SACRAMENTO
– California pet and animal owners would pay less for medicines
purchased from a local veterinarian if a new legislative measure
sponsored by the California State Board of Equalization becomes law.
“Making
pet medicine tax-free will benefit California pet owners and
veterinarians. It also benefits Californians by keeping more dollars in
our state and promoting animal health,” said George Runner, who voted to
support the proposal earlier this week.
According
to the Californian Veterinary Medical Association, there are 19 million
companion animal pets in California. Approximately 33% of households
own at least one dog and approximately 28% own at least one cat.
Many
Californians currently buy medicine for their pets online under the
assumption that such purchases are tax free—not knowing they owe “use
tax,” the equivalent of sales tax.
The proposed legislation
would eliminate sales tax on drugs and medicines sold or used for the
treatment of animals by veterinarians, animal shelters and certain
nonprofits. Licensed veterinarians are currently considered consumers
and must pay tax on any drugs or medicines they purchase for use or
resale.
“The
Board’s unanimous vote to sponsor this bill shows it is a good idea
with broad bipartisan support,” added Runner. “I look forward to seeing
this effort gain momentum in the Legislature.”
The
proposal, which will be amended into Senate Bill 688, must be approved
by the Legislature and signed by the Governor before becoming law.
According to the American Veterinary Medical Association, about half of all states currently exempt animal prescription drugs and medications from taxation.
Elected
in November 2010, George Runner represents more than nine million
Californians as a member of the State Board of Equalization. For more
information, visit www.boe.ca.gov/Runner.
press release
