Tax Type
Retail Sales and Use Tax
Description
Drugs and supplies; Durable medical equipment and devices
Topic
Exemptions
Date Issued
10-22-1984
- October 22, 1984
Re: Request for Ruling: Sales and Use Tax
Dear ****
This will reply to your letter of September 12, 1984 in which you submit a request for a ruling on the applicability of the sales and use tax to various items sold by medical supply houses.
§58-44 1.6(sl) of The Code of Virginia provides an exemption from the sales and use tax for "durable medical equipment and devices, and related parts and supplies designed for those products...when... purchased by or on behalf of an individual for use by such individual." Under this law, durable medical equipment is that which: (1) can withstand repeated use; (2) is primarily and customarily used to serve medical purpose; (3) generally is not useful to a person in the absence of illness or injury; and (4) is appropriate for use in the home. In order for an item to be exempt, it must meet all of the above criteria.
While an exemption is available for individuals who purchase durable medical equipment, the same does not hold true for physicians who purchase durable medical equipment for use in their practice, based upon longstanding departmental policy in light of the Virginia Supreme Court is ruling in Commonwealth v. Bluefield Sanitarium, 216 Va. 686, 222 S.E.2d 526 (1976). However, effective January 1, 1985, exempt purchases of durable medical equipment by physicians will be permitted, provided that purchases are made for a specific patient. Bulk purchases of durable medical equipment by physicians will continue to be taxable. The same applies equally to purchases by hospitals, clinics, etc.
Revised Virginia Retail Sales and Use Tax Regulation 630-10-65, to be published on January 1, 1985 includes a listing of items that are deemed to constitute durable medical equipment exempt from the tax. These items are divided into three major categories: Oxygen Equipment; Respiratory Therapy Equipment; and Patient Care Equipment, Physical & Occupational Therapy. The listing included in the revised regulation follows:
OXYGEN EQUIPMENT
Oxygen Cylinders
Cylinder Transport Devices (Sheaths, Carts)
Cylinder Stands, Support Devices
Regulators, Flowmeters
Tank Wrench
Oxygen Concentrators
Liquid Oxygen Base Dispenser
Liquid Oxygen Portable Dispenser
Oxygen Tubing
Nasal Cannulas
Face Masks
Oxygen Humidifiers
Oxygen Fittings, Accessories
RESPIRATORY THERAPY EQUIPMENT
Room Humidifiers (With Script)
Aspirators
Aerosol Compressors (Stationary and Portable)
Ultrasonic Nebulizers
Volume Ventilators, Respirators & Related Device Supplies
Percussors, 'vibrators
IPPB, Circuits, Devices & Supplies
Air Oxygen Mixers
Manual Resuscitators
Nebulizers, Tubing
Emergency Oxygen Delivery Units
PATIENT CARE EQUIPMENT, PHYSICAL & OCCUPATIONAL THERAPY
Hospital Beds
Trapeze Bars - Bar Stand
Bed Rails
Geriatric Chairs
Lift Recliners
Bedside Commodes
Overbed Tables
Patient Lifts
Patient Lift Slings
Traction Stands, Pulleys, etc.
Shower Seating
Shower Grip Bars
Raised Toilet Seats
Toilet Safety Frames
Walking Canes, Quad Canes, Accessories
Walkers
Wheel Walkers
Walker Accessories
I.V. Stands
Crawlers
Posture Back Supports for Seating
Posture Back Supports
Wheelchairs
Crutches, Crutch Pads
Restraints
Standing Frames, Devices and Accessories
Colostomy Supplies and Devices
Enteral and Parental Feeding Equipment & Supplies
(Tubes, Pumps, Containers)
Catheter Devices & Supplies
Hand Exercise Equipment Putty
Specially Designed Hand Utensils
Leg Weights (Rehab. Related)
Paraffin Baths
Hydro-collators
Hydro-therm Heating Pads
Communication Aids for Physically Impaired
Specialized Seating, Desks, Work Stations
Foam Wedges
Writing and Speech Aids for the Impaired
Dressing Aids, Button Loops, Zipper Aids, etc.
Grooming Aids, Dental Aids
Eating & Drinking Aids
Splints, Holders
Household Aids for the Impaired
Shampoo Trays
Reaching Aids
Foam Seating Pads
Decubitus Seating Pads, Bed Pads
Fitted Stroller
Alternating Pressure Pads
Stethoscope
Sitting and Sleeping Cushions
Patient Transport Devices, Boards
Stairglides, Lifts in Home
Transcutaneous Nerve Stimulators
Muscle Stimulators
Bone Fracture Therapy Devices
The foregoing listing of exempt items is identical to the list provided with your letter. If questions arise as to any items not listed, please feel free to contact the department.
Sincerely,
W. H. Forst
State Tax Commissioner
Rulings of the Tax Commissioner