In an Advisory Opinion, TSB-A-14(30)S (N.Y.S. Dep’t of Taxation & Fin., Aug. 22, 2014), the Department of Taxation and Finance concluded that a manufacturer and distributor of medical supplies and equipment must charge sales tax on the entire amount billed when, at the request of certain customers, it charges on a bundled basis for both taxable and non taxable transactions in a single line item.  Pursuant to 20 NYCRR §§ 527.1(b) & 532.1(b), when taxable and exempt items of tangible personal property are sold as a single unit, tax is due on the entire amount.  According to the Department, the use of a single-item charge cannot “transform” purchases formerly considered purchases of tangible personal property into the purchase of an “inventory replacement service,” and the seller is not permitted to pro-rate the charge between taxable and nontaxable items based on its internal records when the invoice does not separately state the charges for each item.