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If you run an Ecommerce or CPG business in Colorado, securing a Colorado Resale Certificate is a smart move to protect your margins and streamline operations.

This certificate allows you to purchase inventory and raw materials tax-free, helping you lower upfront costs, stay competitive in pricing, and remain compliant with Colorado sales tax laws.

Understanding Resale Certificates in Colorado

What is a Colorado Resale Certificate?

In Colorado, a Declaration of Wholesale or Entity Sales Tax Exemption is a document issued by the Colorado Department of Revenue (CDOR) that allows businesses to:

• Purchase goods without paying sales tax, provided these goods are intended for resale to their customers in the normal course of their business.
• Make tax-exempt purchases of inventory and materials that will become part of the products they sell by presenting a valid resale certificate to their suppliers.

The purpose is to prevent double taxation once at the wholesale level and again at the point of retail sale.

However, a Colorado resale certificate is not a blanket exemption from all sales tax obligations. Businesses are still required to collect and remit sales tax on taxable sales to end consumers.

Why do you need a Colorado Resale Certificate?

Obtaining a resale certificate in Colorado offers several significant advantages for businesses that purchase goods for resale.

Here are some key benefits:

• Avoid Paying Sales Tax on Inventory: The most direct benefit is purchasing inventory and materials that will be resold to customers without paying Colorado’s sales tax upfront. 
• Maintain Competitive Pricing: By not paying sales tax on the cost of goods, businesses have more flexibility in setting competitive prices for products in the Colorado market. This can be a crucial advantage, especially in price-sensitive industries.
• Legal Compliance: Possessing and using a valid resale certificate for eligible purchases ensures businesses comply with Colorado’s sales tax laws and regulations to avoid penalties. Crucially, vendors must keep copies of valid resale certificates on file to justify why they did not collect sales tax on a particular sale. This shifts the burden of proof to the purchaser if the CDOR later questions the exemption during audits.

In Colorado, the specific form to declare eligibility for a resale exemption is the DR 5002.

When filling out DR 5002, a purchaser must include their Colorado taxpayer number to identify that it is registered with the CDOR and authorized to make tax-exempt purchases for resale.

Resale Certificate vs. Sales Tax Permit: What’s the Difference?

A Colorado Sales Tax Permit authorizes your business to collect and remit sales tax on taxable sales to customers. On the other hand, a Colorado Resale Certificate (DR 5002) allows you to purchase goods tax-free from suppliers if those goods are intended for resale.

To use a resale certificate, you must have an active sales tax permit. Note that in Colorado, a sales tax permit is generally referred to as a “sales tax license.”

Who Can Use a Resale Certificate in Colorado?

Businesses that purchase goods for resale can use a Colorado Resale Certificate. To do so, the business must actively sell taxable tangible products and hold a valid Colorado Sales Tax License.

How to Get a Resale Certificate in Colorado: A Step-by-Step Guide

Getting a resale certificate in Colorado is simple, but you’ll need to meet a few key requirements first. Here’s how to do it:

1. Make Sure You’re Eligible: Your business must sell taxable goods or services and be registered with the Colorado Department of Revenue (CDOR). Only businesses with a valid Colorado Sales Tax License can use a resale certificate.

2. Get a Colorado Sales Tax License: If you don’t already have one, apply for a Colorado Sales Tax License through the CDOR website. This License is required to complete the resale certificate.

Need help? Read our blog: How to Get a Seller’s Permit in Colorado

3. Provide a Valid Sales Tax Permit License: Businesses outside of Colorado without a sales tax nexus in the state do not need a Colorado Sales Tax License. Instead, you can present a valid resale certificate or sales tax permit from your home state to Colorado vendors.

However, if your business has a sales tax nexus in Colorado, you must register for a Colorado sales tax license. This is mandatory to make tax-exempt purchases for resale in the state using DR 5002.

4. Gather Your Business Information: You’ll need basic business details to complete the resale certificate, including:

• Your business legal name and any trade names.
• Your business address and contact information.
• Your Federal Employer Identification Number (FEIN) or Social Security Number (SSN) if you’re a sole proprietor.
• Your Colorado sales tax license number (if already obtained)
• Your home state’s sales tax permit number (for out-of-state businesses)
• Your business type (e.g., sole proprietorship, LLC, corporation)

5. Complete the DR 5002: Download and fill out the Colorado Resale Certificate (DR 5002) from the Colorado Department of Revenue’s website. You’ll present this form to your suppliers when making tax-exempt purchases.

