Michigan Judges Deny Medical Sales Tax Break for Bandages, Gauze

A company that caters to catastrophically disabled patients isn’t entitled to a sales tax exemption for certain medical devices, the Michigan Court of Appeals ruled in an opinion released Tuesday.

The company failed to show that the wound-covering materials, absorbent products, and patient care necessities that it sold were exempt prosthetic devices, the court held.

“If a disposable glove is deemed a prosthetic, what item would not fall under such a definition?” Judge Stephen L. Borrello wrote for himself and Judge Christopher M. Trebilcock. “By framing the argument in this way, it becomes clear that plaintiff’s definition stretches the statutory ...