The recent GST Council reforms are not just easing prices on daily-use items—they’re also bringing significant relief to patients battling serious illnesses. With 33 life-saving drugs now tax-free, the cost of treatment for cancer, asthma, heart disease, and rare conditions is set to drop.
1. zero GST on health & Life Insurance
- Previous GST: 18%
- New GST: 0%
Patients and policyholders will no longer pay GST on health and life insurance, reducing overall expenses and making healthcare coverage more affordable.
2. 33 Critical Medicines Now Tax-Free
GST on 33 life-saving drugs has been reduced from 18% to 0%, directly impacting treatment costs for serious and rare diseases. Some of the key medicines include:
- Onasemnogene Abeparvovec – for Spinal Muscular Atrophy (SMA)
- Asciminib – for Chronic Myeloid Leukemia (CML)
- Pegylated Liposomal Irinotecan – for Colorectal Cancer
- Daratumumab & Daratumumab Subcutaneous – for Multiple Myeloma
- Alectinib – for lung Cancer
- Etanercept – for Rheumatoid Arthritis & Psoriasis
- Emicizumab – for Hemophilia A
- Inclisiran – for High cholesterol (HoFH)
The full list of 33 medicines includes treatments for rare genetic disorders like Pompe Disease, Hunter Syndrome, and Niemann-Pick Disease, as well as various cancers.
3. Diseases Benefiting from the GST Cut
The medicines impacted by this reform cover a wide spectrum of serious and life-threatening conditions:
- Cancer: Pancreatic, lung, Breast, Colorectal, Ovarian, Multiple Myeloma, Merkel Cell Carcinoma
- Genetic Disorders: SMA, Pompe Disease, Hurler Syndrome (MPS I), Hunter Syndrome (MPS II), Fabry Disease, Gaucher Disease, Alpha-Mannosidosis
- Blood Disorders: Hemophilia A, Chronic Graft-versus-Host Disease
- Autoimmune Conditions: Rheumatoid Arthritis, Psoriasis, Multiple Sclerosis
- Cardiovascular & Metabolic: High cholesterol (HoFH / Hypercholesterolemia)
- Viral & Infectious Diseases: COVID-19 and other viral infections
4. Financial Impact for Patients
- Reduced Treatment Costs: Patients no longer pay 18% GST on these drugs, which can amount to thousands of rupees saved per treatment cycle.
- Easier Access: Making these medicines more affordable ensures that more patients can access timely treatment.
- Support for Rare Diseases: Patients with rare conditions often face astronomical costs; tax-free medicines can alleviate financial burden significantly.
5. Why This Reform Matters
- Healthcare Affordability: Lower GST on critical medicines ensures treatment is accessible to more people.
- Patient-Centric Policy: Recognizes the financial strain on families dealing with chronic or life-threatening diseases.
- Boosts Preventive & Ongoing Care: Patients can now afford regular medication without worrying about additional taxes.
6. Key Takeaway
The GST reduction on 33 life-saving drugs is a major win for patients across India. By making treatment for cancer, genetic disorders, autoimmune diseases, and heart conditions more affordable, the government is ensuring that healthcare is financially accessible, allowing patients to focus on recovery rather than cost.
Disclaimer:
The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of any agency, organization, employer, or company. All information provided is for general informational purposes only. While every effort has been made to ensure accuracy, we make no representations or warranties of any kind, express or implied, about the completeness, reliability, or suitability of the information contained herein. Readers are advised to verify facts and seek professional advice where necessary. Any reliance placed on such information is strictly at the reader’s own risk.
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