6. Submission: No submission required in Colorado. You don’t submit the resale certificate to the state. Instead, give the completed form directly to your suppliers when buying items for resale.

7. Pay Any Applicable Fees: There’s no cost to use Form DR 5002, but you’ll need a valid Colorado Sales Tax License. To see if there’s a cost for the license, check out our guide on Sales Tax Permit fees.

8. Understand Renewal Requirements: In the Form DR 5002, you will see a mandatory field labelled “expiration date” under the sales tax license number. You’ll find this in the upper right corner of the form. This indicates that the DR 5002 is only active as long as your sales tax permit is also active.

If necessary, renew your sales tax permit or license to maintain your ability to make tax-exempt purchases for resale.

How to Use a Colorado Resale Certificate

To properly utilize your resale certificate in Colorado when making tax-exempt purchases for resale, you’ll need to present a valid copy of your Colorado Resale Certificate to your supplier at the time of purchase.

Colorado generally accepts resale certificates issued by other states.

• Good Faith Acceptance: Vendors in Colorado will typically accept an out-of-state resale certificate in good faith, provided it contains all the necessary information (buyer’s name, address, seller’s permit number from the issuing state, reason for exemption, etc.)

If you are an out-of-state business purchasing from a vendor in Colorado and plan to use your home state’s resale certificate, be prepared to provide it at the time of purchase.

However, note that Colorado vendors have the option to decline alternative resale certificates. This is to avoid being subject to a greater burden of proof when accepting forms other than the DR 5002. With that in mind, contact your Colorado supplier ahead of time to confirm their policy on accepting out-of-state certificates.

For more information regarding sales tax exemption laws in Colorado, you may read the state’s Code of Regulations.

Multi-Jurisdictional Resale Certificates

A standardized multi-jurisdictional resale certificate simplifies tax-exempt purchases for businesses that operate and make purchases for resale across state lines.

Unlike a standard resale certificate issued by a single state, a multi-jurisdictional certificate seeks recognition and acceptance by multiple states as valid proof that the buyer intends to purchase the goods for resale and is therefore exempt from sales tax at the time of purchase.

However, it’s crucial to understand that not all states accept these multi-state forms, and acceptance can come with specific conditions.

There are two primary types of multi-jurisdictional resale certificates that a business operating in or selling to vendors in Colorado might encounter:

• Uniform Sales & Use Tax Resale Certificate – Multijurisdiction Form: This is a widely recognized form accepted by a significant number of states (though not all). Colorado accepts the form, but it cannot be used for the resale of taxable services.
  Additionally, you must include your Colorado Sales Tax License number to complete the form properly. Out-of-state purchasers should include their home state’s registration number. You can find this form on the Multistate Tax Commission (MTC) website.
• Streamlined Sales Tax (SST) Certificate of Exemption: Colorado is not a member of the Streamlined Sales Tax Governing Board. Therefore, while a Colorado vendor might accept an SST Certificate of Exemption, they are primarily looking for a Colorado Resale Certificate (DR 5002) or the Uniform Sales & Use Tax Resale Certificate.
  You can find more information about the SST and its member states on the Streamlined Sales Tax Governing Board website.

As stated on Colorado’s official website, alternative resale certificates are allowed. This includes the Uniform Sales & Use Tax Resale Certificate by the MTC. 

Despite this confirmation, it’s still best to verify which certificates your Colorado suppliers are willing to accept. This practice ensures seamless transactions and helps avoid audit issues.

Responsibilities When Using or Accepting a Colorado Resale Certificate

Buyer Responsibilities

If you’re using a Colorado resale certificate, you must ensure you use it only for purchases of goods or services you intend to resell. Using it for personal or operational items (like office supplies or equipment) is illegal and may lead to penalties.

