Taxability of Wisconsin Clarifies Tax Treatment of Eyeglasses, Contact Lenses, and Eye Care Accessories

Friday, May 11th, 2012

 
 
Share
Link
Wisconsin
General

The Wisconsin Department of Revenue recently published a tax bulletin discussing the tax treatment of contact lenses, eyeglasses, and their accessories. Wis. Tax Bull. No. 175 (Dept. of Revenue Apr. 2012). Wisconsin exempts sales of prosthetic devices, and, because corrective eyeglasses, corrective sunglasses, and corrective contact lenses all satisfy the definition of prosthetic devices, sales of these items are exempt. Similarly, sales of corrective reading glasses are also exempt from tax, even if they are not sold under a prescription, because they nevertheless qualify as prosthetic devices. On the other hand, noncorrective eyeglasses and noncorrective sunglasses do not qualify as exempt prosthetic devices.

Accessories, such as neck cords, sunglass lenses meant to be worn over eyeglasses, eyeglass repair parts, cases for corrective eyeglasses, and nondisposable cleaning clothes purchased for use with corrective eyeglasses are also exempt from tax as accessories for prosthetic devices. However, these same items are taxable when purchased for use with noncorrective eyeglasses. Cases purchased for corrective contact lenses are also exempt from tax as prosthetic device accessories. However, contact lens solution, eyeglass cleaning solution, and disposable cleaning clothes are subject to tax as supplies; they do not qualify as prosthetic device accessories.

Contact lens travel kits for corrective contact lenses are subject to tax if the seller's price for the contact lens solution and other taxable items in the kit exceeds 50% of the overall selling price. But, if the taxable items in such a kit does not exceed 50% of the overall selling price, then the entire kit is exempt from tax. Kits purchased for use with noncorrective contact lenses are subject to tax.


About TTR

Transaction (buying or selling things), Tax (the tax on this activity), Resources (our people, our website, our support services) - TTR, Inc.

TTR has a website that companies subscribe to and use daily. This website provides a list of everything that can be bought or sold in the U.S. It provides simple answers to whether buying or selling these items is taxable (subject to a sales tax or other tax), and it provides all the legal authority to support these tax answers.

TTR likes to keep things simple and fun, which is why it has great people who provide help to clients on any support questions they have about transaction tax issues.

Please visit TTR on the web at www.ttrus.com or call 866.578.8193.

Washington Penalty Reduction Program

Monday, May 21st, 2018 -Businesses that apply to register with Washington's Marketplace Fairness Penalty Reduction Program by June 30,...

Fuel Used to Heat Detached Garages Taxable in Maine

Monday, May 21st, 2018 -Maine Revenue Services recently released a publication explaining that sales tax applies to fuel that is used ...

Cloud Software No Longer Taxable in Indiana

Thursday, May 17th, 2018 -Effective July 1, 2018, cloud software will no longer be taxable in Indiana. Indiana taxes the sale, lease,...

Sales Tax Increase in the Historic Triangle Region of...

Monday, May 14th, 2018 -Effective July 1, 2018, there will be an additional one percent (1%) regional sales and use tax imposed in the...

Sales by Charitable Organizations Generally Exempt in...

Friday, May 11th, 2018 -The Arkansas Department of Finance and Administration recently addressed the taxability of sales made by a non...

Credit Card Convenience Fees Taxable in New York

Wednesday, May 9th, 2018 -The New York Department of Taxation and Finance recently ruled that convenience fees for credit card purchases...