The tax imposed by this chapter or pursuant to the authority granted in §§58.1-605 and 58.1-606 shall not apply to the following:
1. Artificial or propane gas, firewood, coal or home heating oil used fordomestic consumption. "Domestic consumption" means the use of artificial orpropane gas, firewood, coal or home heating oil by an individual purchaserfor other than business, commercial or industrial purposes. The TaxCommissioner shall establish by regulation a system for use by dealers inclassifying individual purchases for domestic or nondomestic use based on theprincipal usage of such gas, wood, coal or oil. Any person making anondomestic purchase and paying the tax pursuant to this chapter who uses anyportion of such purchase for domestic use may, between the first day of thefirst month and the fifteenth day of the fourth month following the year ofpurchase, apply for a refund of the tax paid on the domestic use portion.
2. An occasional sale, as defined in § 58.1-602. A nonprofit organizationthat is eligible to be granted an exemption on its purchases pursuant to §58.1-609.11, and that is otherwise eligible for the exemption pursuant tothis subdivision, shall be exempt pursuant to this subdivision on its salesof (i) food, prepared food and meals and (ii) tickets to events that includethe provision of food, prepared food and meals, so long as such sales takeplace on fewer than 24 occasions in a calendar year.
3. Tangible personal property for future use by a person for taxable lease orrental as an established business or part of an established business, orincidental or germane to such business, including a simultaneous purchase andtaxable leaseback.
4. Delivery of tangible personal property outside the Commonwealth for use orconsumption outside of the Commonwealth. Delivery of goods destined forforeign export to a factor or export agent shall be deemed to be delivery ofgoods for use or consumption outside of the Commonwealth.
5. Tangible personal property purchased with food coupons issued by theUnited States Department of Agriculture under the Food Stamp Program ordrafts issued through the Virginia Special Supplemental Food Program forWomen, Infants, and Children.
6. Tangible personal property purchased for use or consumption in theperformance of maintenance and repair services at Nuclear RegulatoryCommission-licensed nuclear power plants located outside the Commonwealth.
7. Beginning July 1, 1997, and ending July 1, 2006, a professional'sprovision of original, revised, edited, reformatted or copied documents,including but not limited to documents stored on or transmitted by electronicmedia, to its client or to third parties in the course of the professional'srendition of services to its clientele.
8. School lunches sold and served to pupils and employees of schools andsubsidized by government; school textbooks sold by a local board orauthorized agency thereof; and school textbooks sold for use by studentsattending a college or other institution of learning, when sold (i) by suchinstitution of learning or (ii) by any other dealer, when such textbooks havebeen certified by a department or instructor of such institution of learningas required textbooks for students attending courses at such institution.
9. Medicines, drugs, hypodermic syringes, artificial eyes, contact lenses,eyeglasses, eyeglass cases, and contact lens storage containers whendistributed free of charge, all solutions or sterilization kits or otherdevices applicable to the wearing or maintenance of contact lenses oreyeglasses when distributed free of charge, and hearing aids dispensed by orsold on prescriptions or work orders of licensed physicians, dentists,optometrists, ophthalmologists, opticians, audiologists, hearing aid dealersand fitters, nurse practitioners, physician assistants, and veterinarians;controlled drugs purchased for use by a licensed physician, optometrist,licensed nurse practitioner, or licensed physician assistant in hisprofessional practice, regardless of whether such practice is organized as asole proprietorship, partnership, or professional corporation, or any othertype of corporation in which the shareholders and operators are all licensedphysicians, optometrists, licensed nurse practitioners, or licensed physicianassistants engaged in the practice of medicine, optometry, or nursing;medicines and drugs purchased for use or consumption by a licensed hospital,nursing home, clinic, or similar corporation not otherwise exempt under thissection; and samples of prescription drugs and medicines and their packagingdistributed free of charge to authorized recipients in accordance with thefederal Food, Drug, and Cosmetic Act (21 U.S.C.A. § 301 et seq., as amended).With the exceptions of those medicines and drugs used for agriculturalproduction animals that are exempt to veterinarians under subdivision 1 of §58.1-609.2, any veterinarian dispensing or selling medicines or drugs onprescription shall be deemed to be the user or consumer of all such medicinesand drugs.
