Bill
HB 816
Ohio sales tax would be removed for purchases of qualifying service animals and miniature horses meeting federal standards.
Proposed bill: H.B. 816
Session: 2025-2026
Prime sponsors: Representatives Click, Lorenz
Cosponsors: Brennan, Williams
Topic: Exemption of service animals and miniature horses from Ohio sales and use tax
Main purpose and intent
- To exempt the sale of service animals and miniature horses that meet federal standards from Ohio sales and use tax.
- Specifically adds an exemption for service animals as defined by 28 C.F.R. 35.104 and miniature horses meeting the standards described in 28 C.F.R. 35.136(i).
Key provisions and changes
- New tax exemption: The bill amends section 5739.02 of the Revised Code to remove sales tax on:
- Service animals (as defined by 28 C.F.R. 35.104)
- Miniature horses meeting the standards in 28 C.F.R. 35.136(i)
- Scope: The exemption applies to retail sales of qualifying service animals and miniature horses.
- Administrative and timing details are aligned with the state’s current sales tax framework:
- The overall structure of the sales tax (5.75% rate, collection rules, and general exemptions) remains intact, with the new exemption carved out for the targeted animals.
- The exemption is set to take effect beginning on the first day of the first month after the bill’s effective date.
- Repeal and reenactment: The bill repeals the existing section 5739.02 and reenacts it with the exemption language included.
Who would be affected
- Purchasers of qualifying service animals and miniature horses would benefit from not paying Ohio sales tax on the purchase.
- Sellers of these qualifying service animals and miniature horses would collect tax only on non-exempt sales in other contexts, while exempt transactions would not be taxed.
- No changes to tax treatment for other animal-related sales or for other exemptions in the code.
Significant procedural or timeline aspects
- Effective date: The exemption would begin on the first day of the first month after the act’s effective date (exact date determined by the bill’s final passage and signing into law).
- Administration: The bill delegates no new administrative procedures beyond incorporating the exemption into the existing framework of section 5739.02; the Ohio Tax Commissioner would apply the exemption as part of standard tax administration.
Notes and context
- The measure targets federal standards for service animals and miniature horses, aligning Ohio with common-law or federal definitions used to determine service-animal eligibility.
- The bill does not create new program funding or separate administration beyond tax collection.
Overall impact
- Expected positive financial impact for individuals and organizations purchasing approved service animals or miniature horses in Ohio.
- Prospective alignment with broader accessibility goals by reducing burdens on obtaining essential service animals.
Compiled from official sources — confirm details with the bill’s official record.
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