Are urological catheters, incontinence devices, and ureteral stents exempt from Texas sales tax as prosthetic devices, even if they are only implanted or used on a temporary basis?

Plain-English summary

The Comptroller's Tax Policy Division responded to a taxpayer's June 15, 1992 letter asking how Texas sales tax applies to urological catheters.

Note: the STAR system's subject-matter heading for this letter groups it with "Incontinence Devices" and "Ureteral Stents," but the letter's actual text discusses only urological catheters by name — no other device type is analyzed in the body.

The ruling states that the sales tax exemption for urological catheters does not depend on whether the catheter is used internally or externally. What matters is whether the item qualifies as a prosthetic device — and a prescription is not required for a prosthetic device to be exempt. The Comptroller had already settled the underlying question in a prior administrative hearing: Comptroller's Hearing #22,410 (May 6, 1988) determined that urological catheters are prosthetic devices. To buy one tax-free, the purchaser gives the seller an exemption certificate stating that the item will be used as a prosthetic device.

What this means for you

Sellers of urological catheters and similar medical devices

You can accept an exemption certificate for urological catheters without also requiring a prescription — the prosthetic-device exemption applies regardless of whether the device is used internally or externally. Keep the signed exemption certificate on file to document the tax-free sale.

Patients and individual purchasers

If you're buying a urological catheter for your own use as a prosthetic device, you (or your supplier) can claim the sales tax exemption by providing an exemption certificate — no doctor's prescription is needed to qualify for this particular exemption.

Healthcare providers and medical supply distributors

This letter confirms that "internal vs. external" use is not the dividing line for the prosthetic device exemption; the classification as a prosthetic device is. If you distribute related urological or incontinence products, check whether they have similarly been classified as prosthetic devices, since this letter addresses catheters specifically and does not analyze other device types.

Common questions

Q: Does a urological catheter have to be used internally to qualify for the Texas prosthetic device sales tax exemption?
A: No. The letter states the exemption does not hinge on whether the catheter is used internally or externally — what matters is that it is a prosthetic device.

Q: Do I need a prescription to buy a urological catheter tax-free in Texas?
A: No. The letter states a prescription is not required for a prosthetic device.

Q: How did the Comptroller determine urological catheters are prosthetic devices?
A: Through Comptroller's Hearing #22,410, dated May 6, 1988.

Q: What does a purchaser need to give the seller to buy a urological catheter exempt from sales tax?
A: An exemption certificate stating that the item is to be used as a prosthetic device.

Q: Does this letter also cover incontinence devices and ureteral stents by name?
A: The STAR system's subject heading references those categories, but the body of this specific letter discusses only urological catheters — it does not separately analyze incontinence devices or ureteral stents.

Q: Can another taxpayer rely on this letter for their own products?
A: No. Texas STAR letters can be relied upon only by the taxpayer to whom they were directly issued; other taxpayers should seek their own ruling or consult a tax professional.

Citations and references

• Comptroller's Hearing #22,410 (May 6, 1988) — determined urological catheters are prosthetic devices.
• No Texas Tax Code sections or Comptroller rules are cited by number in this letter.

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/9207L1182D03

Original ruling text

July 15, 1992

Dear Mr. **:

This is in response to your letter dated June 15, 1992 regarding sales tax as
it applies to urological catheters.

The exemption for urological catheters does not hinge on whether they are
internal or external but on whether they are prosthetic devices. A prescription
is not required for a prosthetic device.

Urological catheters were determined to be prosthetic devices in Comptroller's
hearing #22,410, dated May 6, 1988.

Purchasers should provide sellers an exemption certificate stating that the
item is to be used as a prosthetic device.

If you have any questions, please write or call me at 1-800-531-5441, extension
5-0330, or 512/463-4600.

Sincerely,

Bettie Peterson
Tax Administration Division.