Massachusetts retrieval of medical records not taxable

Fees charged for the retrieval and transmission of medical records and health data to customers including attorneys, insurance companies, patients, and hospitals were exempt from Massachusetts sales and use tax. The retrieval and transmission services were exempt from tax because the Massachusetts definition of a “sale” excludes the furnishing of personal information that was not integrated with reports given to others. (Department of Revenue, Letter Ruling 03-11, November 7, 2003)

Posted on March 15, 2004