10. Wheelchairs and parts therefor, braces, crutches, prosthetic devices,orthopedic appliances, catheters, urinary accessories, other durable medicalequipment and devices, and related parts and supplies specifically designedfor those products; and insulin and insulin syringes, and equipment, devicesor chemical reagents that may be used by a diabetic to test or monitor bloodor urine, when such items or parts are purchased by or on behalf of anindividual for use by such individual. Durable medical equipment is equipmentthat (i) can withstand repeated use, (ii) is primarily and customarily usedto serve a medical purpose, (iii) generally is not useful to a person in theabsence of illness or injury, and (iv) is appropriate for use in the home.
11. Drugs and supplies used in hemodialysis and peritoneal dialysis.
12. Special equipment installed on a motor vehicle when purchased by ahandicapped person to enable such person to operate the motor vehicle.
13. Special typewriters and computers and related parts and suppliesspecifically designed for those products used by handicapped persons tocommunicate when such equipment is prescribed by a licensed physician.
14. a. (i) Any nonprescription drugs and proprietary medicines purchased forthe cure, mitigation, treatment, or prevention of disease in human beings and(ii) any samples of nonprescription drugs and proprietary medicinesdistributed free of charge by the manufacturer, including packaging materialsand constituent elements and ingredients.
b. The terms "nonprescription drugs" and "proprietary medicines" shall bedefined pursuant to regulations promulgated by the Department of Taxation.The exemption authorized in this subdivision shall not apply to cosmetics.
15. Tangible personal property withdrawn from inventory and donated to (i) anorganization exempt from taxation under § 501(c) (3) of the Internal RevenueCode or (ii) the Commonwealth, any political subdivision of the Commonwealth,or any school, agency, or instrumentality thereof.
16. Tangible personal property purchased by nonprofit churches that areexempt from taxation under § 501(c) (3) of the Internal Revenue Code, orwhose real property is exempt from local taxation pursuant to the provisionsof § 58.1-3606, for use (i) in religious worship services by a congregationor church membership while meeting together in a single location and (ii) inthe libraries, offices, meeting or counseling rooms or other rooms in thepublic church buildings used in carrying out the work of the church and itsrelated ministries, including kindergarten, elementary and secondary schools.The exemption for such churches shall also include baptistries; bulletins,programs, newspapers and newsletters that do not contain paid advertising andare used in carrying out the work of the church; gifts including food fordistribution outside the public church building; food, disposable servingitems, cleaning supplies and teaching materials used in the operation ofcamps or conference centers by the church or an organization composed ofchurches that are exempt under this subdivision and which are used incarrying out the work of the church or churches; and property used in caringfor or maintaining property owned by the church including, but not limitedto, mowing equipment; and building materials installed by the church, and forwhich the church does not contract with a person or entity to have installed,in the public church buildings used in carrying out the work of the churchand its related ministries, including, but not limited to worship services;administrative rooms; and kindergarten, elementary, and secondary schools.
17. Medical products and supplies, which are otherwise taxable, such asbandages, gauze dressings, incontinence products and wound-care products,when purchased by a Medicaid recipient through a Department of MedicalAssistance Services provider agreement.
18. Beginning July 1, 2007, and ending July 1, 2012, multifuel heating stovesused for heating an individual purchaser's residence. "Multifuel heatingstoves" are stoves that are capable of burning a wide variety of alternativefuels, including, but not limited to, shelled corn, wood pellets, cherrypits, and olive pits.
19. Fabrication of animal meat, grains, vegetables, or other foodstuffs whenthe purchaser (i) supplies the foodstuffs and they are consumed by thepurchaser or his family, (ii) is an organization exempt from taxation under §501(c)(3) or (c)(4) of the Internal Revenue Code, or (iii) donates thefoodstuffs to an organization exempt from taxation under § 501(c)(3) or(c)(4) of the Internal Revenue Code.
(1993, c. 310; 1995, cc. 617, 719; 1997, cc. 631, 822; 1998, c. 812; 1999,cc. 762, 776, 1040; 2000, cc. 346, 493, 505; 2001, c. 860; 2003, cc. 757,758; 2004, cc. 515, 536; 2006, cc. 217, 331, 338, 361; 2007, cc. 84, 758;2008, c. 569; 2009, cc. 36, 338, 833; 2010, cc. 784, 826, 866.)
