Florida – Guidance for Sales of Specialty Medical Products

SALT Report 2565 – The Florida Department of Revenue issued guidance regarding whether certain surgical products and supplies are subject to Florida sales tax. The Taxpayer, in this case sells single use medical products to hospitals for use by physicians during surgical procedures. The Taxpayer provided a product list which includes, various sponges, blades, scalpels, needles, cleaners, would closures, syringe holders, brushes, etc. for review and analysis by the Department.

In its response, the Department referred to Section 212.08(2)(a), F.S. which provides an exemption for medical products and supplies when they are dispensed according to a prescription written by a licensed practitioner authorized to prescribe such items.

In addition, certain medical items are also exempt if they are included on Form DR-46NT, Nontaxable Medical and General Grocery List, which is approved and distributed by the Department of Health.

Finally, the Department stated that under rule 12A-1.020(6), F.A.C. sales of medical products, supplies, or devices to hospitals, healthcare entities, or licensed practitioners are exempt when:

  • Dispensed under federal or state law only, by the prescription or order of a licensed practitioner, and
  • Are intended for use on a single patient and not reusable

The Department’s notice also provides a breakdown of the taxability of each product submitted by the Taxpayer.

For Further Information

Florida Department of Revenue – Technical Assistance Advisement #13A-009