{"id":5176,"date":"2017-07-31T22:25:12","date_gmt":"2017-07-31T22:25:12","guid":{"rendered":"http:\/\/www.seoheights.com\/blog\/?p=5176"},"modified":"2017-07-31T22:25:12","modified_gmt":"2017-07-31T22:25:12","slug":"top-10-impacts-gst-pharma-healthcare","status":"publish","type":"post","link":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/","title":{"rendered":"Top 10 Impacts of GST on Pharma and Healthcare"},"content":{"rendered":"

History of GST<\/strong><\/p>\n

In 1954, France was the first country to introduce \u201cGoods and Services Tax\u201d popularly known as GST followed by Japan, South Korea, UK and Australia. Since then 160 countries have embraced GST, INDIA being the latest addition from 1st\u00a0of July 2017. The idea of one tax structure was conceptualized by one German Businessman, Mr. Wilhelm von Siemens in 1920\u2019s.<\/p>\n

\"GST\"<\/p>\n

There are many models of GST which are based on the structure and type of prevailing governments in that country. India has adopted Dual rate GST model which was first started and adopted by Canada in 1991. The most crucial aspect of this tax regime is the different rates of GST that prevails on the various categories of products. European countries have implemented one rate of G & S Tax because they hardly have poor families, unlike India, where people cannot be charged with the same tax as the opulent. The GST Council of India has approved a four-rate tax structure of 5, 12, 18 and 28 per cent.<\/p>\n

Impact on Healthcare & Pharmaceutical sector<\/strong><\/p>\n

The decision of the GST Council to exempt healthcare and diagnostics from GST has been appreciated and welcomed by the Industry insiders and end consumers. The horde of like excise duty at the time of manufacturing, central sales tax, additional duties of custom on imports, service tax on proliferated services and other charges of the states used to burden health care, which ultimately burdened the consumer with heavy bills.<\/p>\n

The major impacts:-<\/strong><\/p>\n

    \n
  1. Healthcare services rendered by a clinical organization, medical practitioner or paramedics are exempted<\/li>\n
  2. Services provided by way of transportation of a patient in an ambulance when undertaken to restore or to reconstruct anatomy or functions of body affected due to congenital defects, developmental abnormalities, injury or trauma are also exempted.<\/li>\n
  3. MRI GST has now slotted life-saving drugs \u00a0for \u00a0Diabetes<\/a>, Malaria, TB, HIV-AIDS compulsorily under the 5% slab, while categorizing formulations into the 12 percent slab (up from nine percent).<\/li>\n
  4. Medical furniture such as beds, dentist\u2019s chair and operating table etc. will be charged at 18% slab of GST<\/li>\n
  5. Diagnostics has been put in 18% and 12% tax slabs; it was 16% prior to GST<\/li>\n
  6. Some medicines have become more expensive under the GST regime, the cost of (Magnetic resonance imaging) and X-rays may increase marginally<\/li>\n
  7. Medical tourism generates extra revenue for Healthcare industry; it has grown from $334 million in 2004 to $2 billion this year. With the implementation of GST, medical tourism is also projected to grow manifold due to exemption.<\/li>\n
  8. Under the new GST regime\u00a0the outsourced services, aesthetics and outpatient pharmacies are subject to GST imposition<\/li>\n
  9. The increase in tax on most finished drug formulations is only 1.8 percent, and companies are likely to absorb the additional burden<\/li>\n
  10. Currently, 5 percent of the country\u2019s GDP is expended on the Healthcare sector. The healthcare sector is expected to touch $150 billion by end of 2017, from $80 billion in the year 2012 due to the introduction of GST.<\/li>\n<\/ol>\n

     <\/p>\n

    It is well anticipated that GST would have a beneficial effect on the Healthcare Industry particularly the pharma sector. This is going to help the industry by restructuring the taxation structure as 8 different types of taxes are currently imposed on the Pharmaceutical Industry today. The merger of all the taxes into one uniform tax will ease the way of doing business in the country, as well as minimizing the cascading effects of manifold taxes that is applied to one product.<\/p>\n

    \u00a0<\/strong><\/p>\n

    The Conclusion\u00a0<\/strong><\/p>\n

    To sum up the impact of GST on the Healthcare segment is still unknown & unspecified. However, the Industry specialists have confidence that post implementation of GST customers and industry players will be in a win-win situation. The Healthcare Industry would certainly gain from the GST execution as it would diminish the intricacies and various obstacles to the growth of business. Healthcare sector including the medical tourism is on the way of expanded profitability.<\/p>\n

     <\/p>\n

    Thank you for your time, hope you liked our article, for more such informative <\/em>articles<\/em><\/a> please visit Jiyyo.com\u2019s <\/em>blog<\/em><\/a> page. <\/em>Jiyyo.com\u2019s<\/em><\/a> sole aim is to bring common people and health care system & personnel on one platform and change the way they operate in this huge sector. To facilitate this vision we write variety of blogs to generate awareness, filter knowledge and extend technological hand for enhanced networking between masses & healthcare spaces.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