The tax imposed by this chapter or pursuant to the authority granted in §§58.1-605 and 58.1-606 shall not apply to the following:
1. Artificial or propane gas, firewood, coal or home heating oil used fordomestic consumption. "Domestic consumption" means the use of artificial orpropane gas, firewood, coal or home heating oil by an individual purchaserfor other than business, commercial or industrial purposes. The TaxCommissioner shall establish by regulation a system for use by dealers inclassifying individual purchases for domestic or nondomestic use based on theprincipal usage of such gas, wood, coal or oil. Any person making anondomestic purchase and paying the tax pursuant to this chapter who uses anyportion of such purchase for domestic use may, between the first day of thefirst month and the fifteenth day of the fourth month following the year ofpurchase, apply for a refund of the tax paid on the domestic use portion.
2. An occasional sale, as defined in § 58.1-602. A nonprofit organizationthat is eligible to be granted an exemption on its purchases pursuant to §58.1-609.11, and that is otherwise eligible for the exemption pursuant tothis subdivision, shall be exempt pursuant to this subdivision on its salesof (i) food, prepared food and meals and (ii) tickets to events that includethe provision of food, prepared food and meals, so long as such sales takeplace on fewer than 24 occasions in a calendar year.
3. Tangible personal property for future use by a person for taxable lease orrental as an established business or part of an established business, orincidental or germane to such business, including a simultaneous purchase andtaxable leaseback.
4. Delivery of tangible personal property outside the Commonwealth for use orconsumption outside of the Commonwealth. Delivery of goods destined forforeign export to a factor or export agent shall be deemed to be delivery ofgoods for use or consumption outside of the Commonwealth.
5. Tangible personal property purchased with food coupons issued by theUnited States Department of Agriculture under the Food Stamp Program ordrafts issued through the Virginia Special Supplemental Food Program forWomen, Infants, and Children.
6. Tangible personal property purchased for use or consumption in theperformance of maintenance and repair services at Nuclear RegulatoryCommission-licensed nuclear power plants located outside the Commonwealth.
7. Beginning July 1, 1997, and ending July 1, 2006, a professional'sprovision of original, revised, edited, reformatted or copied documents,including but not limited to documents stored on or transmitted by electronicmedia, to its client or to third parties in the course of the professional'srendition of services to its clientele.
8. School lunches sold and served to pupils and employees of schools andsubsidized by government; school textbooks sold by a local board orauthorized agency thereof; and school textbooks sold for use by studentsattending a college or other institution of learning, when sold (i) by suchinstitution of learning or (ii) by any other dealer, when such textbooks havebeen certified by a department or instructor of such institution of learningas required textbooks for students attending courses at such institution.
9. Medicines, drugs, hypodermic syringes, artificial eyes, contact lenses,eyeglasses, eyeglass cases, and contact lens storage containers whendistributed free of charge, all solutions or sterilization kits or otherdevices applicable to the wearing or maintenance of contact lenses oreyeglasses when distributed free of charge, and hearing aids dispensed by orsold on prescriptions or work orders of licensed physicians, dentists,optometrists, ophthalmologists, opticians, audiologists, hearing aid dealersand fitters, nurse practitioners, physician assistants, and veterinarians;controlled drugs purchased for use by a licensed physician, optometrist,licensed nurse practitioner, or licensed physician assistant in hisprofessional practice, regardless of whether such practice is organized as asole proprietorship, partnership, or professional corporation, or any othertype of corporation in which the shareholders and operators are all licensedphysicians, optometrists, licensed nurse practitioners, or licensed physicianassistants engaged in the practice of medicine, optometry, or nursing;medicines and drugs purchased for use or consumption by a licensed hospital,nursing home, clinic, or similar corporation not otherwise exempt under thissection; and samples of prescription drugs and medicines and their packagingdistributed free of charge to authorized recipients in accordance with thefederal Food, Drug, and Cosmetic Act (21 U.S.C.A. § 301 et seq., as amended).With the exceptions of those medicines and drugs used for agriculturalproduction animals that are exempt to veterinarians under subdivision 1 of §58.1-609.2, any veterinarian dispensing or selling medicines or drugs onprescription shall be deemed to be the user or consumer of all such medicinesand drugs.
