GST Reform to Cut Healthcare Costs, Boost Patient Care

Maxivision, Neuberg, and Trivitron stress that a reduction in GST on medical equipment and medical services would lower healthcare costs, and improve patient care.

According to Dr GSK Velu, CMD, Maxivision, Neuberg and Trivitron, “Prime Minister Modi’s forward-looking GST 2.0 reform framework signals a transforming moment for healthcare affordability, boosting the solid foundation for India's future as a global leader in healthcare delivery.”

India is currently poised to emerge as a major global center for medical value travel, med-tech, and diagnostics. For millions of patients, hospitals and diagnostics are more than just service providers,they are their lifelines. However, he warned, the system will unavoidably be affected by the cascading tax burden on consumables, reagents, and equipment, which will raise patient bills.

Also Read: Why Pharma Firms Are Upgrading to Modern ERP Systems

These changes benefit the general population as well as the healthcare industry. He noted that medical gadgets and diagnostic equipment, which are frequently subject to hefty taxes, will now probably be placed under a lower GST category, which will cut their cost and allow providers to modernize their infrastructure without having to worry about incurring undue financial burdens.

Input tax credits for healthcare sevices are a much-needed reform that will enable diagnostic centers and hospitals to deduct their input tax costs. According to him, this will make healthcare services cheaper for patients all over India by lowering their overall cost.