6369
. (a) There are exempted from the taxes imposed by this part
the gross receipts from the sale in this state of, and the storage,
use, or other consumption in this state of, medicines:
(1) Prescribed for the treatment of a human being by a person
authorized to prescribe the medicines, and dispensed on prescription
filled by a registered pharmacist in accordance with law.
(2) Furnished by a licensed physician and surgeon, dentist, or
podiatrist to his or her own patient for treatment of the patient.
(3) Furnished by a health facility for treatment of any person
pursuant to the order of a licensed physician and surgeon, dentist,
or podiatrist.
(4) Sold to a licensed physician and surgeon, podiatrist, dentist,
or health facility for the treatment of a human being.
(5) Sold to this state or any political subdivision or municipal
corporation thereof, for use in the treatment of a human being; or
furnished for the treatment of a human being by a medical facility or
clinic maintained by this state or any political subdivision or
municipal corporation thereof.
(6) Furnished without charge by a pharmaceutical manufacturer or
distributor to a licensed physician, surgeon, dentist, podiatrist, or
health facility for the treatment of a human being, or furnished by
a pharmaceutical manufacturer or distributor without charge to an
institution of higher education for instruction or research, provided
that the exemption provided in this paragraph is limited to
medicines of a type that can be dispensed only (A) for the treatment
of a human being and (B) pursuant to prescriptions issued by persons
authorized to prescribe medicines. The exemption provided in this
paragraph shall include the materials used to package, and the
constituent elements and ingredients used to produce, the medicines
described in this paragraph and is intended to preclude any
imposition of tax pursuant to Section 6094 or 6095 with respect to
those materials, elements, and ingredients.
(b) "Medicines" as used in this section, means any substance or
preparation intended for use by external or internal application to
the human body in the diagnosis, cure, mitigation, treatment, or
prevention of disease and commonly recognized as a substance or
preparation intended for that use. However, "medicines" does not
include any of the following:
(1) Any auditory, prosthetic, ophthalmic, or ocular device or
appliance.
(2) Articles that are in the nature of splints, bandages, pads,
compresses, supports, dressings, instruments, apparatus,
contrivances, appliances, devices, or other mechanical, electronic,
optical, or physical equipment or article or the component parts and
accessories thereof.
(3) Any alcoholic beverage the manufacture, sale, purchase,
possession, or transportation of which is licensed and regulated by
the Alcoholic Beverage Control Act (Division 9 (commencing with
Section 23000) of the Business and Professions Code).
(c) Notwithstanding subdivision (b), "medicines" as used in this
section means and includes any of the following:
(1) Sutures, whether or not permanently implanted.
(2) Bone screws, bone pins, pacemakers, and other articles, other
than dentures, permanently implanted in the human body to assist the
functioning of any natural organ, artery, vein, or limb and which
remain or dissolve in the body.
(3) (A) Orthotic devices, other than orthodontic devices, designed
to be worn on the person of the user as a brace, support, or
correction for the body structure, and replacement parts for these
devices. However, orthopedic shoes and supportive devices for the
foot are not exempt unless they are custom-made biomechanical foot
orthoses or are an integral part of a leg brace or artificial leg.
(B) For purposes of this paragraph, "custom-made biomechanical
foot orthoses" means an individually prescribed foot orthosis which
is custom fabricated over a neutral or near neutral subtalar joint
with a pronated midtarsal joint position positive plaster model of
the patient's foot, which model, when the cast is modified to support
the osseous position of the forefoot in relationship to the
rearfoot, embodies the angular osseous relationships of the anterior
and posterior portions of the foot.
(4) Prosthetic devices, and replacement parts for those devices,
designed to be worn on or in the person of the user to replace or
assist the functioning of a natural part of the human body, other
than auditory, ophthalmic, and ocular devices or appliances, and
other than dentures, removable or fixed bridges, crowns, caps,
inlays, artificial teeth, and other dental prosthetic materials and
devices.
(5) Artificial limbs and eyes, or their replacement parts, for
human beings.
(6) Programmable drug infusion devices to be worn on or implanted
in the human body.
(d) "Health facility" as used in this section has the meaning
ascribed to it in Section 1250 of the Health and Safety Code, and
also includes any "clinic" as defined in Section 1200 of the Health
and Safety Code.
(e) Insulin and insulin syringes furnished by a registered
pharmacist to a person for treatment of diabetes as directed by a
physician shall be deemed to be dispensed on prescription within the
meaning of this section.
(f) Orthotic and prosthetic devices, and replacement parts for
these devices, furnished pursuant to the written order of a physician
or podiatrist, shall be deemed to be dispensed on prescription
within the meaning of paragraph (1) of subdivision (a), whether or
not the devices are furnished by a registered pharmacist.
(g) Mammary prostheses, and any appliances and related supplies
necessary as the result of any surgical procedure by which an
artificial opening is created in the human body for the elimination
of natural waste, shall be deemed to be dispensed on prescription
within the meaning of this section.