• Colorado-based buyers: Provide a fully completed Form DR 5002 to your suppliers for qualifying purchases. Ensure you use your 8-digit Colorado Account Number (CAN), which is your primary business tax ID.
• Out-of-state buyers: If your business has a sales tax nexus within Colorado, you are generally required to register with the Colorado Department of Revenue. This grants you a Colorado Sales Tax License, which you need to complete a Form DR 5002. Alternatively, you may also provide your home state’s sales tax permit number in the form if you do not have nexus in Colorado.
  In case you don’t have a valid sales tax permit, you generally cannot claim a resale exemption. If your business does not genuinely need to register for sales tax in any state, you must confirm with your Colorado supplier beforehand, as they may decline the transaction.

Seller Responsibilities

As a seller in Colorado, accepting a resale certificate comes with the responsibility of verifying and retaining proper documentation for tax-exempt sales. You must:

• Accept the certificate in good faith
• Verify the certificate’s validity by checking the sales tax license number and keep a record of the license’s expiration date. This is to comply with Colorado’s Code of Regulations.
• For recurring transactions, confirm that the sales tax permit number has not expired
• Ensure it includes all required information: buyer’s name, address, sales tax permit number (or equivalent), reason for exemption, and signature
• Ensure that you don’t use the certificate to claim sales tax exemption on resale of taxable services when you accept a Uniform Sales & Use Tax Resale Certificate.
• Reject the certificate if the items aren’t for resale (e.g., personal or business use)

Keep records for at least 3 years: A properly completed resale certificate is your official proof of why sales tax wasn’t collected. You must retain it in your records for at least 3 years in case of a sales tax audit by the Colorado Department of Revenue.

Frequently Asked Questions About the Colorado Resale Certificate

Are There Penalties for Misusing a Colorado Resale Certificate?

Yes. Misusing a Colorado resale certificate may result in a sales tax penalty of $15 or a percentage of the amount due equal to 10%. The CDOR adds an additional ½ % for each month the due tax is unpaid. This penalty shall not exceed a total of 18%.

In severe cases, false or fraudulent statements by any retailer can lead to a Class 5 Felony charge. Verifying false statements can also result in a Class 2 misdemeanor. Learn more via the Colorado Department of Revenue.

Does a Colorado Resale Certificate Expire?

The resale certificate (DR 5002) expires along with the user’s seller’s permit. As long as your Colorado Sales Tax License is active, the resale certificate remains valid. The same rule applies when using any state’s sales tax permit when completing the form.

How Do I Verify a Resale Certificate in Colorado?

To verify a resale certificate in Colorado, follow these steps:

1. Request a completed DR 5002 or any completed resale certificate from the buyer.
2. Locate their 8-digit Colorado Sales Tax License Number on the form.
3. Use the “Verify a License or Exemption Certificate” option in the Colorado Revenue Online and enter the license number. Read the instructions on the page carefully.

How TaxHero Can Help

You don’t have to complicate managing sales tax compliance and resale certificates in Colorado. TaxHero simplifies the process. From keeping your Colorado Sales Tax License active to ensuring you use resale certificates correctly.

Save time. Avoid penalties. Stay compliant.

Schedule a Demo to see how TaxHero can streamline your Colorado resale certificate process today!

If you run an Ecommerce or CPG business in Virginia, securing a Virginia Resale Certificate is a smart move to protect your margins and streamline operations.

This certificate allows you to purchase inventory and raw materials tax-free, helping you lower upfront costs, stay competitive in pricing, and remain compliant with Virginia sales tax laws.

Understanding Resale Certificates in Virginia

What is a Virginia Resale Certificate?

In Virginia, a Sales and Use Tax Certificate of Exemption (Form ST-10) is a document issued by the Virginia Department of Taxation that allows businesses to:

• Purchase goods without paying sales tax, provided these goods are intended for resale to their customers in the normal course of their business.
• Make tax-exempt purchases of inventory and materials that will become part of the products they sell by presenting a valid resale certificate to their suppliers.

The purpose is to prevent double taxation—once at the wholesale level and again at the point of retail sale.

However, a resale certificate is not a blanket exemption from all sales tax obligations. Businesses are still required to collect and remit sales tax on taxable sales to end consumers.

Why do you need a Virginia Resale Certificate?

Obtaining a resale certificate in Virginia offers several significant advantages for businesses that purchase goods for resale.

