By Francis Allan L. Angelo
Bureau of Internal Revenue (BIR) Commissioner Romeo D. Lumagui, Jr., issued on March 5, 2024 Revenue Memorandum Circular No. 34-2024 which exempts certain medicines for cancer, hypertension, and mental illness from the Value-Added Tax (VAT).
The exemption is reflected in the updated list from the Food and Drug Administration of the Department of Health under Republic Act No. 10963 and 11534.
“The VAT exemption of these medicines for cancer, hypertension, and mental illness is a step towards a healthier country. The BIR shares the noble intention behind more affordable medicines for the public,” Lumagui said.
The update enhances the list of VAT-exempt drugs and medicines under Section 109(AA) of the National Internal Revenue Code of 1997, revised by the TRAIN Law and the CREATE Act.
As part of Lumagui’s commitment to Excellent Taxpayer Service in 2024, the BIR aims to provide real-time updates on taxation matters, such as the VAT exemption for certain medicines, reflecting a shift from a focus on collection targets to a more service-oriented approach.
“We offer more affordable medicine for everyone as a gift from the new BIR to the new Philippines. Our countrymen can count on the BIR’s assistance to reduce their expenses for necessary medicines. The BIR continues to support our less fortunate compatriots,” Lumagui said in a press statement.
I. Inclusion
A. Medicines for Cancer
| Generic Name | Dosage Strength | Dosage Form |
| Sonidegib (as phosphate) | 200 mg | Capsule |
| Pemetrexed (as disodium heptahydrate) |
100 mg |
Lyophilized Powder for IV Infusion |
| Asciminib (as hydrochloride) | 20 mg | Film-Coated Tablet |
| Asciminib (as hydrochloride) | 40 mg | Film-Coated Tablet |
| Palbociclib | 75 mg | Film-Coated Tablet |
| Palbociclib | 100 mg | Film-Coated Tablet |
| Palbociclib | 125 mg | Film-Coated Tablet |
| Pemetrexed (as disodium hemipentahydrate) |
100 mg |
Powder for Concentrate for Solution for Infusion (I.V.) |
| Pemetrexed (as disodium hemipentahydrate) |
10 mg/mL (500 mg/50mL) |
Solution for Injection (IV Infusion) |
| Cabazitaxel |
60 mg/1.5 mL |
Concentrate for Solution for Injection (I.V.) |
| Entrectinib | 100 mg | Capsule |
| Entrectinib | 200 mg | Capsule |
B. Medicines for Hypertension
| Generic Name | Dosage Strength | Dosage Form |
| Losartan Potassium + Amlodipine (as besilate) |
100 mg/10 mg |
Film-Coated Tablet |
| Losartan Potassium + Amlodipine (as besilate) |
100 mg/5 mg |
Film-Coated Tablet |
| Irbesartan + Amlodipine (as Besilate) |
300 mg/5 mg |
Film-Coated Tablet |
| Irbesartan + Amlodipine (as Besilate) |
300 mg/10 mg |
Film-Coated Tablet |
C. Medicines for Mental Illness
| Generic Name | Dosage Strength | Dosage Form |
| Cariprazine
(as hydrochloride) |
1.5 mg |
Capsule |
| Cariprazine
(as hydrochloride) |
3 mg |
Capsule |
| Cariprazine
(as hydrochloride) |
4.5 mg |
Capsule |
| Cariprazine
(as hydrochloride) |
6 mg |
Capsule |
