Were transdermal flea, tick, and other parasite medications for dogs and cats exempt from Florida sales tax?

Subject

Transdermal Veterinary Products

Plain-English summary

Transdermal parasite medications were exempt when a licensed veterinarian sold or dispensed them as treatment for an animal. That included flea and tick products applied to or consumed by dogs and cats to alleviate pain or prevent or cure sickness, disease, or suffering.

Off-the-shelf sales were taxable when made without a written prescription or independently of veterinary treatment.

What this means for you

The same product could be exempt or taxable depending on whether it was part of diagnosed veterinary care or an ordinary retail sale.

Common questions

Q: Were veterinarian-dispensed flea and tick medications exempt? Yes.

Q: Were off-the-shelf sales exempt? No.

Q: Did a written prescription matter outside direct treatment? Yes.

Citations and references

• Fla. Stat. § 212.08(2)(a), (f), (g), and (h) — medical and veterinary exemptions
• Fla. Admin. Code r. 12A-1.020(13) — veterinary products and flea or tick treatments
• Fla. Stat. § 213.22 — Technical Assistance Advisements

Source

• Landing page: Florida Tax Law Library
• Advisement: TAA 01A-030

Original ruling text

SUMMARY

QUESTION: What is the taxable status of transdermal
medications that have been developed for the systemic
prevention, treatment and control of certain internal and
external parasites of dogs and cats.

ANSWER - Based on Facts Below: Transdermal medications,
including those for the treatment of flea and tick
infestations, which are applied to, or consumed by,
animals for alleviation of pain or the cure or prevention
of sickness, disease, or suffering, are exempt from tax
when sold or dispensed by licensed veterinarians in
connection with treatment of the animals. Off the shelf
type sales of these products, without a written
prescription or independent of treatment by a veterinarian,
would be taxable.

Jun 11, 2001

Re: Technical Assistance Advisement 01A-030
Sales and Use Tax - Transdermal Veterinary Products
Section: 212.08(2), F.S.
Rule: 12A-1.020, F.A.C.

Dear :

This is in response to your letter of April 26, 2001, in which
you request the issuance of a Technical Assistance Advisement
concerning the taxable status of transdermal medications "that
have been developed for the systemic prevention, treatment and
control of certain internal and external parasites of dogs and
cats."

LAW

Section 212.08(2), F.S, provides in part:

(a) There shall be exempt from the tax imposed by this
chapter any medical products and supplies or medicine
dispensed according to an individual prescription or
prescriptions written by a prescriber authorized by law to
prescribe medicinal drugs;...
...
(f) Sales of drugs to or by physicians, dentists,
veterinarians, and hospitals in connection with medical
treatment are exempt.

(g) Medical products and supplies used in the cure,
mitigation, alleviation, prevention, or treatment of
injury, disease, or incapacity which are temporarily or
permanently incorporated into a patient or client by a
practitioner of the healing arts licensed in the state are
exempt.
...
(h) The purchase by a veterinarian of commonly recognized
substances possessing curative or remedial properties which
are ordered and dispensed as treatment for a diagnosed
health disorder by or on the prescription of a duly
licensed veterinarian, and which are applied to or consumed
by animals for alleviation of pain or the cure or
prevention of sickness, disease, or suffering are exempt.
Also exempt are the purchase by a veterinarian of
antiseptics, absorbent cotton, gauze for bandages, lotions,
vitamins, and worm remedies....

Rule 12A-1.020(13), F.A.C., provides:

A veterinarian's sales of prescription diets for dogs and
cats and of powders and sprays designed to prevent flea and
tick infestation are taxable, except commonly recognized
substances possessing curative or remedial properties which
are ordered and dispensed as treatment for a diagnosed
health disorder by or on the prescription of a duly
licensed veterinarian, which are applied to or consumed by
animals for alleviation of pain or the cure or prevention
of sickness, disease or suffering.

DISCUSSION and CONCLUSION

Transdermal medications, including those for the treatment of
flea and tick infestations, which are applied to, or consumed
by, animals for alleviation of pain or the cure or prevention of
sickness, disease, or suffering, are exempt from tax when sold
or dispensed by licensed veterinarians in connection with
treatment of the animals. Off the shelf type sales of these
products, without a written prescription or independent of
treatment by a veterinarian, would be taxable.

CLOSING STATEMENT

This response constitutes a Technical Assistance Advisement
under s. 213.22, F.S. which is binding on the department only
under facts and circumstances described in the request for this
advice as specified in s. 213.22, F.S. Our response is
predicated on those facts and the specific situation summarized
above. You are advised that subsequent statutory or
administrative rule changes or judicial interpretations of the
statutes or rules upon which this advice is based may subject
similar future transactions to a different treatment than
expressed in this response.

You are further advised that this response, your request and
related backup documents are public records under Chapter 119,
F.S., and are subject to disclosure to the public under the
conditions of s. 213.22, F.S. Ordinarily, confidential
information, such as the identity of the person to whom an
advisement is issued, must be deleted before public disclosure.
In the situation in which a taxpayer association is seeking an
advisement on behalf of its members, having the identity of the
requesting association remain in the published advisement is
useful to those using the advisement for guidance. No specific
taxpayer information is included in an advisement issued to a
taxpayer association, and concerns about protecting proprietary
information are not present under such circumstances. However,
in light of statutory requirements as to confidentiality, a
taxpayer association must give its consent to the Department to
allow its name to be included in the published advisement. The
taxpayer association to which this advisement is issued has
given written consent to allow the disclosure of its identity.

Sincerely,

Jonathan E. Swift
Tax Law Specialist
Technical Assistance and Dispute Resolution
(850) 922-4840

Control #45081