Here are some key benefits:

• Avoid Paying Sales Tax on Inventory: The most direct benefit is purchasing inventory and materials that will be resold to customers without paying Virginia’s sales tax upfront. 
• Maintain Competitive Pricing: By not paying sales tax on the cost of goods, businesses have more flexibility in setting competitive prices for products in the Virginia market. This can be a crucial advantage, especially in price-sensitive industries.
• Legal Compliance: Possessing and using a valid resale certificate for eligible purchases ensures businesses comply with Virginia’s sales tax laws and regulations to avoid penalties.

In Virginia, the specific form required for a resale certificate is the Commonwealth of Virginia Sales and Use Tax Certificate of Exemption (Form ST-10).

When filling out Form ST-10, a purchaser must include their Virginia taxpayer number to identify that it is registered with the Virginia Department of Taxation and authorized to make tax-exempt purchases for resale.

Resale Certificate vs. Sales Tax Permit: What’s the Difference?

A Virginia Sales Tax Permit authorizes your business to collect and remit sales tax on taxable sales to customers. A Virginia Resale Certificate (Form ST-10), on the other hand, allows you to purchase goods tax-free from suppliers if those goods are intended for resale. To use a resale certificate, it’s best to have an active sales tax permit.

Who Can Use a Resale Certificate in Virginia?

Businesses that purchase goods for resale can use a Virginia Resale Certificate. To do so, the business must actively sell taxable tangible products and hold a valid Virginia Sales Tax Permit or an out-of-state registration number for unregistered businesses.

How to Get a Resale Certificate in Virginia: A Step-by-Step Guide

1. Make Sure You’re Eligible: Your business must sell taxable goods or services and be registered with the Virginia Department of Taxation. Businesses with a valid Virginia Sales Tax Permit can easily use a resale certificate without any additional registration steps.

2. Provide Your Out-of-State Registration Number: Unregistered businesses may still use Virginia’s official resale certificate (Form ST-10) as long as you provide the required details on the form and your out-of-state registration number, which you can get from the Virginia Department of Taxation.

3. Get a Virginia Sales Tax Permit: If you don’t already have one, apply for a Virginia Sales Tax Permit through the Virginia Department of Taxation website. This permit will make it easier for you to use the Form ST-10 without needing an out-of-state registration number and will help you stay compliant with the state of Virginia.

Need help? Read our blog: How to Get a Seller’s Permit in Virginia

4. Gather Your Business Information: You’ll need basic business details to complete the resale certificate, including:

• Your business legal name and any trade names.
• Your business address and contact information.
• Your Federal Employer Identification Number (FEIN) or Social Security Number (SSN) if you’re a sole proprietor.
• Your Virginia or home state sales tax permit number (if already obtained)
• Your business type (e.g., sole proprietorship, LLC, corporation).

5. Complete Form 01-339: Download and fill out the Virginia Sales and Use Tax Certificate of Exemption (Form ST-10) from the Virginia Department of Taxation’s website. You’ll present this form to your suppliers when making tax-exempt purchases.

6. Submission: No submission required in Virginia. You don’t submit the resale certificate to the state. Instead, give the completed form directly to your suppliers when buying items for resale.

7. Pay Any Applicable Fees: There’s no cost to use the Form ST-10. However, it’s recommended to get a valid Virginia sales tax permit for easier usage. To see if there’s a cost for the permit, check out our guide on Sales Tax Permit fees.

8. Understand Renewal Requirements: Your resale certificate remains valid only while your Sales Tax Permit is active. Fortunately, a Virginia Sales Tax Permit does not need to be renewed; however, the state can revoke it under certain circumstances. If you don’t have a permit, you must keep your out-of-state registration number valid.

How to Use a Resale Certificate in Virginia

To properly utilize your resale certificate in Virginia when making tax-exempt purchases for resale, you’ll need to present a valid copy of your Virginia Sales and Use Tax Certificate of Exemption (Form ST-10) to your supplier at the time of purchase.

In this case, even if you are not a registered seller in Virginia, you may still use its state-issued resale exemption certificate as long as you provide all the required details on the form. That’s because Virginia generally prefers its state-issued resale certificate.

Virginia can also accept resale certificates issued by other states. However, there are specific conditions:

• Match Virginia’s Form ST-10: Out-of-state resale certificates are only accepted in Virginia if they contain all the necessary information found in Virginia’s official resale certificate. Virginia vendors may not accept your state’s resale certificate if it lacks the required details.
• Good Faith Acceptance: Vendors in Virginia can accept an out-of-state resale certificate in good faith, provided it contains all the necessary information (buyer’s name, address, seller’s permit number from the issuing state, reason for exemption, etc.) and meets the first condition stated above. 

