Missouri Code of State Regulations
Title 12 - DEPARTMENT OF REVENUE
Division 10 - Director of Revenue
Chapter 110 - Sales/Use Tax-Exemptions
Section 12 CSR 10-110.013 - Drugs and Medical Equipment
Universal Citation: 12 MO Code of State Regs 10-110.013
Current through Register Vol. 49, No. 18, September 16, 2024
PURPOSE: Section 144.030.2(18), RSMo, provides an exemption for prescription drugs, orthopedic and prosthetic devices, numerous dental items, hearing aids, hearing aid supplies and certain sales of over-the-counter drugs. This rule explains the sales tax law as it applies to these exemptions.
(1) In general, sales of prescription drugs, orthopedic and prosthetic devices and certain qualifying health-related equipment, and certain sales of over-the-counter drugs, are exempt from Missouri sales tax.
(2) Definition of Terms.
(A) Orthopedic device-a rigid or semirigid
leg, arm, back or neck brace and casting materials which are directly used for
the purpose of supporting a weak or deformed body member or restricting or
eliminating motion in a diseased or injured part of the body.
(B) Over-the-counter drug-a drug product
which may be purchased without a physician's prescription.
(C) Prescription drug-a drug dispensed by a
licensed pharmacist only upon a lawful prescription from a licensed
practitioner.
(D) Prosthetic
device-a device that replaces all or part of the function of a permanently
inoperative or malfunctioning internal body organ and is medically
required.
(3) Basic Application of Tax.
(A) Sales of prescription
drugs, insulin, medical grade oxygen, drug samples and materials used to
manufacture samples, which may be dispensed by a licensed practitioner are
exempt from tax. Sales of over-the-counter drugs when sold to an individual
with a disability or to the individual's agent are exempt from tax. When
selling over-the-counter drugs to an individual with disability, the retailer
should obtain a purchaser's signed statement of disability. The retailer should
retain these statements for three (3) years. The statement should include the
purchaser's name, type of purchase and amount of purchase, and be signed by the
purchaser or the purchaser's agent. The retailer should request a form of
identification, such as driver's license, credit card, etc. to verify the
identity of the purchaser. Sales of prosthetic devices as defined on January 1,
1980, by the Federal Medicare Program under Title XVIII of the Social Security
Act of 1965 are exempt from tax.
(B) Sales of orthopedic devices as defined by
the Federal Medicare Program under Title XVIII of the Social Security Act of
1965 are exempt from tax.
(C) Also
exempt from sales tax are items specified in section 1862(A)(12) of the Social
Security Act of 1965. Exempt items included in this class are those used in
connection with the treatment, removal or replacement of teeth or structures
directly supporting teeth. Dental equipment or supplies are not exempt. The
exempt items include:
1. Dentures
2. Inlays
3. Bridge work
4. Fillings
5. Crowns
6. Braces, or
7. Artificial dentistry and dental
reconstructions, which are made, manufactured or fabricated from molds or
impressions made by dentists of the mouths of their particular patients and
sold to dentists for insertion in the patient's mouth as the direct support of,
substitution for, or part of the patient's teeth.
(D) Sales of other specific health-related
equipment and accessories are exempt from sales tax.
1. These specific items are-
A. Ambulatory aides
B. Braille writers
C. Electronic Braille equipment
D. Home respiratory equipment and
accessories
E. Hospital beds and
accessories
F. Stairway
lifts
G. Wheelchairs, manual and
powered
2. If purchased
by or on behalf of a person with one or more physical or mental disabilities to
enable them to function more independently, the following items are also
exempt:
A. Electronic print enlargers and
magnifiers
B. Electronic
alternative and augmentative communication devices
C. Items used solely to modify motor vehicles
to permit the use of such motor vehicles by individuals with
disabilities
D. Reading
machines
E. Scooters
(4) Examples.
