China extends tax exemption on domestic anti-HIV medicine

China continued to exempt domestic anti-HIV medicine from value-added tax on production and distribution, an official statement said on June 5.

The exemption, effective from Jan 1, 2019 to Dec 31, 2020, is to support efforts in preventing and controlling HIV/AIDS, according to the joint statement by the Ministry of Finance and the State Administration of Taxation.

The eight types of anti-HIV drugs including zidovudine, lamivudine, and efavirenz, were all picked as officially-designated medicines to be purchased by the government and distributed free for AIDS patients.

Drug production and distribution enterprises shall retain drug supply contracts for inspection by the tax authorities, the statement added.

Chinese authorities will expand a health aid program to help people from impoverished families in rural areas receive treatment for 25 major diseases, including HIV-related infection this year.