- Ethiopia’s Ministry of Revenues mandates VAT on over-the-counter medicines
- Directive issued on August 14, 2025, for enforcement against non-compliant pharmaceutical companies
- Notice sent to various tax offices and sectors
- Over-the-counter medicines classified as taxable supplies
- VAT framework introduced in 2003 with a 15 percent standard rate
- Prescription medicines and certain essentials remain exempt
- Over-the-counter products are a significant part of the pharmaceutical market, which relies on imports
Source: birrmetrics.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Ethiopia"
- Ethiopia Mandates VAT Registration for High-Income Taxpayers and Bookkeeping Entities Under New Directive
- Ethiopia Clarifies VAT Registration Obligations for Taxpayers with New Directive Effective September 2025
- Ethiopia Broadens Scope of VAT Registration
- Ethiopia Expands VAT Registration Requirements with New Directive, Mandating Compliance for Specific Taxpayers
- Ethiopia Expands VAT Registration to Include More Taxpayers with New Income Thresholds
