DSWD warns restaurants vs violating Senior Citizens Law

MANILA, Philippines - The Department of Social Welfare and Development (DSWD) warned restaurants and fast-food chains Monday against going around the law providing 20-percent discounts to senior citizens. In a statement on the DSWD website, DSWD secretary Esperanza Cabral cited several violations of the law on discounts for senior citizens. "Considered violation of the provisions ... in restaurants are pegging a maximum amount of food purchase subject to 20 percent discount and/or posting of notice to that effect; refusal to grant 20 percent discount on value/promotional meals, take-out/take-home, drive-thru and delivery orders; and refusal to grant a 20 percent discount for credit card payments," she said. She added the 20-percent discount privilege on food purchase is the exclusive use of the senior citizens, as stated in Republic Act No. 9257 or the Expanded Senior Citizens Act. The 20-percent senior citizen discount applies to the purchase of food, dessert, and other consumable items including value meals, promotional meals offered for consumption of the general public by the establishments. "As long as the amount of food purchase is the amount verifiably determined as exclusively for the consumption of the senior citizen and said senior citizen presented a valid Senior Citizens Identification Card, then they should be able to avail of the 20 percent discount privilege," Cabral said. On the other hand, all drinks and beverages deemed consumable by the senior citizen should be entitled to the 20-percent senior citizens discount, including alcohol beverages consumed or for "take home." Cabral also said that the benefits extended under R.A. 9257 covers only resident citizens of the Philippines who are at least 60 years old "as long as the senior citizen remains a Filipino citizen residing in the Philippines and has a valid senior citizen card he/she may validly claim the 20 percent discount on goods and services." Cabral also said the computation of the value added tax on sales of goods and services to senior citizens subtracts the 20 percent sales discount from the amount of sale without VAT; then adding the 12 percent VAT based on the deducted amount. "The 20 percent discount is removed first before the 12 percent E-VAT is added unto the first amount to be paid by the senior citizens," she said. In case a group of senior and non-senior citizens dine communally in a restaurant, the following sample computation should be used as a guide: P500.00 – total bill exclusive of service charge / 4 – number of persons dining together P125.00 – bill per person X 2 – number of senior citizens in the group P250.00 – total bill of two senior citizens X 20% - sales discount P 50.00 – total discount on bill of the group "We are illustrating the computation to avoid confusion among our senior citizens, and the eating establishments," Cabral explained. Senior citizens may file complaints or charges against the restaurant and other establishments that violate the provisions under R.A. 9257 before the Department of Justice or the provincial, city or municipal trial courts through the assistance/help of the Office of the Senior Citizens Affairs (OSCA). The OSCA is an office under the supervision of the Office of the Mayor, which works for the welfare of senior citizens and establishes linkages with accredited NGOs, POs, and the barangays relative to their plans, activities and programs for senior citizens. For first violation, a penalty of P50,000 to P100,000 and 6 months to two years imprisonment, while for subsequent violation, a fine of P100,000 to P200,000 and up to six years imprisonment. For corporations violating R.A. 9257, the officials directly involved shall be held liable and the business permit, permit to operate, franchise and other privileges may be cancelled or revoked. Any person who abuses the privileges granted herein shall also be punished with a fine of not less than P5,000.00 but not more than P50,000.00, and imprisonment of not less than six months. If the offender is an alien, he shall be deported immediately after service of sentence without further deportation proceedings. The DSWD chairs the National Coordinating and Monitoring Board (NCMB), an inter-agency body that oversees the implementation of RA 9257. - GMANews.TV