RMO No. 36-2020: Provides guidelines and procedures in the refund of erroneously paid VAT on imported drugs prescribed for Diabetes, High Cholesterol and Hypertension, as implemented under Revenue Regulations No. 18-2020

Summary

RMO No. 36-2020 provides guidelines and procedures for refunding erroneously paid VAT on imported drugs for Diabetes, High Cholesterol and Hypertension, as implemented under Revenue Regulations No. 18-2020.

Key points

1. Two-year filing rule. Under Section 204(C) of the Tax Code, a written claim for credit or refund must be filed with the Commissioner within two (2) years after payment of the tax or penalty.
2. Covered claims and where to file. Claims cover imported drugs for diabetes, high cholesterol and hypertension on the DOH-FDA approved list, from the effectivity of RA No. 11467 on January 23, 2020 up to July 9, 2020. They are filed and processed at the Revenue District Office or the Large Taxpayers Assistance Division where the claimant is registered.
3. Processing and result. The assigned Revenue Officer checks that the required documents in the Order are complete. The result of the evaluation, approved or not, is communicated in writing right after the designated approving BIR Official approves the report.

Who is affected

• Taxpayer-claimants of VAT on imported diabetes, cholesterol and hypertension drugs

Deadlines and effectivity

• Covered importations: January 23, 2020 up to July 9, 2020
• Claims filed within two (2) years after payment

Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.