Sales of Dietary Supplements are subject to retail sales tax. Dietary supplements include any product, other than tobacco, that is intended to supplement the diet and that meets all three of the following criteria:
- It is required to be labeled as a dietary supplement with a “Supplement Facts” box as required under 21 Code of Federal Regulation (CFR) Sec. 101.36, and
- It contains a vitamin, mineral, herb or other botanical, amino acid, a dietary substance taken to supplement the diet by increasing the total dietary intake, or a concentrate, metabolite, constituent, extract, or combination of the aforementioned ingredients, and
- It is intended for ingestion in tablet, capsule, powder, soft gel, gelcap, liquid form, or is otherwise not represented as conventional food or for use as the sole component of a meal or diet.
Products labeled with both a “Supplement Facts” box and a “Nutrition Facts” box are not dietary supplements. Such products are “food and food ingredients” and are exempt from retail sales tax unless they are taxable as a “soft drink” or “prepared food.”
For more information please see our Special Notice on Sale Tax Changes for Dietary Supplements (pdf).