FDA Approves 10 Drugs for VAT-Exempt Status
The Food and Drug Administration (FDA) has approved 10 additional drug products for inclusion in the Bureau of Internal Revenue’s (BIR) list of Value-Added Tax (VAT)-exempt medicines. This move aims to ease the financial burden on patients requiring long-term treatments for serious health conditions.
Among the newly endorsed medicines are treatments for high cholesterol, cancer, diabetes, hypertension, and mental health disorders. These diseases remain some of the most pressing public health challenges in the country, often demanding ongoing medication.
New VAT-Exempt Medicines Identified
The FDA’s Advisory No. 2025-0510, issued on June 4, lists the following drugs now exempt from the 12% VAT:
– High cholesterol: Atorvastatin (as calcium) combined with Fenobribrate 20 mg/160 mg
– Cancer: Tegafur + Gimeracil + Oteracil Potassium in doses of 20 mg/5.8 mg/19.6 mg and 25 mg/7.25 mg/24.5 mg
– Diabetes: Metformin Hydrochloride with Teneligliptin (as hydrobromide hydrate) 1 g/20 mg and 500 mg/20 mg
– Hypertension: Metoprolol tartrate + Ivabradine (as hydrochloride) 50 mg/5 mg and 25 mg/5 mg
– Mental illness: Lamotrigine tablets in 5 mg (dispersible/chewable), 25 mg (oral dispersible), and 25 mg (tablet) forms
Impact on Healthcare Costs and Access
The removal of the 12% VAT on these essential medicines is part of the government’s ongoing efforts to reduce healthcare expenses. Local leaders noted that this policy change will significantly improve access to vital treatments, especially for patients battling chronic and life-threatening illnesses.
By easing the financial strain, these VAT exemptions encourage patients to adhere to their medication regimens. This is crucial for managing conditions such as diabetes and hypertension which require consistent treatment.
The FDA emphasized that including these drugs reflects a commitment to support public health through affordable medication. This initiative aligns with broader strategies to enhance healthcare accessibility nationwide.
Looking Ahead
As the government continues to update the VAT-exempt list, more patients are expected to benefit from reduced drug costs. Healthcare advocates welcomed this development, hoping it will inspire further reforms to make medicines more affordable.
For more news and updates on healthcare and medicine policies, visit Filipinokami.com.