How does the sales or use tax apply to dental laboratories?
Dental laboratories, even those maintained by a dentist at his or her place of business, may purchase materials used in fabrication exempt from tax as property sold for use in processing. The exemption only applies to those materials which actually become part of the finished item. Materials that do not become a part of the finished product are subject to sales or use tax. Dental laboratories that sell equipment, instruments, furniture, fixtures, or dental supplies must collect and remit sales tax on those sales.
