More medicine brands exempted from GST

PUTRAJAYA: The government has recently added 1,315 more brands of essential medicine into the Goods and Services Tax (GST) exempted list, from the initial list of 2,900 brands.

The move, which will affect patients in need of treatment for 30 types of diseases, was announced by the Customs Department at a special briefing session on health and GST here today.

Custom Department GST division senior assistant director II Norazura Hashim said the decision was made to ease the public’s burden following concerns raised by various parties.

The new list of 4,215 brands of tax-exempt medicines, she said is available on the Customs website.

Commenting on the cost of medical care post-GST, Norazura said it is expected to increase between three and four per cent.

“Although, health service will be exempted from GST, the products used in the services are not exempted.

“Hence, the burden may be passed on to consumers in other forms such as via consultation fee,” she said.

Meanwhile, Norazura said patients at private hospitals will no longer have to pay six per cent service tax for food and lodging once GST is in place.