The Illinois Department of Revenue issues guidance on the sales tax treatment of dental fluoride varnish. Learn how this affects dental providers and suppliers.
Colorado Rules That DNA Testing with Tangible Personal Property is Nontaxable Service
The Colorado Department of Revenue (DOR) issued a private letter ruling regarding a company’s sales of ancestral and health reports and the saliva kits used to collect customers’ DNA for generating the reports.
Texas Creates Exemption for Family Care and Menstrual Items
On September 1, 2023, Texas SB 379 went into effect, making many medical, menstrual, maternity, and family care items exempt from sales tax.
Clean Room Equipment Qualifies for Indiana Manufacturing Exemption
Indiana has issued a revenue ruling stating that equipment used in a climate-controlled clean room qualified for the state’s manufacturing exemption.
Indiana Denies Taxpayer Refund of Sales Tax Paid for Swim Spa
The Indiana Department of Revenue (DOR) denied a taxpayer’s refund claim for sales tax paid on the purchase of a swim spa, which the taxpayer claimed is used for medical treatment.
Arizona Eliminates Annual Renewals for Certain Nonprofit Sales Tax Exemptions
Effective 91 days after the close of the current legislative session, Arizona no nonprofit organizations that qualify for exemptions to the state\’s Transaction Privilege Tax will no longer be required to annually re-certify their exempt status.
Texas Non-Profit’s Sales of Learning System, Subscriptions, and Membership Dues are Exempt
A non-profit professional healthcare organization’s sales of a learning system, subscriptions to its journal, and annual membership dues were exempt from Texas sales and use tax.
New Mexico Court Rules Staffing Agencies are Obligated to Pay Gross Receipts Tax
A New Mexico court ruled a psychiatric services provider was subject to the state’s gross receipts tax, contrary to New Mexico Statutes Sec. 7-9-77.1. The reason for this departure is due to the way the taxpayer was contracted.
Hawaii Updates Guidance on GET for Medical and Dental Services
Hawaii Department of Taxation issued Tax Facts 98-1 updating its information on the general excise tax (GET) as it applies to medical and dental services.
Virginia Denies Sales Tax Refund for Reagents used by Medical Diagnostic Testing Provider
The Virginia Department of Taxation (DOT) issued a letter ruling upholding the denial of a sales and use tax refund for chemical reagents used by a provider of medical diagnostic testing and analytical services.
Texas Clarifies Policy Following Letter Ruling that Determined Worker’s Compensation Medical Exams are Subject to Tax
Following a letter ruling released on the subject in October, the Texas Department of Revenue has clarified that doctors performing exams for the state\’s Division of Workers\’ Compensation are not required to collect sales tax until October 1, 2023, to allow the Worker\’s Compensation industry to seek a legislative change.
Elective Ultrasound Service Found Taxable in California
California determined that the true object of a taxpayer’s prenatal imaging business was the images captured, not the ultrasound service.
Canada Announces Temporary GST and HST Relief for Face Masks and Face Shields
The Government of Canada announced a proposed measure to remove the GST/HST on supplies of face masks, respirators and face shields made after December 6, 2020.
PPE Sold to or Purchased by State of California is Exempt
Personal protective equipment (PPE) is temporarily exempt from sales and use tax when sold to or purchased by the State of California.
Medical Instruments Shipped with Tangible Personal Property Subject to Use Tax in Michigan
Michigan held that an out-of-state manufacturer of orthopedic implants was subject to use tax on medical instruments that it provides in conjunction with sales of the implants.
California Enacts Exemptions for Diapers and Menstrual Hygiene Products
Effective January 1, 2020, California has enacted a sales and use tax exemption for diapers and menstrual hygiene products.
Maryland Enacts Exemption for Hearing Aid Items
Effective July 1, 2020, Maryland has enacted a sales and use tax exemption for specified hearing aid items.
Washington Enacts Exemption for Feminine Hygiene Products
Effective July 1, 2020, Washington has enacted a permanent exemption for feminine hygiene products.
New Jersey to Phase Out Sales Tax on Medical Cannabis
New Jersey has enacted legislation that phases out the state sales tax on medical cannabis over a period of three years.
Medical System Subject to Tax in Missouri
The sale of a medical system was subject to Missouri sales and use tax since the system did not qualify as an exempt orthopedic or prosthetic device.
Prohibition on Taxation of Prescription Drugs Includes Medical Devices in Louisiana
The Louisiana Court of Appeal established that the state’s constitutional prohibition against taxation of prescription drugs also applies to medical devices.
Oklahoma Makes Amendments to Medical Equipment Exemption
Oklahoma has enacted legislation that makes changes to a medical equipment exemption.
Georgia Extends Exemptions for Nonprofit Volunteer Health Organizations
Georgia has enacted legislation that extends the sunset date for two sales and use tax exemptions for nonprofit volunteer health organizations.
Glucose Testing Meters, Test Strips, Lancing Devices and Lancets Exempt in Vermont
A retailer’s sale of glucose test strips, lancing devices, and lancets are exempt from Vermont sales and use tax since they were used in medical diagnosis or treatment.