17 drugs now also VAT-free
The Food and Drug Administration (FDA) has added 17 drug products to its list of essential medication exempted from the 12 percent value-added tax (VAT), making these more affordable to Filipinos.
“By expanding the list of VAT-exempt medicines, the FDA aims to make medicines affordable to the public and decrease expenses when seeking quality medical attention,” it said in a recent statement.
The new VAT-free medication are composed of 12 drugs to lower high cholesterol, three for diabetes treatment and one each for hypertension and mental illness.
According to the FDA, the 17 drugs became VAT-exempt effective on Dec. 10—the seventh time in 2024 that the agency updated its list of medicines not subject to the 12-percent tax. Under the law, the FDA must provide an updated list 30 days before the beginning of each quarter of the year.
New additions
The latest VAT-free drugs are different doses of Amlodipine (as besylate) + Atorvastatin (as calcium) tablets, which are among the regular maintenance medication prescribed by doctors to patients to lower high blood pressure and high cholesterol, in addition to reducing the risk of heart disease and stroke.
Also added to the list were Gemigliptin (as tartrate sesquihydrate) + Metformin Hydrochloride, and Sitagliptin (as phosphate monohydrate) + Metformin Hydrochloride, which are both used to control blood glucose (sugar) levels in adults with type 2 diabetes.
An antipsychotic medication, Risperidone, is now also VAT-exempt. It helps alleviate symptoms of schizophrenia, mania symptoms of bipolar disorder and aggressive or agitated behaviors of young children with learning disabilities and adults with Alzheimer’s disease.
The 17 medicines were in addition to the more than 2,000 drugs indicated for the prevention and management of diabetes, hypertension, cancer, high cholesterol, mental illnesses, tuberculosis and kidney diseases, which all became VAT-exempt under Republic Act (RA) No. 10963, or the Tax Reform for Acceleration and Inclusion or TRAIN Act, and RA 11534, or the Corporate Recovery and Tax Incentives for Enterprises or CREATE Act.
Those looking for a searchable database of all VAT-exempt health products can access the information at verification.fda.gov.ph.