If you are an out-of-state business purchasing from a vendor in Virginia and plan to use your home state’s resale certificate, be prepared to provide it at the time of purchase and ensure it meets the requirements stated above.

It’s always a good idea to confirm the vendor’s policy on accepting out-of-state certificates beforehand. For more information regarding sales tax exemption laws in Virginia, you may visit the state’s website.

Multi-Jurisdictional Resale Certificates

A standardized multi-jurisdictional resale certificate simplifies tax-exempt purchases for businesses that operate and make purchases for resale across state lines.

Unlike a standard resale certificate issued by a single state, a multi-jurisdictional certificate aims to be recognized and accepted by multiple states as valid proof that the goods being purchased are intended for resale and are therefore exempt from sales tax at the time of purchase. 

However, it’s crucial to understand that not all states accept these multi-state forms, and acceptance can come with specific conditions.

There are two primary types of multi-jurisdictional resale certificates that a business operating in or selling to vendors in Virginia might encounter:

• Uniform Sales & Use Tax Resale Certificate – Multijurisdiction Form: This is a widely recognized form accepted by a significant number of states (though not all). Virginia may accept the form, but only if it includes your Virginia Sales Tax Permit number and contains all the information required in Virginia’s Form ST-10.
  Out-of-state purchasers should include their home state’s registration number. You can find this form on the Multistate Tax Commission (MTC) website.
• Streamlined Sales Tax (SST) Certificate of Exemption: Virginia is not a member of the Streamlined Sales Tax Governing Board. Therefore, a Virginia vendor cannot accept an SST Certificate of Exemption.
  Virginia has also confirmed that it does not allow the usage of other exemption forms outside of the state. Find more information about the SST and its member states on the Streamlined Sales Tax Governing Board website.

While Virginia accepts the Uniform Sales & Use Tax Resale Certificate (Multijurisdiction Form), it’s still up to the seller whether they’ll accept these forms in good faith or not. After all, they bear the responsibility for sales tax collection if the exemption is invalid.

Contact your Virginia supplier ahead of time to verify if they can accept these multi-jurisdictional forms. This is an important practice to avoid any audit issues.

Responsibilities When Using or Accepting a Virginia Resale Certificate

Buyer Responsibilities

You are responsible for ensuring that you use a Virginia resale certificate only for purchases of goods or services you intend to resell. Using it for personal or operational items (like office supplies or equipment) is illegal and may lead to penalties.

• Virginia-based buyers: Provide a fully completed Form ST-10 to your suppliers for qualifying purchases.
• Out-of-state buyers: Provide your out-of-state registration number when using Virginia’s Form ST-10 to properly use the resale certificate. When using your home state’s resale certificate, ensure that your out-of-state resale certificate matches all the details required in Virginia’s Form ST-10.

Virginia strictly prohibits the use of the Form ST-10 to purchase tobacco products for resale. If you are a cigarette retailer, Virginia requires you to register for a separate form called Form ST-10C first.

Seller Responsibilities

As a seller in Virginia, accepting a resale certificate comes with a variety of responsibilities. Such as verifying and retaining proper documentation for tax-exempt sales. Other than that, you must also:

• Accept the certificate in good faith
• Verify the buyer’s sales tax permit number if you have doubts. At the moment, you can only do this by contacting the Virginia Department of Taxation.
• Ensure it includes all required information: buyer’s name, address, sales tax permit number (or equivalent), reason for exemption, and signature
• Reject the certificate if the items aren’t for resale (e.g., personal or business use). The same applies if the items intended for resale are tobacco products.

Keep detailed records of the transaction: A properly completed resale certificate is your official proof of why sales tax wasn’t collected. You must retain it in your records indefinitely. This is in case of a sales tax audit by the Virginia Department of Taxation. The same logic applies if there might be updates in the transaction.

Frequently Asked Questions About the Virginia Resale Certificate

Are There Penalties for Misusing a Virginia Resale Certificate?

