South Carolina Sales Tax Audits Ramp Up for Durable Medical Equipment (DME) Retailers


 

South Carolina DME sales tax audits are ramping up throughout SC. The Department of Revenue is opening sales tax audits for Durable Medical Equipment retailers requesting lots of records and information. The audit period is generally three years. Cybercrime lawyer. If you have received a South Carolina SC DME sales tax audit notice you do have options.

South Carolina has several sales tax exemptions that apply to certain durable medical equipment or DME items. For example, South Carolina Code of Laws provides:

SECTION 12-36-2120. Exemptions from sales tax. Exempted from the taxes imposed by this chapter are the gross proceeds of sales, or sales price of:

(28)(a) medicine and prosthetic devices sold by prescription, prescription medicines used to prevent respiratory syncytial virus, prescription medicines and therapeutic radiopharmaceuticals used in the treatment of rheumatoid arthritis, cancer, lymphoma, leukemia, or related diseases, including prescription medicines used to relieve the effects of any such treatment, free samples of prescription medicine distributed by its manufacturer and any use of these free samples;

(b) hypodermic needles, insulin, alcohol swabs, blood sugar testing strips, monolet lancets, dextrometer supplies, blood glucose meters, and other similar diabetic supplies sold to diabetics under the authorization and direction of a physician;

(c) disposable medical supplies such as bags, tubing, needles, and syringes, which are dispensed by a licensed pharmacist in accordance with an individual prescription written for the use of a human being by a licensed health care provider, which are used for the intravenous administration of a prescription drug or medicine, and which come into direct contact with the prescription drug or medicine. This exemption applies only to supplies used in the treatment of a patient outside of a hospital, skilled nursing facility, or ambulatory surgical treatment center;

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