THE Justice Department said the 20 percent discount and VAT exemptions on food purchases from restaurants should apply to persons with disabilities even if it’s a group purchase as long as it is for their exclusive use.
This was expressed in a legal opinion dated October 8 by the DOJ, through Assistant Secretary Randolph Pascasio, officer-in-charge of the Office of the Undersecretary for Legal Services and Liaison Cluster.
“It is clear that under RA 10754, PWDs shall be entitled to 20% discount and VAT exemption on their food purchases from restaurants as long as it is for their exclusive use, enjoyment or availment,” the DOJ said.
The ruling was issued in response to the query of National Council on Disability Affairs Executive Director Glenda Relova over the implementation of the 20 percent discount and VAT exemption for the purchases of PWDs.
Section 6, Rule IV of the IRR of the law provides that the discount and tax exemption covers goods and services from all establishments.
To prevent abuse, the provision said the food orders should be limited only to the consumption of the concerned PWD.
“While the above-mentioned relevant existing laws, IRR and guidelines may be silent on how the 20 percent discount and VAT exemption will be applied on food purchases which are ideally for group sharing, we would like to emphasize the word ‘exclusive’ as the determining factor to be considered thereon,” the DOJ added.
The DOJ further explained this, saying that in the purchase of a group meal which is ideally for food sharing, if it can be clearly determined that it was for the exclusive use, enjoyment or availment of only one person who is a PWD, the 20 percent discount and VAT exemption should apply to the total amount of the food purchased.
Meanwhile, as to the purchase of group meals made online, phone calls or text, the guiding principle is Memorandum Circular No. 71-2022 issued by the Bureau of Internal Revenue.
The circular, according to the DOJ, stated that “On the purchase of group meals, the basis of the 20 percent discount for a Senior Citizen and Person with Disability shall be on the amount corresponding to the combination of the most expensive and biggest single-serving meal with a beverage served in a quick service restaurant, is deemed flexible and is adjusted accordingly by food establishments to estimate a single food purchase for the said senior citizen or PWD.