Yes. Misusing a Virginia Resale Certificate results in a $1,000 penalty. It could also lead to a temporary suspension of your resale certificate. Using a suspended resale certificate leads to a Class 1 misdemeanor. Misusing a Virginia resale certificate with fraudulent intentions may lead to imprisonment or a $2,500 fine. Learn more from the Virginia Department of Taxation.

Does a Virginia Resale Certificate Expire?

The resale certificate Form ST-10 has no expiration date. However, it is only valid while your Virginia Sales Tax Permit remains active. For out-of-state businesses, you need to keep your out-of-state registration numbers active.

How Do I Verify a Resale Certificate in Virginia?

If you’re a seller in Virginia, there is only one way to validate a Virginia resale certificate (Form ST-10). Since online verification is currently not an option, you must contact the Virginia Department of Taxation at 804-367-8037 for assistance.

How TaxHero Can Help

You don’t have to complicate managing sales tax compliance and resale certificates in Virginia. TaxHero simplifies the process—from keeping your Virginia Sales Tax Permit active to ensuring you use resale certificates correctly.

Save time. Avoid penalties. Stay compliant.

Schedule a Demo to see how TaxHero can streamline your resale certificate process in Virginia today!

If you run an Ecommerce or CPG business in Arizona, securing an Arizona Resale Certificate is a smart move to protect your margins and streamline operations.

This certificate allows you to purchase inventory and raw materials tax-free, helping you lower upfront costs, stay competitive in pricing, and remain compliant with Arizona sales tax laws.

Understanding Resale Certificates in Arizona

What is an Arizona Resale Certificate?

In Arizona, a Resale Certificate is a document issued by the Arizona Department of Revenue (AZDOR) that allows businesses to:

• Purchase goods without paying sales tax, provided these goods are intended for resale to their customers in the normal course of their business.
• Make tax-exempt purchases of inventory and materials that will become part of the products they sell by presenting a valid resale certificate to their suppliers.

The purpose is to prevent double taxation, first at the wholesale level and then again at the point of retail sale. 

However, an Arizona resale certificate is not a blanket exemption from all sales tax obligations. Businesses are still required to collect and remit sales tax on taxable sales to end consumers.

Why do you need an Arizona Resale Certificate?

Obtaining a resale certificate in Arizona offers several significant advantages for businesses that purchase goods for resale.

Here are some key benefits:

• Avoid Paying Sales Tax on Inventory: The most direct benefit is purchasing inventory and materials that will be resold to customers without paying Arizona’s sales tax upfront. 
• Maintain Competitive Pricing: By not paying sales tax on the cost of goods, businesses have more flexibility in setting competitive prices for products in the Arizona market. This can be a crucial advantage, especially in price-sensitive industries.
• Legal Compliance: Possessing and using a valid resale certificate for eligible purchases ensures businesses comply with Arizona’s sales tax laws and regulations to avoid penalties. Crucially, vendors must keep copies of valid resale certificates on file to justify why they did not collect Transaction Privilege Tax (TPT) on a particular sale. This shifts the burden of proof to the purchaser if the exemption is later questioned by the AZDOR.

In Arizona, the specific form required for a resale certificate is the Form 5000A. Note that this form is not the same as the Form 5000. 

The Form 5000 is a broader exemption certificate. It can be used by certain qualified individuals, agencies, or non-profit organizations. That’s why businesses should not use this form for general resale purposes.

When filling out Form 5000A, a purchaser must include their Arizona Transaction Privilege Tax (TPT) license number to identify that it is registered with the AZDOR and authorized to make tax-exempt purchases for resale.

Resale Certificate vs. Sales Tax Permit: What’s the Difference?

An Arizona Sales Tax Permit authorizes your business to collect and remit sales tax on taxable sales to customers. Note that in Arizona, a sales tax permit is called a Transaction Privilege Tax (TPT) license.

On the other hand, you can use the Arizona Resale Certificate (Form 5000A) to purchase goods tax-free from suppliers if you intend to resell those goods. To use a resale certificate, you must have an active sales tax permit.

Who Can Use a Resale Certificate in Arizona?

Businesses that purchase goods for resale can use an Arizona Resale Certificate. To do so, the business must actively sell taxable tangible products and hold a valid Arizona Sales Tax Permit.

