The GST exemption on medicines for rare diseases announced on Tuesday is unlikely to provide any relief for those who are in dire need of treatment, health activists told ET.
According to them, these drugs are exorbitantly priced and the share of patients who can afford to import them is negligible.
Finance minister Nirmala Sitharaman on Tuesday announced GST Council decision to exempt cancer-fighting drugs, medicines for rare diseases, and food products for special medical purposes from GST tax.
Activists said they have been seeking tax exemption instead for drugs which are approved by India’s drug regulator and are available in the country. But the government is yet to budge, they said.
For example, activists have made several requests to the finance and health ministries to exempt medicine for treatment of spinal muscular atrophy (SMA), which is a rare and devastating genetic disease caused by a lack of a functional survival motor neuron 1 (SMN1) gene, resulting in the rapid and irreversible loss of motor neurons, affecting muscle functions, including breathing, swallowing and basic movement.
“But our requests are pending before the ministries. The exemption of tax for imported drugs hardly serves any purpose,” said Archana Panda, cofounder and director, patient advocacy cure, of SMA Foundation of India.
Novartis’ gene therapy Zolgensma is one of the most expensive therapies available for SMA with a price tag of around $2.1 million in the US and just under €2 million in Europe.
“The point is that the percentage of people who can import the drug is negligible,” Panda said. “The individual cost of such drugs is astronomical and hence only those cases can benefit where humanitarian access is given.”
She said that there are around 1,050 registered SMA patients from across the country.
Her organisation had even approached the Supreme Court two years back for GST exemption on Indian drugs.
“The Supreme Court said that it is a policy decision and therefore they cannot intervene,” Panda said. “However, they were of the opinion that the health ministry should be able to do this. However, till date GST exemption available on medicines available in India is still pending.”
In India, Roche Pharma’s drug Evrysdi (Risdiplam) is available for the fatal genetic disorder. Roche doesn’t manufacture it in India but they have market authorisation by the drug regulator and hence the drug costs much less than the imported options.
The price of the Roche drug depends on the weight of the patient. For example, for a 60 kg patient, it costs around Rs 72 lakh annually with their patient support programme.
Another activist on condition of anonymity said, “The relief or the tax exemption is needed for those drugs which are approved by the drug regulator in India.”
Source from: https://economictimes.indiatimes.com/industry/healthcare/biotech/healthcare/gst-exemption-on-medicines-for-rare-diseases-is-unlikely-to-provide-any-relief-to-those-in-need-health-activists/articleshow/101711866.cms
________________________________________________________________________________
 |
| 🚨LIMITED TIME Special Combo Offer On: 🚨
🔰 Online Recorded GST Courses on “GST Input Tax Credit (ITC)” & “Scrutiny Notices, Assessment, Audit, Inspection, Search, Seizure and Arrest under GST”
👨🏻🏫 By CA (Adv) Bimal Jain
🔖 Register Now:
https://www.a2ztaxcorp.in/product/special-combo-offer-on-online-recorded-gst-courses-on-gst-input-tax-credit-itc-scrutiny-notices-assessment-audit-inspection-search-seizure-and-arrest-under-gst-by-ca-adv-bimal-jain/
📌 Please Note: This Special Combo Offer is valid till July 16, 2023
📝 Key features of the course:
✔️ E-Certificate to all participants
✔️ Background Material (BGM) available in PDF (Downloadable basis)
✔️ Dedicated WhatsApp group, Telegram and E-mail for Free Subscription of GST Updates for 1 Year
✔️ Hindi/English medium
✔️ Special 45% Discount on our latest ‘GST Law and Commentary with Analysis and Procedures’ – May 2023 Edition
✔️ A total of 7 Recorded Sessions (3 Hours each), will be available for 42 hours or 60 Days whichever expires earlier
About Speaker:
CA (Adv) Bimal Jain
- FCA, FCS, LLB with 24 Yrs. of Experience in Indirect Taxation – GST, Service Tax, Excise, Customs, VAT/CST, FTP, DGFT matters etc.
