scholarly journals Cost-savings accruable to removing value added tax from antiretrovirals in the South African private health sector

2017 ◽  
Vol 22 ◽  
Author(s):  
Varsha Bangalee ◽  
Fatima Suleman
Keyword(s):  
Cost Saving ◽  
Policy Development ◽  
Value Added ◽  
Antiretroviral Drugs ◽  
Essential Medicines ◽  
Healthcare Sector ◽  
Fixed Dose ◽  
Potential Cost Saving ◽  
Value Added Tax ◽  
Potential Cost

Background: Despite the important and essential role that medicines play in any society, all medicines, including those identified as essential, are uniformly subjected to 14% value added tax (VAT), regardless of their therapeutic value in the private healthcare sector of South Africa. The aim of this article is to demonstrate the potential cost-saving attained from the removal of VAT from the private sector pricing of essential medicines, using antiretroviral treatment as an example.Methods: An empirical analysis was undertaken to illustrate the potential cost-saving achieved by removing VAT from the Single Exit Price and the dispensing fee of essential medicines. This outcome was demonstrated by applying the methodology to an adult fixed dose combination 1st line antiretroviral regimen as well as to a group of 3rd line antiretroviral medicines.Results: The potential saving for the lowest priced generic and originator 1st line antiviral regimen accrued to ZAR 693.84 and ZAR 1085.04 over a year respectively. Regarding the 3rd line antiretroviral drugs, results yielded an annual saving of ZAR 1678.68 (darunavir), ZAR5741.04 (maraviroc) and ZAR 159.48 (rilpivirine).Conclusions: Lobbying for the removal of VAT from the supply chain of medicines should be intensified. Policy development to monitor and recover lost government revenue through the removal of taxes should be explored.

Free drugs in clinical trials and their potential cost saving impact on the National Health Service: A retrospective cost analysis in Italy

Lung Cancer ◽  
2013 ◽  
Vol 81 (2) ◽  
pp. 236-240 ◽  
Author(s):  
Francesco Grossi ◽  
Carlo Genova ◽  
Nidia Diaz Gaitan ◽  
Maria Giovanna Dal Bello ◽  
Erika Rijavec ◽  
...  
Keyword(s):  
Clinical Trials ◽  
National Health Service ◽  
Health Service ◽  
Cost Saving ◽  
Cost Analysis ◽  
National Health ◽  
Potential Cost Saving ◽  
Potential Cost

scholarly journals Maximum potential cost-savings attributable to generic substitution of antipsychotics 2008 to 2013

2016 ◽  
Vol 21 ◽  
pp. 356-363
Author(s):  
D. Husselmann ◽  
R. Joubert ◽  
J. R. Burger ◽  
M. S. Lubbe ◽  
M. Cockeran
Keyword(s):  
Cost Saving ◽  
Generic Substitution ◽  
Cost Savings ◽  
Economic Benefits ◽  
Community Treatment ◽  
Prescribing Patterns ◽  
Potential Cost Saving ◽  
Potential Cost ◽  
Total Potential ◽  
Nationally Representative

Background: Schizophrenia is a costly illness to treat, especially during a time of escalating medicine inflation costs, putting a large economic strain on patients, their families and the community. Treatment, however, can become more affordable through generic substitution.Objective: To determine the maximum potential cost-saving through generic substitution for both originator and more expensive generic items while observing the prescribing patterns of antipsychotics.Method: Antipsychotic medicine usage was analysed retrospectively during the study period 2008 to 2013 using data obtained from a nationally representative Pharmaceutical Benefit Management Company. The study population consisted of 4410 patients with ICD-10 codes (F20-F20.9) who had paid claims for an antipsychotic reimbursed from their prescribed minimum benefits. Active ingredients were identified using the MIMS classification system. Maximum potential cost savings were determined by substituting all originator and more expensive generic antipsychotic items with the cost of the least expensive generic antipsychotic item available.Results: Through generic substitution, a total potential cost-saving of ZAR4 642 685.45 could be possible from 2008 to 2013. Average cost per items increased from ZAR600.53 ± ZAR435.00 (median ZAR 539.82) in 2008 to ZAR1 196.59 ± ZAR 942.16 (median ZAR 940.72) in 2013 and had a significant effect on patients' contribution, which increased with 726.94% from 2005 to 2008. Psychiatrists prescribed the majority of antipsychotics. Although generic items claimed increased by 60.31% during the study period, psychiatrist still favoured non-generic prescribing (40.63%).Conclusions: Potential economic benefits can be generated with generic substitution.

Measuring Consumer Attitudes toward the Marketplace with Tailored Interviews

1989 ◽  
Vol 26 (3) ◽  
pp. 311-326 ◽  
Author(s):  
Siva K. Balasubramanian ◽  
Wagner A. Kamakura
Keyword(s):  
Cost Saving ◽  
Item Response ◽  
Measurement Technique ◽  
Cost Effective ◽  
Consumer Attitudes ◽  
Attitude Scale ◽  
Potential Cost Saving ◽  
Potential Cost ◽  
Standard Error Of Measurement ◽  
Error Of Measurement

The authors demonstrate how item response theory can be applied for cost effective measurement of consumer attitudes with multi-item scales. The measurement technique they discuss and illustrate is tailored to each respondent so that each is asked only the scale items most informative of his or her attitude level. This approach yields attitude estimates from only a fraction of the total number of items in the attitude scale, with a measurable and controllable increase in the standard error of measurement. Potential cost-saving implications are discussed.

scholarly journals Reuse of balloon catheters for coronary angioplasty: A potential cost-saving strategy?