(A) A retailer sells an
over-the-counter drug to an individual claiming a disability. The sale is
exempt if the retailer obtains from the purchaser or their agent a statement
similar to the following:
Purchases of over-the-counter drugs by individuals with disabilities are exempt from sales tax. IT IS UNLAWFUL TO FRAUDULENTLY CLAIM AN EXEMPTION. I CERTIFY THAT I HAVE A DISABILITY AND AM ENTITLED TO CLAIM THIS EXEMPTION OR I AM CLAIMING THIS EXEMPTION ON BEHALF OF A PERSON OR PERSONS WITH A DISABILITY.
Type of Purchase____________
Amount___________
Type of ID___________
ID Number___________
Name (print)___________
Signature_______________
(B) Examples of exempt prosthetic devices
include:
1. Breast prosthetics, including
surgical brassieres for postmastectomy patients
2. Cardiac pacemakers
3. Colostomy and other ostomy bags and the
necessary equipment required for attachment
4. Electronic speech aids if the patient has
had a laryngectomy or his/her larynx is permanently inoperative
5. Hearing aids and hearing aid
supplies
6. Hemodialysis
equipment
7. Maxillofacial devices
and devices which replace all or part of the ear or nose
8. Prosthetic lenses which replace the lens
of an eye
9. Urinary collection
systems, including Foley catheters, when replacing bladder function in cases of
permanent urinary incontinence
10.
Eyeglasses, contact lenses, bedpans and incontinent apparel are not considered
prosthetic devices and are subject to sales tax
(C) Examples of exempt orthopedic devices
include:
1. Artificial legs, arms and eyes
including terminal devices such as artificial hands
2. Hoods and space shoes which replace part
of a foot
3. Orthotics
4. Stump stockings and harnesses when they
are essential to the effective use of an artificial limb
5. Trusses
6. Elastic braces, elastic stockings, arm
slings, elastic wraps and garter belts, are not considered orthopedic devices
and are subject to sales tax
(D) Examples of exempt orthopedic and
prosthetic devices used in dentistry include:
1. Restorative materials.
A. Acrylics
B. Aluminum crowns
C. Amalgam
D. Bases and liners
E. Cements
F. Chrome steel crowns
G. Copper bands
H. Crown forms
I. Dentin enamel adhesives
J. Denture anchors
K. Denture repair materials
I. Denture teeth
M. Gold
N. Mercury
0. Pins
P. Pit and fissure sealants Q.
Porcelains
R. Posts
S. Temporary filling materials T. Zinc oxide
(Eugenol)
2. Prosthetic
devices and supportive materials.
A.
Acrylics
B. Bonding
materials
C. Chrome
alloys
D. Composed
materials
E. Denture
anchors
F. Denture repair
materials
G. Denture
teeth
H. Implant
materials
I. Metal alloys
3. Orthodontic devices and
materials.
A. Arch bar splits
B. Bone grafting materials
C. Cresitine
D. Endodontic materials
E. Face bow head gear
F. Gortex grafting materials
G. Gutta percha points
H. Muscosal grafts (natural and
artificial)
I. Orthodontic
appliances
J. Orthodontic brackets
K. Orthodontic elastics
L. Orthodontic expansion screw
M. Orthodontic resins
N. Orthodontic separators
O. Orthodontic waxes
P. Orthodontic wires
Q. Root canal sealants
R. Silver points
S. Surgical wires
(E) Sales of other
specific health-related equipment and accessories are exempt from sales tax.
1. These specific items are-
A. Ambulatory aides
B. Braille writers
C. Electronic Braille equipment
D. Hospital beds and accessories
E. Home respiratory equipment and
accessories
F. Stairway
lifts
G. Wheelchairs, manual and
powered
2. If purchased
by or on behalf of a person with one (1) or more physical or mental
disabilities to enable them to function more independently, the following items
are also exempt:
A. Electronic alternative and
augmentative communication devices
B. Electronic print enlargers and
magnifiers
C. Items used solely to
modify motor vehicles to permit the use of such motor vehicles by individuals
with disabilities
D. Reading
machines
E. Scooters
*Original authority: 144.270, RSMo 1939, amended 1941, 1943, 1945, 1947, 1955, 1961.
Disclaimer: These regulations may not be the most recent version. Missouri may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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