(Picture from Philippine News Agency)
This means that the prices of these medicines in pharmacies will be lower.
BIR issued Revenue Memorandum Circular (RMC) No. 27-2026 on April 8, 2026, publicizing the medicines endorsed by the Food and Drug Administration (FDA), which will no longer be taxed under the Republic Act No. 10963, also known as TRAIN Law, and Republic Act No. 11534, or the CREATE Act.
Included in the VAT-free list are 702 cancer drugs, 535 for high blood pressure, 327 for diabetes, 300 for mental illnesses, 171 for high cholesterol, 152 for kidney disease, and 76 for tuberculosis.
"In line with President Ferdinand R. Marcos Jr.'s directive to make healthcare more accessible and affordable for Filipinos, the Department of Finance, under Finance Secretary Frederick D. Go, supports the timely implementation of measures that help reduce the cost of essential medicines," BIR stated on their social media page.
BIR Commissioner Charlito Martin R. Mendoza also said, "this issuance forms part of the government's continuing efforts to help ease the cost of essential medicines, especially for Filipinos managing chronic and critical illnesses."
Here is the full RMC No. 27-2026:
https://bir-cdn.bir.gov.ph/BIR/pdf/RMC%20No.%2027-2026.pdf
The complete list of VAT-exempt medicines can be found in Annex A of the circular:
https://bir-cdn.bir.gov.ph/BIR/pdf/Annex%20A%20of%20RMC%20No.%2027-2206%20(1).pdf
