DEC.

29, 2013

NR # 3331

House leader seeks inclusion of medical expenses as allowable tax deductions for taxpayers
A House leader is seeking the inclusion of medical expenses, as allowable tax deductions for taxpayers to ensure the health benefits that the State is having difficulty providing due to limited resources, would be indirectly met. Rep. Rodolfo Bia on !"one #istrict, $untinlupa %ity& raised the proposal through House Bill '(), which seeks to amend Section *) of Republic Act +),), otherwise known as the -ax Reform Act of .//0, by including medical expenses as allowable tax deductions for individual taxpayers. Bia on, chairman of the House committee on national defense and security, said priority must be given to the health of citi ens in any agenda of the government if it is to build a prosperous nation. 1-he State is duty2bound to give the common man a relief from the barrage of problems he encounters daily, and support for his obligations to himself, his family and society,3 said Bia on. He said health is one critical social issue constantly facing every 4ilipino that can never be set aside. 5t is 6uite sad that the national budget for health grows proportionately smaller each year, while the amount set aside for debt servicing steadily grows, according to him. 1Healthy citi ens contribute more to the 7ross 8ational 9roduct !789& than a sickly labor force that spends more time in sickbay than contributing to productivity,3 Bia on said. -he proposed amendment to Section *) of RA +),) provides that health maintenance expenses incurred as payments by the taxpayer or his dependents, or both, for professional medical fees, including consultation fees, and for medicines prescribed for diagnosed illnesses, shall be allowed as deductions from his gross income. 4urthermore, such expenses are supported by official receipts, medical certificates and doctors: prescriptions, the bill provides. 5n the case of married taxpayers, the bill provides that the said deduction may only be claimed by the spouse claiming the additional exemption for dependents. -he bill, now pending at the House committee on ways and means chaired by Rep. $iro ;uimbo !,nd #istrict, $arikina %ity& further provides the Secretary of 4inance shall determine the ceilings and limitations for itemi ed deductions under subsections of Section *). "ikewise, the Secretary of 4inance shall consider the ade6uacy of the prescribed limits on the actual expenditure re6uirements of each particular industry and effects of inflation or expenditure levels, provided that no ceilings shall further be imposed on items of expense already sub<ect to ceilings under present law, the bill provides. !*(& rbb