Uncertainty continues over rules pertaining to clawback payments

2010-01-29

The payment procedure for the collection of “clawback tax” in Romania is still not clear in the opinion of drug manufacturers. The Romanian Health Ministry instigated a public debate on the tax application rules, which could cause delay in clawback tax payments, whereas payment for Q4 2009 should be collected in the last week of January 2010. The Ministry expects to collect RON 100m (€23m) for Q4 2009 and RON 570m (€134m) in 2010.
According to Sorin Popescu, the vice-president of the Romanian Association of International Medicine Manufacturers (ARPIM) quoted in Ziarul Financiar, it is not clear whether the tax is based on medicines shipped or actual cash collection, as Romanian accounting rules allow the recognition of both. Another relevant issue is the fact that some medicines on which clawback tax must be paid are not sold in Romania but re-exported.
The clawback mechanism is a special 5-11% tax to be paid by drug manufacturers on sales of reimbursed drugs.