    History of GST In 1954, France was the first country to introduce \u201cGoods and Services Tax\u201d popularly known as GST followed by Japan, South Korea, UK and Australia. Since then 160 countries have embraced GST, INDIA being the latest addition from 1st\u00a0of July 2017. The idea of one tax structure was conceptualized by one German […]<\/p>\n","protected":false},"author":1,"featured_media":5177,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"ngg_post_thumbnail":0,"footnotes":""},"categories":[2613],"tags":[2611,2612,2610],"class_list":["post-5176","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-health","tag-healthcare","tag-jiyyo","tag-pharma"],"yoast_head":"\nTop 10 Impacts of GST on Pharma and Healthcare - Seoheights<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Top 10 Impacts of GST on Pharma and Healthcare - Seoheights\" \/>\n<meta property=\"og:description\" content=\"History of GST In 1954, France was the first country to introduce \u201cGoods and Services Tax\u201d popularly known as GST followed by Japan, South Korea, UK and Australia. Since then 160 countries have embraced GST, INDIA being the latest addition from 1st\u00a0of July 2017. The idea of one tax structure was conceptualized by one German […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/\" \/>\n<meta property=\"og:site_name\" content=\"Seoheights\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/seoheights\/\" \/>\n<meta property=\"article:published_time\" content=\"2017-07-31T22:25:12+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.seoheights.com\/blog\/wp-content\/uploads\/GST.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"542\" \/>\n\t<meta property=\"og:image:height\" content=\"285\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Lucy Orloski\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@seo_heights\" \/>\n<meta name=\"twitter:site\" content=\"@seo_heights\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Lucy Orloski\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Top 10 Impacts of GST on Pharma and Healthcare - Seoheights","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/","og_locale":"en_US","og_type":"article","og_title":"Top 10 Impacts of GST on Pharma and Healthcare - Seoheights","og_description":"History of GST In 1954, France was the first country to introduce \u201cGoods and Services Tax\u201d popularly known as GST followed by Japan, South Korea, UK and Australia. Since then 160 countries have embraced GST, INDIA being the latest addition from 1st\u00a0of July 2017. The idea of one tax structure was conceptualized by one German […]","og_url":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/","og_site_name":"Seoheights","article_publisher":"https:\/\/www.facebook.com\/seoheights\/","article_published_time":"2017-07-31T22:25:12+00:00","og_image":[{"width":542,"height":285,"url":"https:\/\/www.seoheights.com\/blog\/wp-content\/uploads\/GST.jpg","type":"image\/jpeg"}],"author":"Lucy Orloski","twitter_card":"summary_large_image","twitter_creator":"@seo_heights","twitter_site":"@seo_heights","twitter_misc":{"Written by":"Lucy Orloski","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/#article","isPartOf":{"@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/"},"author":{"name":"Lucy Orloski","@id":"https:\/\/www.seoheights.com\/blog\/#\/schema\/person\/09d07c3fa6262c25abfebc61c74e2f25"},"headline":"Top 10 Impacts of GST on Pharma and Healthcare","datePublished":"2017-07-31T22:25:12+00:00","mainEntityOfPage":{"@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/"},"wordCount":723,"commentCount":0,"image":{"@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/#primaryimage"},"thumbnailUrl":"https:\/\/www.seoheights.com\/blog\/wp-content\/uploads\/GST.jpg","keywords":["healthcare","Jiyyo","Pharma"],"articleSection":["Health"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/","url":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/","name":"Top 10 Impacts of GST on Pharma and Healthcare - Seoheights","isPartOf":{"@id":"https:\/\/www.seoheights.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/#primaryimage"},"image":{"@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/#primaryimage"},"thumbnailUrl":"https:\/\/www.seoheights.com\/blog\/wp-content\/uploads\/GST.jpg","datePublished":"2017-07-31T22:25:12+00:00","author":{"@id":"https:\/\/www.seoheights.com\/blog\/#\/schema\/person\/09d07c3fa6262c25abfebc61c74e2f25"},"breadcrumb":{"@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/#primaryimage","url":"https:\/\/www.seoheights.com\/blog\/wp-content\/uploads\/GST.jpg","contentUrl":"https:\/\/www.seoheights.com\/blog\/wp-content\/uploads\/GST.jpg","width":542,"height":285,"caption":"GST"},{"@type":"BreadcrumbList","@id":"https:\/\/www.seoheights.com\/blog\/top-10-impacts-gst-pharma-healthcare\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.seoheights.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Top 10 Impacts of GST on Pharma and Healthcare"}]},{"@type":"WebSite","@id":"https:\/\/www.seoheights.com\/blog\/#website","url":"https:\/\/www.seoheights.com\/blog\/","name":"Seoheights","description":"Seoheights-Blog","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.seoheights.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.seoheights.com\/blog\/#\/schema\/person\/09d07c3fa6262c25abfebc61c74e2f25","name":"Lucy Orloski","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.seoheights.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/f8b1fb7a9d81c7aef028b337d203516668941ee41c58ea0a4b87eccffc2e0a25?s=96&d=blank&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/f8b1fb7a9d81c7aef028b337d203516668941ee41c58ea0a4b87eccffc2e0a25?s=96&d=blank&r=g","caption":"Lucy Orloski"},"description":"Lucy Orloski, Content Community Manager in SEOHeights, a Canada based digital marketing company, has worked in a number of capacities in marketing since 2008. She provides consultancy for increasing traffic through search engines, social media, email marketing and improving the site and page conversion rates to increase sales using existing visitor traffic. If you want to increase traffic, sales or want branding of your business then contact me","sameAs":["http:\/\/www.seoheights.com\/blog\/"],"url":"https:\/\/www.seoheights.com\/blog\/author\/seoheights-2\/"}]}},"_links":{"self":[{"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/posts\/5176","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/comments?post=5176"}],"version-history":[{"count":2,"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/posts\/5176\/revisions"}],"predecessor-version":[{"id":5179,"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/posts\/5176\/revisions\/5179"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/media\/5177"}],"wp:attachment":[{"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/media?parent=5176"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/categories?post=5176"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.seoheights.com\/blog\/wp-json\/wp\/v2\/tags?post=5176"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}