How to Get a Resale Certificate in Arizona: A Step-by-Step Guide

Getting a resale certificate in Arizona is simple, but you’ll need to meet a few key requirements first. Here’s how to do it:

1. Make Sure You’re Eligible: Your business must sell taxable goods or services and be registered with the Arizona Department of Revenue (AZDOR). Only businesses with a valid Arizona TPT License can use a resale certificate.

2. Get an Arizona TPT License: If you don’t already have one, apply for an Arizona TPT License through the AZDOR website. You must obtain this permit before you can use the state’s resale certificate.

Need help? Read our blog: How to Get a Seller’s Permit in Arizona

3. Provide a Valid Sales Tax Permit License: To use an Arizona Resale Certificate (Form 5000A) for purchases made in Arizona, your business should have an active Arizona Transaction Privilege Tax (TPT) license. This TPT license number is a mandatory field on Form 5000A and signifies that your business is registered with the AZDOR to collect and remit TPT on your subsequent taxable sales.

For Out-of-State Purchases: Businesses outside of Arizona without a sales tax nexus in the state do not need an Arizona TPT License. Instead, you can present a valid resale certificate or sales tax permit from your home state to Arizona vendors. If your business has a TPT nexus in Arizona, you must register for an Arizona TPT license. This is necessary to make tax-exempt purchases for resale in the state using Form 5000A.

4. Gather Your Business Information: You’ll need basic business details to complete the resale certificate, including:

• Your business legal name and any trade names.
• Your business address and contact information.
• Your Federal Employer Identification Number (FEIN) or Social Security Number (SSN) if you’re a sole proprietor.
• Your Arizona TPT license number (if already obtained)
• Your business type (e.g., sole proprietorship, LLC, corporation).

5. Complete the Form 5000A: Download and fill out the Arizona Resale Certificate (Form 5000A) from the AZDOR’s website. You’ll present this form to your suppliers when making tax-exempt purchases.

6. Submission: No submission required in Arizona. You don’t submit the resale certificate to the state. Instead, give the completed form directly to your suppliers when buying items for resale.

7. Pay Any Applicable Fees: There’s no cost to use Form 5000A, but you’ll need a valid Arizona TPT license. To see if there’s a cost for the license, then you can check out our guide on Sales Tax Permit fees.

8. Understand Renewal Requirements: There are two options available for you when you fill out your Arizona Resale Certificate (Form 5000A).

• Single Transaction Certificate: This option is for a one-time purchase. This is ideal if you make infrequent purchases from a particular supplier. 
• Blanket Certificate (for a specific period): You can set a validity period by entering “Period From [Date] Through [Date]”. While the form allows for up to 48 months, the Arizona Department of Revenue (AZDOR) generally encourages that you do not exceed a 12-month period for blanket certificates.
  A certificate may be accepted in “good faith” for up to 48 months if the vendor can verify that your underlying Arizona TPT license remains valid for each calendar year covered by the certificate.

The validity of any resale certificate (whether for a single transaction or a period) depends upon your Arizona Transaction Privilege Tax (TPT) license remaining active throughout that established period.

If your TPT license becomes inactive, your resale certificate will no longer be valid.

How to Use an Arizona Resale Certificate

To properly utilize your resale certificate in Arizona when making tax-exempt purchases for resale, you’ll need to present a valid copy of your Transaction Privilege Tax (TPT) Resale Certificate (Form 5000A) to your supplier at the time of purchase.

Arizona generally accepts resale certificates issued by other states.

• Good Faith Acceptance: Vendors in Arizona will typically accept an out-of-state resale certificate in good faith, provided it contains all the necessary information (buyer’s name, address, seller’s permit number from the issuing state, reason for exemption, etc.)

If you are an out-of-state business purchasing from a vendor in Arizona and plan to use your home state’s resale certificate, be prepared to provide it at the time of purchase.

However, note that Arizona vendors have the option to decline alternative resale certificates. This is to avoid being subject to a greater burden of proof when accepting forms other than the Form 5000A. With that in mind, contact your Arizona supplier ahead of time to confirm their policy on accepting out-of-state certificates.

For more information regarding sales tax exemption laws in Arizona, you may read the state’s official guidelines.

Multi-Jurisdictional Resale Certificates

A standardized multi-jurisdictional resale certificate simplifies tax-exempt purchases for businesses that operate and make purchases for resale across state lines.

