1 2 Sec. 4. Incentives. - Persons with disabilities shall be entitled to the following incentives: 3 4 (a) All allowances and benefits granted to disabled persons shall be excluded 5 from the computation of gross income and shall be exempt from taxation 6 under Republic Act. No. 8424, otherwise known as the "National Internal 7 Revenue Code of 1997"; 8 (b) Twenty percent (20% ) discount on the sale o f goods and services on food, 9 clothing, transportation, medicine, medical sen/ices, dental services, and 10 other basic necessity from all the establishments for the exclusive use and 11 enjoyment of the person with disability. In the purchase of goods and 12 services which are on promotional discount, the person with disability can 13 avail of the establishment's offered discount or the 20% discount provided 14 herein, whichever is higher and more favorable; and 15 (c) A minimum of five percent (5% ) discount relative to the monthly utilization 16 of water and electricity by households with persons with disabilities; 17 provided, further, that the monthly consumption does not exceed thirty 18 cubic meters (30m2) o f water and one hundred kilowatt hours (lOOkwh) o f 19 electricity; 20 household regardless o f the number of persons with disabilities residing 21 therein. provided, furthermore, that the privilege is granted per 22 23 Sec. 5. Tax D eduction.- l\ \ e establishment granting the discount under Section 24 4 (b) and (c) hereof may claim the discounts provided as tax deductions based on the 25 cost of the goods sold and services rendered; provided, that the cost of the discount 26 shall be allowed as deduction from the gross income for the same taxable year that 27 the discount is granted; provided, further, that the total amount of the claimed tax 28 deduction net of VAT, if applicable, shall be included in their gross sales receipts for 29 tax purposes and shall be subject to proper documentation and to the provisions o f 30 the National Internal Revenue Code of 1997, as amended. 31