Current through September 17, 2024
078.01 The following definitions apply to
this regulation.
078.01A Veterinary medicines
include medicines for the prevention or treatment of disease or injury in
animals and include all drugs, antibiotics, viruses, serums, toxins,
antitoxins, or analogous products of natural or synthetic origin.
078.01B Agricultural chemicals include
pesticides, insecticides, fungicides, growth-regulating chemicals, hormones,
and rodenticides or any other substance or mixture intended for use in
preventing, destroying, repelling, or mitigating pests of animals, or to affect
the structure or function of animals.
078.01C Food-producing or pelt-producing
animals include animal life, the products of which ordinarily constitute food
for human consumption; or the pelts of which are ordinarily used for human
apparel. Cattle, sheep, swine, mink, chinchillas, poultry, goats, game birds
subject to permit and regulation by the Game and Parks Commission, and bees are
examples of food-producing or pelt-producing animal life.
078.01D Non-food producing animals include
zoo animals, parakeets, canaries, horses, donkeys, mules, domesticated elk and
deer, ostriches, emus, and pets, such as cats, dogs, and birds, or breeding
stock of any of these animals.
078.01E Providing professional services means
the veterinarian has established a doctor-patient, or doctor-client
relationship with the client.
078.01F Livestock means any domestic cattle,
horses, mules, donkeys, sheep, or swine.
078.02 Veterinarians are engaged in the
business of providing professional services to owners of domestic animals
through care, medication, and treatment of their animals. Charges for
professional services provided by veterinarians and veterinary clinics are not
taxable.
078.03 Veterinarians and
veterinary clinics are consumers of all property and services they purchase for
use in providing professional services and they are required to pay sales or
use tax on all purchases except:
078.03A
Purchases of veterinary medicines and agricultural chemicals to be used in the
treatment or care of food-producing or pelt-producing animals;
078.03B Purchases of feed and feed
supplements to be fed to food-producing or pelt-producing animals;
078.03C Purchases of veterinary medicines,
agricultural chemicals, and other products that are not used to provide
professional services but are sold at retail; and
078.03D Purchases of animal specialty
services for livestock.
078.04 Veterinarians and veterinary clinics
that purchase items without paying sales or use taxes and use these items when
providing professional services must remit use tax on the cost of the item,
unless the item is otherwise exempt.
078.05 Veterinarians or veterinary clinics
that sell veterinary medicines, agricultural chemicals, feed, feed supplements,
veterinary supplies, equipment, or other products, or provide animal specialty
services, separate from providing professional services, are required to
collect sales tax from their customers, unless the sales are otherwise exempt.
078.05A See
Reg-1-063,
Feed, Water, Agricultural Chemicals, And Veterinary Medicines for Animal Life,
for details regarding documentation required to support certain exempt
sales.
078.05B See
Reg-1-102,
Animal Specialty Services, for details regarding taxability of animal specialty
services.
078.05C If a veterinarian
or veterinary clinic paid sales tax at the time of purchase on the items sold,
sales tax must be collected from the customer on the full retail price. The
veterinarian or veterinary clinic will remit to the state the difference
between the sales tax collected from the customer and the sales tax previously
paid by the veterinarian or veterinary clinic on those items.
078.06 Items used in providing
professional services are not retail sales regardless of how the charges are
itemized on the billing invoice.
078.07 The practice of veterinary medicine is
not commercial agriculture. Therefore, machinery and equipment purchased by
veterinarians and veterinary clinics to be used in their veterinary practice
are not exempt under
Reg-1-094,
Agricultural Machinery and Equipment Refund.
