted per household regardless of the number of senior citizens residing there.


Higher water and electric discount and VAT exemption for the elderly would be beneficial, especially to those who are relying on their pensions.

After its House approval, the measure was forwarded to the Senate on January 24.


The bill is expected to be approved by the Senate and the President before the change of administration.



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