- Chairman of Indirect Tax Committee of PHD Chamber of Commerce
- Author of books on Goods and Services Tax, “GST LAW AND COMMENTARY (With Analysis and Procedures)” [8th Edition – May 2023]
Online Recorded GST Course on GST Input Tax Credit (ITC) by CA (Adv) Bimal Jain
Coverage of the Course :
- What is the Eligibility and Condition for claiming ITC- Section 16 with practical scenarios and examples
- Requirement and reversal of ITC (Rule 37)
- Interplay of Valuation – GST ITC
- Schedule I vs Rule 37 Comparative Study
- Rules and Provision for Offset of ITC – Case Study
- Concept of Claim – Reversal – Reclaim
- Clarification on Non Filing of GSTR-1 and GSTR 3B
- Other provision of Section 17 for reversal of common ITC and reversal as per Rule 42/43 for Input, Input Service & Capital Goods
- Exclusions in value of exempt supplies for the purpose of reversal of common credit ITC as per rule 42 and 43
- Exclusion of interest income and other exempt services from aggregate value of exempt supplies for reversal of common ITC as per rule 42 and 43
- Special Provision for Banking, Financial Institutions, NBFC’s
- Blocking of ITC (Rule 86A)
- Restrictions on use of amount available in electronic credit ledger (Rule 86B)
- Order of utilization of input tax credit (Rule 88A)
- Manner of calculating interest on delayed payment of tax (Rule 88B)
- Availability of credit in special circumstances
- ITC on opening stock of inputs at the time of registration
- ITC on stock of inputs available to person taking voluntary registration
- ITC on opening stock of inputs and capital goods available on opting out of composition scheme
- ITC on stock of inputs and capital goods when exempted goods or services become taxable
- ITC reversal on closing stock of inputs on switching to composition scheme/ wholly exempt supplies
- Transfer of ITC in case of sale, merger, demerger, amalgamation, etc.
- Transfer of ITC on obtaining separate registration for multiple places of business within a state or UT
- Removal of capital goods or plant and machinery
- Taking ITC in respect of inputs and capital goods sent for job-work
- Manner of distribution of credit by Input Service Distributor
- Manner of recovery of credit distributed in excess
- Apportionment of Credit
- Meaning of Taxable & Exempt Supply
- Credit used exclusively for Taxable supply / exempt supply
- Common Credit
- Supplies for personal consumption etc.
- How to apportion the credit
- Blockage of Credit in respect of
- Motor Vehicles, Vessels and Aircraft; their servicing repair & maintenance.
- Food & beverages, outdoor catering beauty treatment, health services, cosmetic & plastic surgery, renting or hiring of motor vehicles, and others
- Woks contract services
- Membership of Club, Health and Fitness Centre
- Goods & Services provided to employees
- Travel benefits to employee
- Construction of immovable property on own account
- Tax paid under composition scheme
- Goods or services received by a non-resident taxable person
- Goods or services used for CSR activities
- Goods or services used for personal consumption
- Gifts, free samples and goods lost or written off
- Tax paid in fraud cases, confiscation etc.
- ITC on Works Contract and Construction of Immovable Property related issues such as:
- Installation of lift
- Overhead crane
- Construction of warehouse for leasing
- Civil construction for installation of machinery etc.
- Credit on free gifts, samples, goods lost, stolen or destroyed etc.
- ITC & Tax paid under Section 74, 129 and 130
- Discussion on various important judgments on ITC
- How to prove genuineness of transactions to avail GST IT
- ITC can be claimed during revocation of cancelled GST registration
- Claiming Time Barred ITC for the period of Cancellation
- ITC availability on vouchers and subscription packages
- Constitutional validity of Section 16(2)(c) challenged in various cases
- Constitutional validity of Section 16(4) challenged in various cases
- Case laws on rectification of error or omission made while filing GST statements/ returns/ forms
- Other important case laws on GST ITC
- Open House: Question and Answer
Online Recorded GST Course on Scrutiny Notices, Assessment, Audit, Inspection, Search, Seizure and Arrest under GST By CA Bimal Jain
Key topics of the course:
- When inspection, search and seizure can be initiated
- Offences – Bailable & Non-Bailable
- Various Penalty & Imprisonment provisions
- Legal Jurisprudence on Search and Seizure
- Constitutional validity of Search & Seizure by both CGST & SGST Authorities
- Inspection of goods in movement and penalty proceedings u/s 129 & 130 with recent changes in Union Budget 2021
- Legal Jurisprudence of Coercive actions by the Dept during Search & Seizure and collection of tax revenue
- The constitutional validity of arrest provisions before adjudication
- Legal Jurisprudence of Arrest Provisions
- Legal validity of Recovery Proceedings in GST
- Provisional attachment of Property or Bank Account – When Why and Recourse available
- Power to summon persons to give evidence and produce documents
- Access to business premises
- Officers to assist proper officers
- Validity of Multiple or Parallel Proceedings
- Various Assessments under GST viz. Self-Assessment, Provisional Assessment, Summary Assessment
- Scrutiny of Returns, Assessment of Non-Filers of Returns
- Audit by GST Department and Special Audit under GST Laws
- Preparation and Handling of GST Audit
- Procedure during department audit
- Proceedings of Demand and Recovery
- Certain Offenses and Penalties
For details, or any queries,
📞: 8076563802, 011 42427056
📧: info@a2ztaxcorp.com, intern@a2ztaxcorp.com
A2Z Academy
DDA Flat No. 650, Pocket 5, Mayur Vihar, Phase 1
New Delhi – 110091
Mobile: +91-8076563802
E-mail: info@a2ztaxcorp.com
Website: www.a2ztaxcorp.in
|
