Expenses not deductible from Gross income of Farmers

Deductions under senior citizens act of 2010

- RA 9994 – Expanded senior citizens act of 2010

- Filipino Citizen 60 and above

- 20% all establishments

1. Medicines

- Medical Supplies
- Medical and Dental Services in Private Facilities

2. Professional Fees of Licensed health worker

3. Proesional Fees of Attending Physician

4. Medical and Dental services in all Private Hospitals

5. Actual Fare for Land transportation in PUBs, PUJs, AUVs, LRT, MRT and PNR

- Taxi fares are under 20% discount

6. Actual Transportation Fare for Domestic air transport and the like

a. Air and sea transport (domestic) 20 % discount and VAT exemption

b. Public Land Transportation 20% discount and VAT exemption

7. Services in Hotels and the like

a. hotels – room accommodations and other amenities

b. Restaurants – the sale of food and drink
c. food and drinks other
consumables
d. for dine in services of Hotels
e. Take out or Take home
f. For delivery orders as long as
 Senior citizen id card number must be given while ordering
 SC card must be presented upon delivery
 if delivery charged is billed separately it is not subject to 20 % unless the opposite
g. Most expensive meal combinations
h. Recreation centers
i. Non profit country clubs
 j. Restaurants inside country clubs

8. Admission Fees

9. Funeral and Burial Services

10. On basic Necessities and prime commodities

Discounts as deductions from gross income

- The establishment may claim the discounts granted above as tax deduction based on the cost of
goods and services rendered.

Additional deduction for Employees

- Private establishments employing senior citizen are entitled 15% deduction from their gross
income of the total amount of salaries given to SC

Deductions under magna Carta for Persons with disabilities 20% discount from these esablishments

Discounts as deductions from gross income

- The establishment may claim the discounts granted above as tax deduction based on the cost of
goods and services rendered.

Prohibition on availment of double discounts

- Discount cannot be claimed of the person claims a discount higher than what is in the law
- example. senior citizen with disability can only get 20% discount

B. Interest

- Payment for the use of forbearance or detention of money.