The Department of Health (DOH) in the Philippines has announced that the value-added tax (VAT) exemption on 21 essential medicines will benefit more Filipinos by making these medications more affordable.
The specified drugs, which are used for cancer, diabetes, hypertension, kidney disease, mental illness, and tuberculosis, are now exempted from VAT, as stated in Revenue Memorandum Circular No. 17-2024 issued by the Bureau of Internal Revenue (BIR).
Secretary Teodoro Herbosa of the DOH expressed his support for the VAT exemption, emphasizing that it would lower the prices of these vital medicines, allowing more people to access them.
The DOH has received a budget allocation of PHP 1.7 billion this year, which will help address the limited access to medications for diseases such as cancer, tuberculosis, diabetes, and hypertension, particularly among marginalized communities.
The move to exempt medicines from VAT aims to ease the financial burden on Filipinos and improve their health conditions and quality of life.
In 2023, the BIR also exempted 59 medicines from VAT, including maintenance drugs for diabetes, high cholesterol, and hypertension.
Source: PhilNews24 | February 1, 2024
