Florida DOR Says Nasal Strips Are Subject to Sales Tax

 The Florida Department of Revenue has determined that sales of certain adhesive nasal strips are subject to Florida sales and use tax, despite their use as a breathing support device.

In Technical Assistance Advisement 26A-011, the Department concluded that the nasal strips are taxable and subject to any applicable discretionary sales surtax based on where the product is delivered.

Nasal Strips Marketed for Post Surgical Breathing Support

The taxpayer develops and sells adhesive nasal strips that are applied externally across the nose to improve airflow by lifting and stabilizing the nasal passages.

According to the TAA, the drug free product is primarily used following rhinoplasty procedures, when patients may experience nasal obstruction caused by swelling, inflammation, or temporary structural instability. The product does not carry an RX label and contains no medical or inactive ingredients.

The taxpayer argued that the product functions as a medical device because it helps alleviate impaired breathing and supports recovery following surgical procedures. Its noninvasive and drug free characteristics, the taxpayer maintained, did not change its primary medical purpose.

Medical Use Alone Does Not Create a Sales Tax Exemption

Florida generally imposes sales tax on tangible personal property unless a specific exemption applies. Medical products, supplies, and devices are not automatically exempt simply because they serve a medical purpose.

Under the provisions discussed in the TAA, medical items may qualify for an exemption when they are dispensed under an individual prescription, included on Florida’s Nontaxable Medical Items and General Grocery List, or used to treat a patient and temporarily or permanently incorporated into the patient by a licensed practitioner.

The Department found that the nasal strips did not meet any of those exemptions. As a result, Florida sales of the product are taxable.

Delivery Location Determines Applicable Surtax

In addition to Florida sales and use tax, sales of the nasal strips are subject to any applicable discretionary sales surtax based on where the product is delivered.

The TAA applies only to the specific taxpayer and facts presented. The Department cautioned that changes in statutes, administrative rules, or judicial interpretations could result in different tax treatment for similar transactions in the future.