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Bill > LD1734


ME LD1734

An Act to Exempt Over-the-counter Medicines from the Sales and Use Tax


summary

Introduced
04/22/2025
In Committee
04/22/2025
Crossed Over
Passed
Dead

Introduced Session

132nd Legislature

Bill Summary

This bill adds over-the-counter medicines and drugs to the sales tax exemption for medicines sold for humans on a doctor's prescription as long as the over-the-counter medicine or drug is labelled according to the requirements of the United States Food and Drug Administration. Medicines or drugs included in the new exemption include anesthetics; antacids; contraceptive supplies, drugs, devices and products approved by the United States Food and Drug Administration to prevent pregnancy; medication prepared for use in the eyes, ears or nose; opioid antagonists; products intended to be taken for coughs, colds, asthma or allergies; and steroidal medicines.

AI Summary

This bill modifies Maine's sales tax exemption for medicines by expanding the existing prescription medicine exemption to include a wide range of over-the-counter (OTC) medicines and drugs, provided they meet the United States Food and Drug Administration's (FDA) labeling requirements. Specifically, the bill defines OTC medicines to include anesthetics, antacids, anthelmintics, antibacterial/antifungal/antiviral medicines, antiseptics, astringents, contraceptive supplies and products, emetics and antiemetics, eye/ear/nose medications, opioid antagonists, products for coughs/colds/asthma/allergies, and steroidal medicines. The tax exemption will apply to sales of these OTC medicines occurring on or after January 1, 2026, and explicitly does not include cannabis sales. By broadening the existing tax exemption, the bill aims to make a wider range of medical and health-related products more affordable for consumers by removing the sales tax burden.

Committee Categories

Budget and Finance

Sponsors (10)

Last Action

Voted: Divided Report (on 05/21/2025)

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