Renalwest L.C. v. Arizona Department of Revenue

OPINION

TOCI, Judge.

Arizona Department of Revenue (“DOR”) appeals from a judgment of the Arizona Tax Court upholding a use tax exemption for RenalWest L.C.’s (“RenalWest”) purchases of kidney dialysis machines and certain replacement parts as a “prosthetic appliance.” RenalWest cross-appeals from the tax court’s denial of the exemption for other items, claiming that such items fall within the definition of a prosthetic appliance because they are necessary to safe dialysis treatment.

Arizona Revised Statutes Annotated (“A.R.S.”) section 42-1409(A)(17) (Supp.1996) provides a use tax exemption for…