Four departments announced: 45 anticancer drugs and 19 rare disease drugs tax reduction

【Pharmaceutical Network Industry News】 On November 21, the Ministry of Finance, the General Administration of Customs, the State Administration of Taxation and the State Food and Drug Administration issued an announcement to announce the "Third Batch of Anti-cancer Drugs and Rare Disease Drugs Subject to VAT Policy"
.
According to the announcement, from December 1, the new batch of anticancer drugs and rare disease drugs will implement the relevant value-added tax policy, and the drugs that enter the list will be subject to value-added tax at a rate of 3%, and the validity period will be three years
.
According to the list released this time, 45 anticancer drugs and 19 rare disease drugs are among them, which will be reduced from the VAT rate of 16% to 3%.

According to the Announcement, starting from December 1 this year, the anti-cancer drugs and rare disease drugs in the third batch of anti-cancer drugs and rare disease drugs in the list shall be in accordance with the Notice of the Ministry of Finance, the General Administration of Customs, the State Administration of Taxation, and the State Medical Products Administration on the VAT Policy for Anticancer Drugs (Cai Shui [2018] No.
47) and the Notice of the Ministry of Finance, the General Administration of Customs, the State Administration of Taxation, and the Food and Drug Administration on the VAT Policy for Rare Disease Drugs (Cai Shui [2019] No.
24) Stipulate the implementation of relevant value-added tax policies: general VAT taxpayers who produce, sell, wholesale, and retail anti-cancer drugs and rare disease drugs can choose to pay VAT according to the simplified method according to the calculation and payment of VAT at a rate of 3%; For imported anti-cancer drugs and rare disease drugs, import value-added tax
will be levied at a reduced rate of 3%.
It is reported that in addition to this time, since 2018, the Ministry of Finance has successively announced two batches of lists of anticancer drugs and rare disease drugs that implement VAT, and bevacizumab, trastuzumab, K drugs, O drugs, etc.
have been included in the tax reduction list
.
This time, a total of 45 anticancer drugs and 6 APIs were included in the implementation of the VAT policy, including ipilimumab, envolimumab, aquilencel, relmacel, abeciclib, avatinib, ivonib and so on
.
In addition, the tax-reduced rare disease drugs include 19 preparations and 1 API drug, such as dimethyl fumarate, verasidease α, Roche's rispram and so on
.
It is reported that rispram is a rare disease drug for spinal muscular atrophy (SMA), and public information shows that the retail price of rispram in China was 63,800 yuan / bottle, and the annual treatment burden of patients after participating in the drug donation was about
650,000 yuan.
The industry said that the price of imported anticancer drugs and rare disease drugs is very high, and it is a policy to benefit the people to give value-added tax
concessions.
Since VAT is an extra-price tax, under the premise that the cost and profit of drugs remain unchanged, if the VAT rate decreases, the price of drugs will decrease under the linkage of tax prices, and the burden on the people will be reduced
.
In addition, the industry said that for expensive anticancer drugs, there are comprehensive measures such as tax reduction, tariff exemption, medical insurance, and commercial insurance, and through a multi-level price regulation and guidance mechanism, the affordability
of high-value drugs for the treatment of serious diseases can be comprehensively improved.
Screenshot of the third batch of anti-cancer drugs and rare disease drugs subject to VAT policy The full version is downloaded from the relevant materials below Disclaimer: Under no circumstances does the information or opinions expressed in this article constitute investment advice
to anyone.