Is a reading lamp prescribed by an optometrist for vision rehabilitation exempt from Texas sales tax as medical equipment?

Subject

Reading Lamp Prescribed By Optometrist For Vision Rehabilitation Not Exempt As Medical Equipment

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/9309L1258A01

Plain-English Summary

An optometrist who specializes in vision rehabilitation asked the Comptroller whether reading lamps could be purchased tax exempt as medical equipment. The optometrist explained that many patients have become partially sighted due to congenital or acquired eye diseases, and that the treatment program for these patients includes prescribing glasses, contact lenses, magnifiers, and certain types of reading lamps. The lamps provide a light source which, when used together with proper prescriptive lenses, significantly enhances reading ability. The optometrist felt it was important to be able to prescribe these reading lamps in the office as part of the overall prescription.

The Comptroller's response was direct: the reading lamp described does not qualify for exemption as medical equipment under Rule 3.284. The letter points to Subsections (c)(5) and (6) of Rule 3.284 — Drugs, Medicines, Medical Equipment, and Devices — which list the medical equipment that is exempt, but only for persons who are legally blind. The letter states that if a patient qualifies (i.e., is legally blind), that patient may purchase, rent, or lease the listed equipment tax free.

In other words, the exemption in Rule 3.284(c)(5) and (6) is tied to the patient's legal-blindness status, not to the optometrist's prescription itself or to the general purpose of vision rehabilitation. The letter notes this opinion is based on the facts presented, and that other facts, though similar, may produce a different result.

What This Means For You

If you are an optometrist or vision-care provider: Prescribing a reading lamp as part of a vision rehabilitation program does not, by itself, make that lamp exempt from Texas sales tax. The exemption under Rule 3.284(c)(5) and (6) applies specifically to equipment purchased, rented, or leased by patients who are legally blind.

If you have a patient who is legally blind: According to this letter, that patient may purchase, rent, or lease the medical equipment listed in Rule 3.284(c)(5) and (6) tax free. It is worth checking whether the specific reading lamp in question falls within the equipment listed in those subsections.

If your patients are partially sighted but not legally blind: Based on this letter, reading lamps prescribed for their vision rehabilitation would not qualify for the medical equipment exemption, since the exemption described in the letter is limited to persons who are legally blind.

Q&A

Q: Does a reading lamp prescribed by an optometrist qualify as exempt medical equipment?
A: No. The letter states plainly that "the reading lamp that you describe does not qualify for exemption as medical equipment under this rule."

Q: What rule governs the medical equipment exemption discussed in this letter?
A: Rule 3.284 — Drugs, Medicines, Medical Equipment, and Devices. Subsections (c)(5) and (6) of that rule list the medical equipment that is exempt.

Q: Who can buy the listed medical equipment tax free?
A: Per the letter, Subsections (c)(5) and (6) of Rule 3.284 list medical equipment that is exempt "for persons who are legally blind." If a patient qualifies, he or she may purchase, rent, or lease this equipment tax free.

Q: Does the purpose of vision rehabilitation change the outcome?
A: No — the letter addresses the optometrist's vision rehabilitation program and treatment purpose directly, but still concludes the reading lamp does not qualify for exemption under the rule, tying the exemption instead to the patient's legally-blind status.

Q: Is this letter's conclusion limited to the specific facts presented?
A: Yes. The letter states, "This opinion is based on the facts presented. Other facts though similar may provide a different result."

Original ruling text

September 15, 1993

Dear **:

This is in response to your letter requesting and exemption from sales
tax for certain types of reading lamps.

You are an optometrist who specializes in vision rehabilitation. Your
provide care for many patients who have become partially sighted as a
result of congenital or acquired eye diseases. To help these
individuals maximize their visual function, your treatment program
includes prescribing glasses, contact lenses, magnifiers, and certain
type of reading lamps. The lamps provide a light source which, when
used with proper prescriptive lenses, enhance reading ability
significantly. Therefore, to ensure success with their vision
rehabilitation, you feel it is imperative that you be able to
prescribe certain types of reading lamps in your office as part of the
prescription.

RESPONSE: The reading lamp that you describe does not qualify for
exemption as medical equipment under this rule. Subsections (c)(5) and
(6) of Rule 3.284 - Drugs Medicines, Medical Equipment, and Devices
(copy enclosed) list medical equipment that is exempt for persons who
are legally blind. If you have a patient that qualifies, he or she may
purchase, rent, or lease this equipment tax free.

This opinion is based on the facts presented. Other facts though
similar may provide a different result.

If you have other questions or need more information, you may call me
at 1-800-5315441, extension 3-4502. The regular number is
512/463-4502. You may also write to Tax Administration Division at the
above address.

Sincerely,

Gilbert Zamora
Tax Administration Division

NOTE: Previous Accession Number 93070170L.2 and/or 9307170L