Frequent question: Is there tax on over the counter meds?

Is over-the-counter medicine taxed NY?

Nonprescription or over-the-counter drugs and medicines can also be purchased exempt from sales tax. They include: pain relievers (aspirin, ibuprofen, etc.)

What items have no tax?

In general, clothing, groceries, medicines and medical devices and industrial equipment are sales tax exempt in many states (but don’t assume they’ll be exempt in all states.

What is the difference between an excise tax and a sales tax?

Sales tax applies to almost anything you purchase while excise tax only applies to specific goods and services. Sales tax is typically applied as a percentage of the sales price while excise tax is usually applied at a per unit rate.

Are condoms taxed in NY?

Other over-the-counter hygiene products are sales tax free, including sunscreens, laxatives, condoms, aspirin and Motrin. … Like soap and lotion, tampons and pads are subject to New York sales taxes.

Does coffee get taxed?

Tea, coffee, coffee essence, chicory, chicory essence and malt that can be used to make a beverage are GST-free. This includes products that are marketed principally as tea, coffee and malted beverage preparations. … Tea, coffee and similar products marketed in ready-to-drink form are taxable.

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Who has the highest sales tax?

2021 Combined State and Local Sales Tax Rates

The five states with the highest average combined state and local sales tax rates are Louisiana (9.55 percent), Tennessee (9.547 percent), Arkansas (9.48 percent), Washington (9.29 percent), and Alabama (9.22 percent).

What state does not have sales tax?

Alaska. Known as ‘The Last Frontier’, Alaska is the most tax-friendly state in the country. It has no sales tax and no state income tax.

Are sales taxes excise taxes?

Excise taxes are sales taxes that apply to particular products. Compared to income, property, and general sales taxes, excise taxes constitute a fairly small portion of state revenues. … Unlike general sales taxes, excise taxes are usually applied on a per-unit basis instead of as a percentage of the purchase price.

Who is liable for excise tax?

Excise taxes are taxes required on specific goods or services like fuel, tobacco, and alcohol. Excise taxes are primarily taxes that must be paid by businesses, usually increasing prices for consumers indirectly. Excise taxes can be ad valorem (paid by percentage) or specific (cost charged by unit).

Do you have to pay tax on condoms?

Their hygienic benefits help people participate in everyday life. Sales Tax Applies to Many Goods Used to Prevent or Treat Disease, Injury, or Death. For example, sales tax applies to bandages, condoms, toothbrushes, bicycle helmets, children’s car seats, and over-the-counter medications.

Are tampons taxed as a luxury item?

Tampon tax is a term used for the tax imposed on menstrual hygiene products by a government. These products are not subject to a unique or special tax but are classified as luxury items along with other goods that are not exempted.

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Is toothpaste taxed in NY?

Sales of cosmetics and toiletries are subject to sales tax, even though there may be medicinal ingredients in the products. … Toiletries are items customarily used for grooming purposes.