Drugs; insulin; oxygen; blood or blood plasma
Sec. 19. (a) As used in this section, "legend drug" means a drug
as defined in IC 6-2.5-1-17 that is also a legend drug for purposes of
IC 16-18-2-199.
(b) As used in this section, "nonlegend drug" means a drug (as
defined in IC 6-2.5-1-17) that is not a legend drug.
(c) Sales of legend drugs and sales of nonlegend drugs are exempt
from the state gross retail tax if:
(1) a registered pharmacist makes the sale upon the prescription
of a practitioner who is licensed to prescribe, dispense, and
administer those drugs to human beings or animals in the course
of his professional practice; or
(2) the licensed practitioner makes the sales.
(d) Sales of a nonlegend drug are exempt from the state gross
retail tax, if:
(1) the nonlegend drug is dispensed upon an original
prescription or a drug order (as defined in IC 16-42-19-3); and
(2) the ultimate user of the drug is a person confined to a
hospital or health care facility.
(e) Sales of insulin, oxygen, blood, or blood plasma are exempt
from the state gross retail tax, if the purchaser purchases the insulin,
oxygen, blood, or plasma for medical purposes.
(f) Sales of drugs, insulin, oxygen, blood, and blood plasma are
exempt from the state gross retail tax if:
(1) the purchaser is a practitioner licensed to prescribe,
dispense, and administer drugs to human beings or animals; and
(2) the purchaser buys the items for:
(A) direct consumption in his practice; or
(B) resale to a patient that the practitioner is treating, in the
case of sales of legend or nonlegend drugs.
As added by Acts 1980, P.L.52, SEC.1. Amended by Acts 1981,
P.L.81, SEC.1; P.L.19-1994, SEC.4; P.L.257-2003, SEC.24.
Last modified: May 28, 2006