CHENNAI: The Indian Medical Association (IMA) has welcomed the Goods and Services Tax (GST) Council’s decision to reduce GST on several cancer-related and other essential medicines, describing it as a crucial step towards making healthcare more affordable for millions of patients.
The Association, in a Monday statement, said the move will directly ease the financial burden on families struggling with the high cost of treatment, particularly for cancer and other chronic illnesses. The national medical doctors' body added that the decision reflects the government’s sensitivity to the healthcare needs of citizens and its commitment to improving access to life-saving drugs.
As part of its broader tax reforms, the government is working to reduce GST on a range of essential and life-saving medicines. For cancer drugs and other critical treatments, the proposed changes include lowering GST rates from 12% to 5%, and in some cases bringing them down to nil. Medicines used in the treatment of rare diseases are also under consideration for exemption. The idea is to ensure that high-cost therapies, which already place a heavy financial strain on patients and their families, become more affordable and widely accessible.
Officials have noted that these cuts are designed not just to reduce immediate treatment costs, but also to support long-term affordability for patients battling chronic illnesses such as cancer, diabetes, and kidney-related diseases. By easing the tax burden, the government hopes to improve access to essential healthcare while aligning with its broader objective of making the GST regime more people-friendly.
The IMA also expressed its gratitude to the GST Council and the Government of India for responding to long-standing demands from the medical community to rationalise taxes on critical medicines. Doctors’ groups and patient advocates had repeatedly argued that lower GST rates would help expand access to treatment, especially for middle- and lower-income households.
With the festive season ahead, the tax relief is expected to bring some respite to patients and families who are already facing high medical costs, while also supporting the broader effort to make India’s healthcare system more affordable and inclusive.