GST Cut on Medicines 2025: Cancer, Diabetes, and Heart Patients to Get Big Relief

The central government has announced a major step to ease the financial burden of patients by reducing the Goods and Services Tax (GST) on several essential medicines. This move is particularly significant for cancer patients, who often face long-term treatment expenses that run into thousands of rupees every month.

GST Removed on 33 Life-Saving Medicines

In a landmark decision, the government has completely waived GST on 33 life-saving medicines, which were earlier taxed at 12%. With this exemption, these drugs will now be available at zero tax, making them more affordable for patients who depend on them for survival.

The medicines included in this exemption list are prescribed for some of the most critical health conditions, including cancer and rare diseases. The list features drugs such as:

• Asciminib

• Mepolizumab

• Pegylated liposomal irinotecan

• Daratumumab

• Agalsidase alpha

• Alirocumab

• Evolocumab

Most of these are expensive cancer drugs, and the removal of tax will directly reduce their market prices. For families already struggling with high medical expenses, this policy change brings much-needed relief.

Reduced GST on Diabetes and Heart Medicines

Apart from cancer-related medicines, the government has also reduced taxes on many everyday use drugs that treat chronic conditions like diabetes, hypertension, and cardiovascular diseases.

Earlier, several of these medicines were taxed at 18%. Under the revised GST structure, they will now attract only 5% GST. This category includes:

• Insulin

• Blood pressure medications

• Heart disease drugs

• Diabetes care medicines

• Diagnostic and testing kits

The cut in GST ensures that patients who require daily or lifelong medication will now spend significantly less on treatment. This change benefits millions of patients across the country, especially those managing long-term lifestyle-related diseases.

How Cancer Patients Will Benefit

Cancer treatment in India is notoriously expensive, often involving chemotherapy, immunotherapy, and targeted drug therapies. On average, patients spend anywhere between ₹50,000 to ₹5 lakh per month on treatment, depending on the type and stage of cancer.

Since medicines account for a large portion of this expenditure, the removal of 12% GST can save patients thousands of rupees monthly. For example, if a drug costs ₹1 lakh, the earlier GST of 12% meant patients had to pay an additional ₹12,000 in tax. Now, with zero tax, that burden is eliminated.

This reduction will not only help patients but also reduce the stress on caregivers who often take loans or sell assets to finance treatment.

Broader Impact of the GST Reduction

The government’s decision is being seen as both a public health initiative and a pro-poor economic reform. By lowering the tax on essential medicines, the state is directly reducing out-of-pocket expenditure for patients.

Health experts believe this move will:

• Improve access to life-saving drugs

• Encourage timely treatment by lowering financial barriers

• Reduce mortality rates linked to high medicine costs

• Provide economic relief to middle-class and lower-income families

Final Word

The GST cut on essential medicines in 2025 is a game-changing step for India’s healthcare system. By removing GST on 33 life-saving medicines and reducing tax rates on diabetes, heart, and blood pressure drugs, the government has directly addressed one of the biggest concerns of patients — affordability.

For cancer patients, in particular, this move means thousands of rupees in savings each month, making treatment slightly more manageable. Similarly, for millions of people suffering from chronic conditions like diabetes and hypertension, cheaper medicines will improve both treatment continuity and quality of life.

This decision reinforces the government’s commitment to prioritizing public health and ensuring that no one is denied treatment because of high medicine costs.