THE Bureau of Internal Revenue (BIR) on Monday announced that ten additional medicines for cancer, diabetes, high cholesterol, hypertension, and mental illness have been added to the value-added tax (VAT)-exempt list.
“The implementation of these changes is a testament to our dedication to providing excellent taxpayer service by granting exemptions where they are rightfully due,” said BIR Commissioner Romeo Lumagui Jr.
The tax relief was made official through Revenue Memorandum Circular No. 62-2025, which implements changes endorsed by the Food and Drug Administration.
The expanded list is in line with Republic Act No.10963 or the Tax Reform for Acceleration and Inclusion (TRAIN) Law and Republic Act No. 11534 also called the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act.
“The Department of Health (DOH) and the Food and Drug Administration (FDA) can count on the BIR’s support in the goal of making various medicines more affordable for Filipinos,” Lumagui said.
Among the new VAT-exempt products are oral chemotherapy drugs combining Tegafur, Gimeracil, and Oteracil Potassium in two 20mg/5.8mg/19.6mg and 25mg/7.25mg/24.5mg.formulations.
These cancer medicines are available in capsule form and are intended to treat various forms of malignancies.
For diabetes, the list included a combination of Metformin Hydrochloride and Teneligliptin in extended-release tablets with strengths of 1g/20mg and 500mg/20mg.
These formulations are commonly prescribed for type 2 diabetes management to improve blood sugar levels.
Patients with high cholesterol may now purchase Atorvastatin combined with Fenofibrate, formulated at 20mg/160mg per film-coated tablet, without VAT.
To assist those managing hypertension, the BIR included tablets combining Metoprolol Tartrate and Ivabradine in 50mg/5mg and 25mg/5mg strengths.
For individuals affected by mental illness, Lamotrigine has also been added in multiple formulations.
The new VAT-exempt forms of Lamotrigine included a 5mg dispersible or chewable tablet, a 25mg oral dispersible tablet, and a standard 25mg tablet.
The agency assured that it will continue to review submissions from the FDA for further updates to the VAT exemption roster.
These exemptions are expected to ease the burden on patients and caregivers dealing with long-term health conditions.
