Generally, veterinarians are considered the end users and consumers of any drugs or medications they use in conducting their practice. Veterinarians must pay sales or use tax on the purchase price of the drugs and medications and should not charge sales tax when reselling the drugs and medications. Veterinarians cannot use a resale certificate to make these purchases tax free.
Drugs and medical instruments sold to, used by, or sold by veterinarians for the treatment of livestock are exempt from sales and use tax. The veterinarian must present a completed Streamlined Sales Tax Certificate of Exemption to its supplier. On Line 4 of the exemption certificate, the veterinarian should circle “Other” and include the explanation “veterinarian.” On Line 5 of the exemption certificate, the veterinarian should circle “Other” and include the explanation “purchasing livestock drugs and/or administration instruments.” See Important Notice 08-01 for more information.