1994 ◽  
Vol 24 (6) ◽  
pp. 1475-1481 ◽  
Author(s):  
Sylvain Plante ◽  
Bradley H. Strauss ◽  
Gilles Goulet ◽  
Randal K. Watson ◽  
Robert J. Chisholm
Keyword(s):  
Cost Saving ◽  
Coronary Angioplasty ◽  
Potential Cost Saving ◽  
Potential Cost ◽  
Balloon Catheters

scholarly journals Cost-savings and potential cost-savings through the distribution of generic antiretroviral drugs within the statutory health insurance market of Germany between January 2017 and June 2019

2022 ◽  
Vol 22 (1) ◽  
Author(s):  
Matthäus Lottes ◽  
Viviane Bremer ◽  
Christof Prugger ◽  
Christian Kollan ◽  
Daniel Schmidt
Keyword(s):  
Health Insurance ◽  
Cost Saving ◽  
Treatment Guidelines ◽  
Statutory Health Insurance ◽  
Generic Drugs ◽  
Cost Savings ◽  
Antiretroviral Drugs ◽  
Potential Cost ◽  
Defined Daily Doses ◽  
Tenofovir Alafenamide

Abstract Background Recent patent losses for antiretroviral drugs (ARV) have led to the debate of cost-saving through the replacement of patented drugs with generic drugs. The split of recommended single-tablet regimens (STR) into their single substance partners is one of the considerations mentioned in said debate. Particularly, generic tenofovir disoproxil/emtricitabine (TDF/FTC) is expected to hold untapped cost-saving potential, which may curb increasing overall expenditures for combined antiretroviral therapy (cART) within the statutory health insurance (SHI) of Germany. Methods Data of ARV reimbursed by the SHI were used to describe the trends of defined daily doses (DDD) as well as the revenue within the German ARV market. They were also used to determine the cost-savings of moving to generic drugs. The time period observed was between January 2017 and June 2019. The potential cost-savings were determined with following assumption in mind: the maximum possible use of generic ARV, including 1) the split of STR and replacing all substance partners with generic ones, and 2) replacing patented tenofovir alafenamide/emtricitabine (TAF/FTC) with generic TDF/FTC. Results Throughout the observation period, the DDD of generic ARV increased nearly five-fold while their revenue increased more than four-fold. Total cost-saving showed a sharp increase over the same period, with generic TDF/FTC accounting for a share of around 70%. The largest potential cost-saving could have been achieved through replacing patented TAF/FTC with generic TDF/FTC, peaking at nearly 10% of total revenue, but showing decreasing trends in general. Conclusion The progressive distribution of generic ARV ensured increasing cost-savings, but consequently curbed the potential cost-savings. Unique price reductions of generic TDF/FTC have played a pivotal role for these effects. In any case, substituting with generic ARV should not fail to adhere to the treatment guidelines and continue to consider the medical requirements for the treatment.

scholarly journals Relationship between VAT Revenue and Intermediate Consumption - A VAR Approach

2019 ◽  
Vol 1 (1) ◽  
pp. 355-373
Author(s):  
Victor Ogneru ◽  
Oana Mădălina Popescu ◽  
Stelian Stancu
Keyword(s):  
Policy Development ◽  
Production Capacity ◽  
Value Added ◽  
Tax Revenue ◽  
Value Added Tax ◽  
Tax Base ◽  
Hidden Economy ◽  
Intermediate Consumption ◽  
The Impact ◽  
The Relationship

Abstract The paper analyzes the relationship between value added tax revenue and intermediate consumption in the case of Romania in the period January 2007 – September 2018 (quarterly data), using an unrestricted Vector Autoregression Model based on the rate of dynamic taxation’s level (in terms of value added tax revenue) and the rate of dynamic intermediate consumption. In literature, is questioned only the relationship between tax revenue and gross domestic product. Our study emphasizes the link between tax revenue and parts of the own tax base. The relationship is questioned in both directions, namely with respect to the manner in which value added tax affect intermediate consumption and in terms of the influence of intermediate consumption on value added tax revenue in the case of Romania. Given that a significant part of the corporate taxpayers have left the value added tax regime, intermediate consumption is considered instead of final consumption. The analysis is focused on a specific relationship in order to assess the general impact of indirect taxation on production capacity of the undertakings. Our findings reveal that there is not a direct relationship between intermediate consumption and value added tax revenue at the level of Romania despite a such relationship at the EU-28 level. Moreover, in the case of Romania a high volatility of intermediate consumption was found. Both the breakage between tax revenue and his tax base, and volatility of the tax base suggest an influence of hidden economy. For future concerns about tax policy development, a specific model for estimating and forecasting value added tax revenue should be developed for Romania. On the other hand, based on the findings of this study, a model can be developed to assess the impact of the hidden economy on the value added tax revenue.

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