10. Wheelchairs and parts therefor, braces, crutches, prosthetic devices,orthopedic appliances, catheters, urinary accessories, other durable medicalequipment and devices, and related parts and supplies specifically designedfor those products; and insulin and insulin syringes, and equipment, devicesor chemical reagents that may be used by a diabetic to test or monitor bloodor urine, when such items or parts are purchased by or on behalf of anindividual for use by such individual. Durable medical equipment is equipmentthat (i) can withstand repeated use, (ii) is primarily and customarily usedto serve a medical purpose, (iii) generally is not useful to a person in theabsence of illness or injury, and (iv) is appropriate for use in the home.
11. Drugs and supplies used in hemodialysis and peritoneal dialysis.
12. Special equipment installed on a motor vehicle when purchased by ahandicapped person to enable such person to operate the motor vehicle.
13. Special typewriters and computers and related parts and suppliesspecifically designed for those products used by handicapped persons tocommunicate when such equipment is prescribed by a licensed physician.
14. a. (i) Any nonprescription drugs and proprietary medicines purchased forthe cure, mitigation, treatment, or prevention of disease in human beings and(ii) any samples of nonprescription drugs and proprietary medicinesdistributed free of charge by the manufacturer, including packaging materialsand constituent elements and ingredients.
b. The terms "nonprescription drugs" and "proprietary medicines" shall bedefined pursuant to regulations promulgated by the Department of Taxation.The exemption authorized in this subdivision shall not apply to cosmetics.
15. Tangible personal property withdrawn from inventory and donated to (i) anorganization exempt from taxation under § 501(c) (3) of the Internal RevenueCode or (ii) the Commonwealth, any political subdivision of the Commonwealth,or any school, agency, or instrumentality thereof.
16. Tangible personal property purchased by nonprofit churches that areexempt from taxation under § 501(c) (3) of the Internal Revenue Code, orwhose real property is exempt from local taxation pursuant to the provisionsof § 58.1-3606, for use (i) in religious worship services by a congregationor church membership while meeting together in a single location and (ii) inthe libraries, offices, meeting or counseling rooms or other rooms in thepublic church buildings used in carrying out the work of the church and itsrelated ministries, including kindergarten, elementary and secondary schools.The exemption for such churches shall also include baptistries; bulletins,programs, newspapers and newsletters that do not contain paid advertising andare used in carrying out the work of the church; gifts including food fordistribution outside the public church building; food, disposable servingitems, cleaning supplies and teaching materials used in the operation ofcamps or conference centers by the church or an organization composed ofchurches that are exempt under this subdivision and which are used incarrying out the work of the church or churches; and property used in caringfor or maintaining property owned by the church including, but not limitedto, mowing equipment; and building materials installed by the church, and forwhich the church does not contract with a person or entity to have installed,in the public church buildings used in carrying out the work of the churchand its related ministries, including, but not limited to worship services;administrative rooms; and kindergarten, elementary, and secondary schools.
17. Medical products and supplies, which are otherwise taxable, such asbandages, gauze dressings, incontinence products and wound-care products,when purchased by a Medicaid recipient through a Department of MedicalAssistance Services provider agreement.
18. Beginning July 1, 2007, and ending July 1, 2012, multifuel heating stovesused for heating an individual purchaser's residence. "Multifuel heatingstoves" are stoves that are capable of burning a wide variety of alternativefuels, including, but not limited to, shelled corn, wood pellets, cherrypits, and olive pits.
19. Fabrication of animal meat, grains, vegetables, or other foodstuffs whenthe purchaser (i) supplies the foodstuffs and they are consumed by thepurchaser or his family, (ii) is an organization exempt from taxation under §501(c)(3) or (c)(4) of the Internal Revenue Code, or (iii) donates thefoodstuffs to an organization exempt from taxation under § 501(c)(3) or(c)(4) of the Internal Revenue Code.
(1993, c. 310; 1995, cc. 617, 719; 1997, cc. 631, 822; 1998, c. 812; 1999,cc. 762, 776, 1040; 2000, cc. 346, 493, 505; 2001, c. 860; 2003, cc. 757,758; 2004, cc. 515, 536; 2006, cc. 217, 331, 338, 361; 2007, cc. 84, 758;2008, c. 569; 2009, cc. 36, 338, 833; 2010, cc. 784, 826, 866.)
