On June 2, 2011, Senate Bill 263 (SB11-263) was signed into law in Colorado. The Colorado Veterinary Medical Association advocated for the passage of this bill due to its direct effects on veterinarians. The bill was introduced to clarify language that dictates when prescription drugs are exempt from state sales and use tax. To read the full article from the 2011 #4 issue of the CVMA Voice newsletter, click here.
The Colorado Department of Revenue has provided detailed information on their website regarding exemptions for medical and dental supplies and equipment.
As part of its effort to close the budget gap for the 2011 fiscal year, the Colorado General Assembly lifted a range of exemptions that had been in place for years. One bill in particular – House Bill (HB) 10-1195 – lifted the sales tax exemption on agricultural compounds and pesticides, and thus has a potential impact on the business practices of large animal veterinarians. The suspension did not impact the exemption of prescribed medicines, which continue to be exempt from the State sales and use taxes under a different section of the law. Read the information provided below to help clarify the changes and answer CVMA member questions:
Tax Audit Surprise:
Home Rule Cities Beware – Important Tax Information that Catches Even CPAs Off Guard
Click here to read this article by Susan Patton-Weller, DVM that appeared in the Fall 2004 issue of the CVMA Voice newsletter.