“Typically, bed charges constitute approximately 10-12% of average medical expenditure for hospitalisation in for-profit hospitals,” said Mythri Macherla, assistant vice president and sector head at ICRA. “In the absence of input tax credit, we expect the hospitals to pass on the levy to patients, making it largely credit-neutral for hospitals. However, given that in most cases, hospitals tend to offer packages for various treatments, computing bed cost separately is likely to be a challenge and clarity on the same is awaited.”