The tax imposed by this chapter or pursuant to the authority granted in §§58.1-605 and 58.1-606 shall not apply to the following:
1. Artificial or propane gas, firewood, coal or home heating oil used fordomestic consumption. "Domestic consumption" means the use of artificial orpropane gas, firewood, coal or home heating oil by an individual purchaserfor other than business, commercial or industrial purposes. The TaxCommissioner shall establish by regulation a system for use by dealers inclassifying individual purchases for domestic or nondomestic use based on theprincipal usage of such gas, wood, coal or oil. Any person making anondomestic purchase and paying the tax pursuant to this chapter who uses anyportion of such purchase for domestic use may, between the first day of thefirst month and the fifteenth day of the fourth month following the year ofpurchase, apply for a refund of the tax paid on the domestic use portion.
2. An occasional sale, as defined in § 58.1-602. A nonprofit organizationthat is eligible to be granted an exemption on its purchases pursuant to §58.1-609.11, and that is otherwise eligible for the exemption pursuant tothis subdivision, shall be exempt pursuant to this subdivision on its salesof (i) food, prepared food and meals and (ii) tickets to events that includethe provision of food, prepared food and meals, so long as such sales takeplace on fewer than 24 occasions in a calendar year.
3. Tangible personal property for future use by a person for taxable lease orrental as an established business or part of an established business, orincidental or germane to such business, including a simultaneous purchase andtaxable leaseback.
4. Delivery of tangible personal property outside the Commonwealth for use orconsumption outside of the Commonwealth. Delivery of goods destined forforeign export to a factor or export agent shall be deemed to be delivery ofgoods for use or consumption outside of the Commonwealth.
5. Tangible personal property purchased with food coupons issued by theUnited States Department of Agriculture under the Food Stamp Program ordrafts issued through the Virginia Special Supplemental Food Program forWomen, Infants, and Children.
6. Tangible personal property purchased for use or consumption in theperformance of maintenance and repair services at Nuclear RegulatoryCommission-licensed nuclear power plants located outside the Commonwealth.
7. Beginning July 1, 1997, and ending July 1, 2006, a professional'sprovision of original, revised, edited, reformatted or copied documents,including but not limited to documents stored on or transmitted by electronicmedia, to its client or to third parties in the course of the professional'srendition of services to its clientele.
8. School lunches sold and served to pupils and employees of schools andsubsidized by government; school textbooks sold by a local board orauthorized agency thereof; and school textbooks sold for use by studentsattending a college or other institution of learning, when sold (i) by suchinstitution of learning or (ii) by any other dealer, when such textbooks havebeen certified by a department or instructor of such institution of learningas required textbooks for students attending courses at such institution.
9. Medicines, drugs, hypodermic syringes, artificial eyes, contact lenses,eyeglasses, eyeglass cases, and contact lens storage containers whendistributed free of charge, all solutions or sterilization kits or otherdevices applicable to the wearing or maintenance of contact lenses oreyeglasses when distributed free of charge, and hearing aids dispensed by orsold on prescriptions or work orders of licensed physicians, dentists,optometrists, ophthalmologists, opticians, audiologists, hearing aid dealersand fitters, nurse practitioners, physician assistants, and veterinarians;controlled drugs purchased for use by a licensed physician, optometrist,licensed nurse practitioner, or licensed physician assistant in hisprofessional practice, regardless of whether such practice is organized as asole proprietorship, partnership, or professional corporation, or any othertype of corporation in which the shareholders and operators are all licensedphysicians, optometrists, licensed nurse practitioners, or licensed physicianassistants engaged in the practice of medicine, optometry, or nursing;medicines and drugs purchased for use or consumption by a licensed hospital,nursing home, clinic, or similar corporation not otherwise exempt under thissection; and samples of prescription drugs and medicines and their packagingdistributed free of charge to authorized recipients in accordance with thefederal Food, Drug, and Cosmetic Act (21 U.S.C.A. § 301 et seq., as amended).With the exceptions of those medicines and drugs used for agriculturalproduction animals that are exempt to veterinarians under subdivision 1 of §58.1-609.2, any veterinarian dispensing or selling medicines or drugs onprescription shall be deemed to be the user or consumer of all such medicinesand drugs.
