A drug or medicine is defined as a product (other than an appliance, device or food product) that is
Over-the-counter (OTC) drugs and medicines do not require a prescription.
OTC drugs and medicines labeled with a Drug Facts panel in accordance with the regulations of the federal Food and Drug Administration (FDA) are exempt from sales tax.
If a product meets the definition of a drug or medicine, but does not have a Drug Facts label, a physician must prescribe or dispense the drug or medicine for it to be exempt.
Only OTC drugs and medicines designed for humans are exempt from sales tax. Drugs and medicines for animals, such as flea repellants and de-wormers, are exempt from tax only when purchased with a veterinarian’s prescription. The sale of all other nonprescription drugs and medicines purchased for use in the treatment of animals is taxable.
Listed below are examples of OTC products with a Drug Facts panel that qualify for sales tax exemption. This list is intended as a guide and does not include all tax-exempt OTC products:
A wound care dressing is an item that is applied direct¬ly to or inside a wound to
Wound care dressings and supplies are exempt from sales tax and can be purchased tax free without a prescription.
Listed below are examples of exempt wound care dressings and supplies. This list is intended as a guide and does not include all tax-exempt wound care dressings and supplies:
A dietary or nutritional supplement is a product that:
A product that does not meet the previous three criteria will also be considered a dietary supplement if the product is labeled, or required to be labeled, with a Supplement Facts panel in accordance with FDA regulations.
Dietary and nutritional supplements are exempt from sales tax and can be purchased tax free.
Listed below are examples of exempt dietary and nutritional supplements. This list is intended as a guide and does not include all tax-exempt dietary and nutritional supplements:
Products containing cannabidiol (CBD) are not classified as dietary or nutritional supplements. CBD or products containing CBD are not eligible for the dietary and nutritional supplement exemption from sales and use tax. These products should not be labeled as supplements. This exclusion reflects FDA guidance.