Senior Citizen and PWD Discount on Medicines: 20% and VAT-Free

What the law gives seniors and PWDs on medicines

For senior citizens, the benefit started with RA 9257, the Expanded Senior Citizens Act of 2003. It gave a 20% discount on medicines but no VAT exemption. RA 9994, the Expanded Senior Citizens Act of 2010, then gave a 20% discount and exemption from VAT on medicines, including flu and pneumococcal vaccines. Its implementing rules extend this to generic and branded medicines, and to vitamins and minerals prescribed by the attending doctor. The Department of Health (DOH) put this into practice through Administrative Order 2010-0032, and the Bureau of Internal Revenue (BIR) did the same through Revenue Regulations 7-2010.

For persons with disability, RA 10754 (2016) amended the Magna Carta for Disabled Persons. It gives at least a 20% discount and VAT exemption on medicines bought in all drugstores, for the PWD's own use. The BIR set out the tax rules in Revenue Regulations 5-2017, and the DOH's guidelines for medicines are in Administrative Order 2017-0008.

• Senior citizen: a resident Filipino citizen aged 60 or older (RA 9994). The implementing rules also cover dual citizens who have lived in the Philippines for at least six months.
• PWD: a Filipino citizen with a disability who shows a PWD ID from the city or municipal mayor or barangay captain, a passport, or another ID the law accepts (RA 10754)
• The discount cannot be transferred. The medicine must be for the senior's or the PWD's own use.

Cancer patients can qualify as PWDs

The National Integrated Cancer Control Act (RA 11215, 2019) treats cancer patients, persons living with cancer and cancer survivors as persons with disability, and gives them the same rights and privileges as PWDs. This means a patient younger than 60 can apply for a PWD ID and use the 20% discount and VAT exemption on prescribed medicines.

In 2020 the National Council on Disability Affairs (NCDA) noted that some local offices were treating all cancer patients as having a psychosocial disability, and said that asking them for certificates from psychologists or psychiatrists conflicts with RA 11215. Rules on documents and where to apply can still differ between cities, so ask your city or municipal social welfare office or Persons with Disability Affairs Office (PDAO) what they need.

What to bring when you buy

Seniors: bring your senior citizen ID from the OSCA or your city or municipal mayor. RA 9994 also accepts a Philippine passport or another document that shows your citizenship and age, and FDA Circular 2025-005 lists IDs such as a driver's license, voter's ID, SSS or GSIS ID, PRC card or postal ID. For anything other than over-the-counter medicines, you also need a doctor's prescription. It should show the patient's name, age, sex and address, the date, the generic name of the medicine, its dosage form, strength and quantity, and the doctor's name, signature, address and license number.

Seniors no longer need a purchase booklet. DOH Administrative Order 2024-0017 removed it in December 2024, and FDA Circular 2025-005 reminded drugstores in September 2025 to stop asking for it. When a prescription is only partly filled, the pharmacist writes the quantity given and the balance on the prescription itself.

PWDs: bring your PWD ID and the doctor's prescription. The prescription is not needed for over-the-counter medicines. Under DOH AO 2017-0008, PWDs also use a free purchase booklet from the local social or health office. The 2024 order that dropped the booklet covers seniors only, and as of the latest reports we found, no order had removed it for PWDs. Bring your booklet if you have one, and ask the drugstore or your PDAO about the current rule.

• A family member or caregiver can buy for a PWD with a currently dated authorization letter from the PWD and the buyer's own valid ID (DOH AO 2017-0008)
• A representative may also buy for a senior, but the prescription must be in the senior's name
• DOH rules say a single purchase of prescription medicine should generally not go beyond one month's supply, following the prescription

How the 20% and the VAT exemption are computed

DOH AO 2010-0032 spells out the order for seniors: the 12% VAT is removed from the retail price first, then the 20% discount is taken from that net price. For PWDs, BIR Revenue Regulations 5-2017 uses the same order, taking the 20% from the price without VAT. The BIR rules for both groups also say sellers may not charge VAT on these sales.

The DOH's own example uses a ₱100 medicine. ₱100 ÷ 1.12 leaves a net price of ₱89.29, which removes ₱10.71 of VAT. 20% of ₱89.29 is ₱17.86, so the senior pays ₱71.43. On a ₱1,000 prescription, the net price is ₱892.86, the discount is ₱178.57, and you pay about ₱714.29. In total that is about 28.6% less than the shelf price, not 32%, because the two benefits are not simply added together. This example assumes the shelf price includes 12% VAT. Many cancer medicines are on the government's list of VAT-exempt medicines under the TRAIN and CREATE laws, so their price already has no VAT. For those, skip Step 1: the senior or PWD pays 80% of the price, so a ₱1,000 VAT-exempt cancer medicine costs ₱800.

• Step 1: retail price ÷ 1.12 = price without VAT
• Step 2: price without VAT × 20% = discount
• Step 3: price without VAT − discount = what you pay

Does it cover cancer medicines and online orders?

The laws cover medicines in general, generic or branded, and do not leave out cancer or blood-disorder medicines. Many cancer medicines are also VAT-exempt for every buyer under the TRAIN and CREATE laws; for these, the senior or PWD benefit is the 20% discount on the VAT-free price. What matters is that the medicine is prescribed for the senior or PWD, is for their own use, and the papers are complete. Hospitals and drugstores can have their own procedures for expensive medicines, so ask before you pay.

Buying online or by phone does not remove the benefit. In 2022, DSWD, DTI, DOH, the NCDA, the National Commission of Senior Citizens and other agencies signed a Joint Memorandum Circular on discounts for online purchases. As reported at the time, online buyers send a copy of their ID when ordering, phone buyers give their ID number, and the ID is shown again on delivery; without it you may be charged the full price. Those reports also mention the purchase booklet, which seniors no longer need. Under the BIR's 2010 rules for seniors' delivery orders, a delivery fee charged separately is not discounted.

Why the discount cannot be stacked

The senior and PWD discounts are not added to other promos. Under RA 9994, a senior can take either the store's promotional discount or the 20%, whichever is higher, and the BIR adds that the discount can never fall below 20%. RA 10754 says the PWD benefit cannot be claimed together with other discount programs or when the PWD takes a higher discount from the store.

A person who is both a senior and a PWD gets only one 20% discount per purchase. The RA 9994 rules say you use either your senior ID or your PWD ID. If you are unsure which deal is better, compare the final amount you would pay under each option.

Using the discount with 2MG

2MG Inc. gives the 20% Senior Citizen and PWD discount and VAT exemption on medicines, including oncology and hematology medicines. When you order online, switch on the Senior Citizen or PWD discount in your cart and add a photo of the ID, along with the prescription for any Rx medicine. You see the estimated discount at once, and it is confirmed when our pharmacist has checked the ID, before the order ships. The discount cannot be used on the same order as a guarantee letter or 2MG Rewards points. If you are a 2MG Rewards member, you still earn points on what you actually pay after the discount. For current prices, see our price list.