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Why do I have to bill with national drug codes (NDCs) in addition to Healthcare Common Procedure Coding System (HCPCS) codes?

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Why do I have to bill with national drug codes (NDCs) in addition to Healthcare Common Procedure Coding System (HCPCS) codes?

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The Deficit Reduction Act of 2005 (DRA) includes provisions about the state collection of data for the purpose of collecting Medicaid drug rebates from drug manufacturers for physician-administered drugs. Since there are often several NDCs linked to a single HCPCS code, the Centers for Medicare & Medicaid Services (CMS) deems that the use of NDC numbers is critical to correctly identify the drug and manufacturer in order to invoice and collect the rebates.

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