MANILA MEMORIAL PARK, INC v.

SECRETARY OF DSWD
711 SCRA 302
G.R. No. 175356 , December 3, 2013
PONENTE : JUSTICE DEL CASTILLO
FACTS:

RA 7432 or also known as " an act to Maximize the Contribution of Senior Citizens to Nation
Building, Grant Benefits and Special Privileges and for other purposes” and was amended by
Republic Act 9257 otherwise known as “an act granting additional benefits and privileges to senior
citizens”, this acts provides the senior citizens a discount of 20% in several necessities.

The Petitioner challenges the constitutionality of this act and its implementing rules and regulations
issued by the DSWD and DOF insofar as these allow private business establishments to claim the
20% discount given to senior citizens as a tax deduction.

Issue :

Whether or not the Section 4 of RA 9257 and its implementing rules and regulations in giving the
20% discount to the senior citizens may be claimed as a tax deduction by the private establishments
is valid and constitutional.

Ruling:

The Petition lacks merit.

The Court emphasizes that 20% discount of the senior citizen is intended to help them improve their
welfare because most of them are already unemployed and already vulnerable specially when it
comes to their health and other basic necessities. The court also believes that the private
establishments have the capacity to adjust their prices and recoup any reduction in profits or
income/gross sales to adopt with this 20% discount.

Thus, the Supreme Court upholds the constitutionality of the tax deduction scheme for senior citizen
discounts, ruling that it is a valid exercise of police power and does not violate the Constitution. The
20% senior citizen discount and tax deduction scheme under RA 9257, is a valid exercise of police
power of the State has already been settled in Carlos Superdrug Corporation.