10. Wheelchairs and parts therefor, braces, crutches, prosthetic devices,orthopedic appliances, catheters, urinary accessories, other durable medicalequipment and devices, and related parts and supplies specifically designedfor those products; and insulin and insulin syringes, and equipment, devicesor chemical reagents that may be used by a diabetic to test or monitor bloodor urine, when such items or parts are purchased by or on behalf of anindividual for use by such individual. Durable medical equipment is equipmentthat (i) can withstand repeated use, (ii) is primarily and customarily usedto serve a medical purpose, (iii) generally is not useful to a person in theabsence of illness or injury, and (iv) is appropriate for use in the home.
11. Drugs and supplies used in hemodialysis and peritoneal dialysis.
12. Special equipment installed on a motor vehicle when purchased by ahandicapped person to enable such person to operate the motor vehicle.
13. Special typewriters and computers and related parts and suppliesspecifically designed for those products used by handicapped persons tocommunicate when such equipment is prescribed by a licensed physician.
14. a. (i) Any nonprescription drugs and proprietary medicines purchased forthe cure, mitigation, treatment, or prevention of disease in human beings and(ii) any samples of nonprescription drugs and proprietary medicinesdistributed free of charge by the manufacturer, including packaging materialsand constituent elements and ingredients.
b. The terms "nonprescription drugs" and "proprietary medicines" shall bedefined pursuant to regulations promulgated by the Department of Taxation.The exemption authorized in this subdivision shall not apply to cosmetics.
15. Tangible personal property withdrawn from inventory and donated to (i) anorganization exempt from taxation under § 501(c) (3) of the Internal RevenueCode or (ii) the Commonwealth, any political subdivision of the Commonwealth,or any school, agency, or instrumentality thereof.
16. Tangible personal property purchased by nonprofit churches that areexempt from taxation under § 501(c) (3) of the Internal Revenue Code, orwhose real property is exempt from local taxation pursuant to the provisionsof § 58.1-3606, for use (i) in religious worship services by a congregationor church membership while meeting together in a single location and (ii) inthe libraries, offices, meeting or counseling rooms or other rooms in thepublic church buildings used in carrying out the work of the church and itsrelated ministries, including kindergarten, elementary and secondary schools.The exemption for such churches shall also include baptistries; bulletins,programs, newspapers and newsletters that do not contain paid advertising andare used in carrying out the work of the church; gifts including food fordistribution outside the public church building; food, disposable servingitems, cleaning supplies and teaching materials used in the operation ofcamps or conference centers by the church or an organization composed ofchurches that are exempt under this subdivision and which are used incarrying out the work of the church or churches; and property used in caringfor or maintaining property owned by the church including, but not limitedto, mowing equipment; and building materials installed by the church, and forwhich the church does not contract with a person or entity to have installed,in the public church buildings used in carrying out the work of the churchand its related ministries, including, but not limited to worship services;administrative rooms; and kindergarten, elementary, and secondary schools.
17. Medical products and supplies, which are otherwise taxable, such asbandages, gauze dressings, incontinence products and wound-care products,when purchased by a Medicaid recipient through a Department of MedicalAssistance Services provider agreement.
18. Beginning July 1, 2007, and ending July 1, 2012, multifuel heating stovesused for heating an individual purchaser's residence. "Multifuel heatingstoves" are stoves that are capable of burning a wide variety of alternativefuels, including, but not limited to, shelled corn, wood pellets, cherrypits, and olive pits.
19. Fabrication of animal meat, grains, vegetables, or other foodstuffs whenthe purchaser (i) supplies the foodstuffs and they are consumed by thepurchaser or his family, (ii) is an organization exempt from taxation under §501(c)(3) or (c)(4) of the Internal Revenue Code, or (iii) donates thefoodstuffs to an organization exempt from taxation under § 501(c)(3) or(c)(4) of the Internal Revenue Code.
(1993, c. 310; 1995, cc. 617, 719; 1997, cc. 631, 822; 1998, c. 812; 1999,cc. 762, 776, 1040; 2000, cc. 346, 493, 505; 2001, c. 860; 2003, cc. 757,758; 2004, cc. 515, 536; 2006, cc. 217, 331, 338, 361; 2007, cc. 84, 758;2008, c. 569; 2009, cc. 36, 338, 833; 2010, cc. 784, 826, 866.)
