FDA recommends 17 more medicines for VAT exemption

MANILA, Philippines — To continue with its drive to provide affordable healthcare to Filipinos, the Food and Drug Administration (FDA) has added 17 drug products to the list of essential medicines exempted from Value-Added Tax or VAT.

“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,” the FDA said in a statement.

Under Republic Act 11534 or the Corporate Recovery and Tax Incentives for Enterprises Act (CREATE) law, drugs for hypertension, cancer, mental illnesses, tuberculosis, kidney diseases, diabetes and high cholesterol shall be exempted from VAT.

Recommended for inclusion in the FDA list for VAT exemption are Gemigliptin, Sitagliptin and Sitagliptin Phosphate for diabetes, Amlodipine for high cholesterol and hypertension, and Risperidone for mental illness.

As provided by the CREATE law, the FDA will transmit the list of VAT-exempt health products to other implementing agencies, such as the Bureau of Internal Revenue, Bureau of Customs and Department of Trade and Industry.