Are hollow point needles used with a hypodermic syringe exempt from Texas sales tax?

Subject

Needle — Hollow Point To Be Used With Hypodermic Syringe — Exempt From Tax

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/9311L1277G09

Plain-English Summary

A taxpayer wrote to the Comptroller asking how sales tax applies to various types of needles used for medical purposes. The Comptroller replied that hollow point needles adapted for use with a hypodermic syringe are exempt from tax, but noted that this exemption "would not cover for example, suture needles."

The letter then lists specific needle types that qualify for the exemption: anesthesiology needles, thin wall tuohy needles, arterial needles, biopsy needles, and blood collection needles. All of these qualify only if they are hollow point and adapted for use with a hypodermic syringe — the exemption turns on that combination of features (hollow point + adapted for syringe use), not on the needle's clinical name or purpose alone.

The Comptroller also cautioned that the opinion is based on the facts presented, and that different facts, though similar, may result in different answers.

What This Means For You

If you sell or purchase hollow point needles designed for use with a hypodermic syringe: This letter indicates such needles are exempt from Texas sales tax. The letter specifically names anesthesiology, thin wall tuohy, arterial, biopsy, and blood collection needles as qualifying, so long as each is hollow point and adapted for syringe use.

If you sell or purchase suture needles: The letter expressly states this exemption does not cover suture needles, so those remain taxable under this ruling (the letter does not say suture needles are exempt under some other provision — it only excludes them from this particular exemption).

Note on scope: This letter does not cite any specific statute or administrative rule, and it does not explain the legal basis for the exemption (for example, whether it rests on a medical/dental/veterinary supplies exemption). It is a short, fact-specific response addressing only the needle types the taxpayer asked about.

Q&A

Q: Are hollow point needles used with a hypodermic syringe taxable in Texas?
A: No. The Comptroller ruled that hollow point needles adapted for use with a hypodermic syringe are exempt from tax.

Q: Are suture needles covered by this exemption?
A: No. The letter specifically says the exemption "would not cover for example, suture needles."

Q: Do anesthesiology, arterial, biopsy, and blood collection needles qualify for the exemption?
A: Yes, according to this letter, but only if they are hollow point and adapted for use with a hypodermic syringe. The letter lists anesthesiology, thin wall tuohy, arterial, biopsy, and blood collection needles as qualifying when they meet those two conditions.

Original ruling text

November 1, 1993

Dear ****:

Thank you for your letter dated October 20, 1993, regarding sales tax as
it applies to various types of needles used for medical purposes.

Hollow point needles adapted for use with a hypodermic syringe are exempt
from tax. This would not cover for example, suture needles.

Anesthesiology, thin wall tuohy, arterial, biopsy, and blood collection
needles will qualify for exemption if they are hollow point and adapted for
use with a hypodermic syringe.

This opinion is based on the facts presented. Different facts, though similar,
may result in different answers. If you have any questions or need more
information, please write or call me at 1-800-531-5441, extension 50330, or
512-475-0330.

Sincerely,

Bettie Peterson
Tax Administration Division

NOTE: Previous Accession Number 9311193L.3 and/or 9311193L