Document Number
92-67
Tax Type
Retail Sales and Use Tax
Description
Medical, Dental, and Optical Supplies and Drugs; Vitamins and Minerals
Topic
Taxability of Persons and Transactions
Date Issued
05-15-1992

May 15, 1992


Dear***********:

This will reply to your letter on April 6, 1992 in which you seek a ruling on the applicability of the retail sales and use tax to vitamins and minerals used to treat specific diseases.
RULING

Va. Code § 58.1-608(A)(7)(a) provides, in pertinent part, an exemption from the retail sales and use tax for:
    • [m]edicines, drugs, hypodermic syringes, artificial eyes, contact lens, eyeglasses and hearing aids dispensed by or sold on prescriptions or work orders of licensed physicians, dentists, optometrists, ophthalmologists, opticians, audiologists, hearing aid dealers and fitters and veterinarians; and controlled drugs purchased by a licensed physician for use in this professional practice.

However, only those vitamins and minerals dispensed by or sold on prescriptions or work orders of licensed physicians are eligible for the above exemption. Vitamins and minerals suggested by a physician for the use in the treatment of a particular condition, but which are not dispensed by or sold on prescription of a physician, are subject to the tax.

In addition, while nonprescription drugs and proprietary medicines used in the cure, mitigation, treatment or prevention of disease in human beings will be exempt from the tax effective July 1, 1994, pursuant to Va. Code § 58.1-608(A)(7)(o), the department has determined that vitamins and minerals sold as dietary supplements or adjuncts will not qualify for the exemption. (See the enclosed copy of the regulation the department has developed in clarifying this exemption.)

For your information, I have enclosed a copy of P.D. 90-61 (4/21/90) which explains that dietary supplements including essential nutrients used in weight loss programs do not qualify as exempt medicines and drugs under the above provision.

If you have any further questions about this matter please contact the department.


Sincerely,


W. H. Forst
Tax Commissioner

Rulings of the Tax Commissioner

Last Updated 08/25/2014 16:46