Filipinos undergoing long-term treatment for cancer, diabetes, hypertension, high cholesterol, and mental health disorders stand to benefit from reduced healthcare costs following the endorsement of 10 more drug products for value-added tax (VAT) exemption by the Food and Drug Administration (FDA).
In a public advisory issued Wednesday, the FDA said the newly endorsed medicines target conditions that pose significant public health concerns and often require prolonged and expensive therapy.
“These drug products address chronic and critical illnesses. Removing the 12 percent VAT helps improve access to quality treatment and lessen the financial burden on patients,” the agency said in Advisory No. 2025-0510.
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Cancer: Tegafur + Gimeracil + Oteracil Potassium (20 mg/5.8 mg/19.6 mg and 25 mg/7.25 mg/24.5 mg, capsule form)
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Diabetes: Metformin Hydrochloride + Teneligliptin (1 g/20 mg and 500 mg/20 mg, extended-release tablet)
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High cholesterol: Atorvastatin (as calcium) + Fenofibrate (20 mg/160 mg, film-coated tablet)
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Hypertension: Metoprolol tartrate + Ivabradine (50 mg/5 mg and 25 mg/5 mg, film-coated tablet)
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Mental health disorders: Lamotrigine (5 mg dispersible/chewable tablet, 25 mg oral dispersible tablet, and 25 mg tablet)
The FDA said the move supports President Ferdinand R. Marcos Jr.’s directive to make essential medicines more affordable and accessible to the public.
It also falls under Section 12 of Republic Act No. 11534, or the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act, which provides for VAT exemptions on qualified health products.
The agency urged the Bureau of Internal Revenue, Bureau of Customs, and the Department of Trade and Industry to ensure proper enforcement of the VAT exemption.
