The Bureau of Internal Revenue (BIR) has issued an updated list of value-added tax or VAT-exempt medicines for cancer, hypertension, and mental illness
Under Revenue Memorandum Circular No. 34-2024, issued on March 5, 2024, the BIR included 20 additional VAT-exempt medicines under Republic Act No. 10963 (TRAIN Law) and RA No. 11534 (CREATE Act).
The additional VAT-exempt cancer medicines are Sonidegib (as phosphate), Pemetrexed (as disodium heptahydrate), Asciminib 20mg (as hydrochloride), Asciminib 40mg (as hydrochloride), Palbociclib 75mg, Palbociclib 100mg, 125mg, Pemetrexed 100mg (as disodium hemipentahydrate), Pemetrexed 100mg 10 mg/mL (as disodium hemipentahydrate), Cabazitaxel, Entrectinib 100mg, and Entrectinib 200mg.
Similarly, the new VAT-exempt medicines for hypertension are Losartan Potassium + Amlodipine 100mg/10mg(as besilate), Losartan Potassium + Amlodipine 100mg/5mg (as besilate), Irbesartan + Amlodipine 300mg/5mg (as besilate), and Irbesartan + Amlodipine 300mg/10mg (as besilate)
On the other hand, the VAT-exempt mental illness medicines are Cariprazine 1.5 mg (as hydrochloride), Cariprazine 3mg (as hydrochloride), Cariprazine 4.5mg (as hydrochloride), and Cariprazine 6 mg (as hydrochloride),
The Food and Drug Administration recently endorsed 20 more medicines for cancer, hypertension, and mental illness to be exempted from VAT to make them affordable to the consuming public.
“The VAT exemption of these medicines for Cancer, Hypertension, and Mental Illness is a step towards a healthier country. The BIR shares the noble intention behind more affordable medicines for the public,” BIR Commissioner Romeo Lumagui Jr. said in a statement.
Part of Commissioner Lumagui’s thrust for Excellent Taxpayer Service this 2024 is to provide real time updates to Filipinos, in relation to matters of taxation, including that of VAT exemption of certain medicines. The BIR is shifting from a collection goal-oriented culture, to a more service-oriented one,” it added.
“Mas murang gamot para sa lahat ang handog ng Bagong BIR sa Bagong Pilipinas. Maaasahan po ng ating mga kababayan ang tulong ng BIR upang maibsan ang kanilang gastos para sa kinakailangan nilang gamot. Patuloy po ang pagtulong ng BIR sa ating mga mahihirap na kababayan (The new BIR offers cheaper medicines for all under the Bagong Pilipinas. Our people can expect help from the BIR to ease their problems on medicine costs. The BIR continues to help our needy citizens,” Lumagui stressed.