10 More Medicines Added to VAT-Exempt List

Bureau of Internal Revenue Commissioner Romeo D. Lumagui Jr. has issued Revenue Memorandum Circular No. 62-2025, expanding the list of VAT-exempt medicines.

The update benefits Filipinos with chronic and life-threatening illnesses by including 10 more medicines for cancer, diabetes, high cholesterol, hypertension, and mental illness.

“The BIR has issued an additional VAT exemption for 10 medicines treating cancer, diabetes, high cholesterol, hypertension, and mental illness,” Lumagui said.

“Access to affordable medicines is part of BIR’s excellent taxpayer service.”

The expanded exemption aims to lower treatment costs and improve access to essential medications.

The VAT relief is granted under Republic Act No. 10963, or the Tax Reform for Acceleration and Inclusion Law, and Republic Act No. 11534, or the Corporate Recovery and Tax Incentives for Enterprises Act.

It is guided by the latest evaluations of the Food and Drug Administration to meet evolving public health needs.

(Refer to the table below for details.)