Colorado – Corrective Optical Products Are Exempt

SALT Report 1291 – The Colorado Department of Revenue has updated their regulation regarding the taxability of eyeglasses, sunglasses, reading glasses, eyeglass frames, corrective lenses and contact lenses. The update, SR-33, now reflects that items sold to correct a person’s vision are exempt from sales and use tax, regardless of whether the item was sold with or without a prescription.

Limits and Exceptions:

  • Eyeglass and contact lens cases are exempt only if they are used to transfer an exempt item to the customer and the retailer does not separately state a price for the container on the customer’s invoice.
  • Binoculars, telescopes, single lens magnifying devices, contact lenses used only for cosmetic purposes, and Braille reading devices are not exempt.