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KS Notice 04-05 Kansas Compensating Tax; Kansas Retailers' Sales Tax 2004-09-08

Are sales and repairs of hearing aids exempt from Kansas sales and use tax, and what must the seller be?

Short answer: Effective January 1, 2005, the sale of hearing aids (as defined by K.S.A. 74-5807(c)), replacement parts, and batteries is exempt from Kansas state and local sales and use tax under 2004 Senate Bill 147 -- and no written prescription is needed -- but only if the retailer is a person licensed to dispense and fit hearing aids under K.S.A. 74-5808. Effective April 14, 2005, the service of repairing, maintaining, servicing, or altering hearing aids is not taxable under 2005 HB 2040 (the Department reads K.S.A. 79-3606(r) as exempting the repair service). This is the revised version of the notice.

Apply this to your situation

This page answers the general question as of 2004. Ezel answers yours, under current Kansas tax law, with citations.

Currency note: this ruling is from 2004
Subsequent statutory amendments, regulation changes, court decisions, or later rulings may have changed the analysis. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, rate, or position mentioned here.
Disclaimer: This is an official Kansas Department of Revenue Notice providing general public guidance, not a private ruling issued to one taxpayer. It is the revised version describing the hearing-aid exemption effective in 2005; later law may change the result, so verify the current statute before relying on it. This summary is informational only and is not legal or tax advice.
About this page: The plain-English summary, reader guidance, and Q&A below were written by Ezel based on the official state tax ruling. The original ruling (linked on this page as a PDF) is the authoritative source for any reliance.
View original ruling (PDF)

Plain-English summary

This revised notice covers the Kansas sales/use tax treatment of hearing aids:

  • Effective January 1, 2005: the sale of hearing aids (defined by K.S.A. 74-5807(c)), plus replacement parts and batteries, is exempt from Kansas state and local sales and use tax under 2004 Senate Bill 147. Buyers no longer need a written prescription from a healing-arts practitioner. However, the retailer must be a person licensed to dispense and fit hearing aids under K.S.A. 74-5808 for the sale to qualify.
  • Effective April 14, 2005: the service of repairing, maintaining, servicing, or altering hearing aids is not taxable under 2005 HB 2040. The notice explains the legislative intent was to exempt repairs done by a licensed dispenser/fitter, and the Department reads K.S.A. 79-3606(r) (as amended) as exempting the repair service.

The notice quotes K.S.A. 74-5808, which bars anyone from dispensing and fitting hearing aids without a current license. (Companion Notice 04-07 lists this among the new January 1, 2005 exemptions.)

What this means for you

If you are a licensed hearing-aid dispenser, do not charge Kansas sales tax on hearing aids, parts, or batteries sold on or after January 1, 2005, and do not tax repair services on or after April 14, 2005. The exemption is tied to the seller's license: an unlicensed retailer selling the same items does not get the exemption. No prescription is required from the buyer.

Common questions

Q: Are hearing aids exempt from Kansas sales tax?
A: Yes, from January 1, 2005, when sold by a licensed dispenser/fitter -- including replacement parts and batteries -- under 2004 SB 147. No prescription is needed.

Q: Does the seller have to be licensed?
A: Yes. The retailer must be a person licensed to dispense and fit hearing aids under K.S.A. 74-5808 for the sale to qualify for exemption.

Q: Are hearing-aid repairs taxable?
A: No, from April 14, 2005. Repairing, maintaining, servicing, or altering hearing aids is not taxable under 2005 HB 2040; the Department reads K.S.A. 79-3606(r) as exempting the repair service.

Q: Do buyers still need a prescription?
A: No. As of January 1, 2005, purchasers no longer need a written prescription for the exemption to apply.

Citations and references

  • K.S.A. 74-5807(c) -- definition of hearing aids.
  • K.S.A. 74-5808 -- licensed dispensing and fitting requirement.
  • K.S.A. 79-3606(r) -- exemption read to cover hearing-aid repair services.
  • 2004 Senate Bill 147 (sale exemption, Jan. 1, 2005); 2005 HB 2040 (repair services, Apr. 14, 2005).

Subject

Sale of Hearing Aids (Revised)

Source

Original ruling text

Notice
Notice Number: 04-05
Tax Type: Kansas Compensating Tax; Kansas Retailers' Sales Tax
Brief Description: Sale of Hearing Aids.
Keywords:
Approval Date: 09/08/2004

Body:
Office of Policy & Research

                                  Revised NOTICE 04-05
                                 SALE OF HEARING AIDS

Effective January 1, 2005, the sale of hearing aids, as defined by K.S.A. 74-5807(c), and
replacement parts thereto, including batteries, by a person licensed in the practice of
dispensing and fitting hearing aids will be exempt from Kansas state and local sales (and
use) taxes pursuant to 2004 Senate Bill 147. Purchasers of hearing aids, replacement
parts and batteries will no longer need a written prescription from a person licensed in the
healing arts in order for purchases of those items to qualify for the sales tax exemption.
However, the retailer must be a person licensed in the practice of dispensing and fitting
hearing aids pursuant to the provisions of K.S.A. 74-5808, in order for such retail sales of
hearing aids, replacement parts and batteries to qualify for exemption.

Effective April 14, 2005, the service of repairing, maintaining, servicing or altering hearing
aids is NOT taxable, pursuant to 2005 HB 2040.

  Note - Legislative intent was to exempt the service of repairing hearing aids when
  repaired by a person licensed in the practice of dispensing and fitting hearing aids
  pursuant to the provisions of K.S.A. 74-5808. The department is reading K.S.A. 79-
  3606(r), as amended by 2005 HB 2005, as exempting the service of repairing hearing
  aids.

K.S.A. 74-5808 provides: “No person shall engage in the sale of or practice of dispensing and fitting
hearing aids or display a sign or in any other way advertise or hold himself out as a person who
practices the dispensing and fitting of hearing aids unless he holds a current, unsuspended,
unrevoked license issued by the board as provided in this act, or unless he holds a current,
unsuspended, unrevoked certificate of endorsement pursuant to K.S.A. 74-5814. The license or
certificate required by this section shall be kept conspicuously posted in his office or place of business
at all times.”

Taxpayer Assistance. If you have questions about this notice, please contact the
department at (785)-368-8222. Copies of this notice are available on our web site,
www.ksrevenue.org, or may be ordered by voice mail at (785) 296-4937.
Revised 4/06

Page 2

Date Composed: 09/09/2004 Date Modified: 03/29/2006

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