Laws, Regulations & Annotations

Business Taxes Law Guide – Revision 2018

Sales and Use Tax Annotations

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425.0000 PRESCRIPTION MEDICINES—Regulation 1591

Annotation 425.0355


425.0355 Electric Three-Wheel Scooter. A durable medical equipment company sells an electric three-wheel scooter that can be utilized as an electric wheelchair. The scooter appears to be similar in both design and function to a conventional four-wheel electric wheelchair, except that the scooter is smaller, more compact, and has only three wheels. It was indicated that Medicare recognizes this device as a covered item if medically necessary.

Electric three-wheel scooters such as the described scooter qualify for the medical exemption under Regulation 1590(k). [Now Regulation 1591.2]. Tax does not apply to the sale or rental of an electric three-wheel scooter to an individual for the personal use of that individual as directed by a physician. In order to ensure that the sale or rental of electric three-wheel scooters meets the criteria for exempt status, the retailer should obtain a written statement from either the customer or the physician that the scooter is for the personal use of the customer as directed by a physician. The written statement should be retained. 10/25/85. (Am. 2005–2).

(Note: New section reference effective March 10, 2000.)