Value Added Tax for Drugs (5)
Source: E-DRUG <firstname.lastname@example.org>
VAT was introduced in Tanzania on 1st July '98 at the rate of 20%. Es-
sential Drugs were given exemption. Unfortunately, the essential drugs
list is not up to date, so many more drugs were not covered. It seems
there was no dialogue between Tanzania Revenue Authority and Ministry
of Health. There were many meetings between the importers and the govt.
before the problem got sorted out.
Anyway, now all drugs and medical items seem to be VAT exempt. As far
as other borderline items go e.g. disinfectants, VAT is payable, unless
of course, the hospital institution is exempt from paying VAT.
Mahmood H.M. Daya, MRPharmS
Ithna'asheri Charitable Hospital
P.O. Box 7176
Tel: +255-57-2320 (AM)/6206, 7692 (PM)
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