S.D. Admin. R. 64:06:02:28
Dentists render a service to their patient and the gross receipts derived from this source are not subject to sales tax. If a dentist regularly sells tangible personal property such as mouthwashes, tooth brushes and the like, the dentist must have a sales tax license and report tax on the sales of such tangible personal property. Dentists who maintain laboratories and fabricate dentures or items for their patients are considered the consumers of the materials used in fabrication.
Dental laboratories that sell equipment, instruments, furniture, or dental supplies or render a repair or technical service, except preparation of dentures, to dentists, must report tax on such sales.
S.D. Admin. R. 64:06:02:28
General Authority: SDCL 10-45-47.1, 10-46-35.1.
Law Implemented: SDCL 10-45-2, 10-45-4, 10-46-2.
Declaratory Ruling: Gold and silver inserted into patients' teeth by dentists are exempt from sales tax. Secretary of Revenue Declaratory Ruling No. 77-15.