Medicine issued on a prescription by a medical practitioner or registered dentists are zero VAT rated.
This is according to Fiji Revenue and Customs Authority Chief Executive Officer, Jitoko Tikolevu who stresses that any medicine listed on a prescription issued by a medical practitioner or a registered dentist should not be charged VAT even if it is a medicine which can be purchased off the counter.
He further added that VAT should not be charged on repeats of “prescription only” medicine which applies to medicine for chronic illnesses such as diabetes, high blood pressure or asthma.
He has also urged consumers to notify FRCA if they have been charged VAT for medicine which were prescribed by a medical practitioner or a registered dentist.
Tikolevu stresses that FRCA will impose penalties or pursue prosecution of pharmacies who charge VAT on zero rated items.
Story by: Praneeta Prakash