Unlike a standard resale certificate issued by a single state, a multi-jurisdictional certificate seeks recognition and acceptance by multiple states as valid proof that the buyer intends to purchase the goods for resale and is therefore exempt from sales tax at the time of purchase.

However, it’s crucial to understand that not all states accept these multi-state forms, and acceptance can come with specific conditions.

There are 3 primary types of multi-jurisdictional resale certificates that a business operating in or selling to vendors in Arizona might encounter:

• Border States Uniform Sale for Resale Certificate (Form 60-0081): This form also serves as a valid resale certificate recognized by the AZDOR. The Border States Caucus created it, comprising the four border states (Arizona, California, New Mexico, and Texas).
  To simplify transactions between these border states, the institution developed the Form 60-0081. This form’s goal is to facilitate trade, including cross-border transactions (in the spirit of agreements like the former North American Free Trade Agreement (NAFTA), now superseded by the USMCA. However, Arizona’s tax laws and the other participating states still determine the sales tax exemption guidelines.
• Uniform Sales & Use Tax Resale Certificate – Multijurisdiction Form: This is a widely recognized form accepted by a significant number of states (though not all). Arizona accepts the form only if you include your Arizona TPT license number and properly complete it. Out-of-state purchasers can include their home state’s registration number.
  You can find this form on the Multistate Tax Commission (MTC) website.
• Streamlined Sales Tax (SST) Certificate of Exemption: Arizona is not a member of the Streamlined Sales Tax Governing Board. Therefore, while an Arizona vendor might accept an SST Certificate of Exemption, they are primarily looking for an Arizona Resale Certificate (Form 5000A) or the Uniform Sales & Use Tax Resale Certificate.
  You can find more information about the SST and its member states on the Streamlined Sales Tax Governing Board website.

Under the state’s official guidelines, Arizona is open to a variety of other resale certificate forms.

Despite this confirmation, it’s still best to verify which certificates your Arizona suppliers are willing to accept. This practice ensures seamless transactions and helps avoid audit issues.

Responsibilities When Using or Accepting an Arizona Resale Certificate

Buyer Responsibilities

If you use an Arizona resale certificate, you are responsible for ensuring you use it only for purchases of goods or services you intend to resell. Using it for personal or operational items (like office supplies or equipment) is illegal and may lead to penalties.

• Arizona-based buyers: Provide a fully completed Arizona Resale Certificate (Form 5000A) to your suppliers for qualifying purchases.
• Out-of-state buyers: If your business has a sales tax nexus within Arizona, you are generally required to register with the AZDOR. This registration grants you an Arizona Transaction Privilege Tax (TPT) license. The TPT license number is required to complete the Form 5000A.
  For businesses that do not have an Arizona nexus and are purchasing goods in Arizona solely for resale outside of Arizona, a vendor may accept a valid resale certificate from your home state.

Seller Responsibilities

As a seller in Arizona, accepting a resale certificate comes with the responsibility of verifying and retaining proper documentation for tax-exempt sales. You must:

• Accept the certificate in good faith
• Be mindful of the resale certificate’s validity period
• Validate the Arizona TPT license number via the AZDOR’s online verification page
• If the buyer is using their home state’s sales tax number, you must follow the respective state’s verification process
• Ensure it includes all required information: buyer’s name, address, sales tax permit number (or equivalent), reason for exemption, and signature
• Request additional necessary information (in case the buyer is using alternative certificates)
• Reject the certificate if the items aren’t for resale (e.g., personal or business use)

Keep records for at least 4 years: A properly completed resale certificate is your official proof of why sales tax wasn’t collected. You must retain it in your records for at least four years in case of a sales tax audit by the AZDOR.

Frequently Asked Questions About the Arizona Resale Certificate

Are There Penalties for Misusing an Arizona Resale Certificate?

Yes. The intentional misuse of an Arizona Resale Certificate (Form 5000A) results in criminal penalties. The Arizona authorities may charge anyone found guilty of this offense with a felony. Learn more about Arizona’s definition of criminal violations in the A.R.S. § 42-1127(B)

Does an Arizona Resale Certificate Expire?

The Arizona resale certificate (Form 5000A) is typically valid for 12 months or a one-time transaction. However, buyers have the option to choose the certificate’s validity period, which cannot exceed 48 months. Moreover, the validity also depends on the buyer’s sales tax permit or TPT license. An inactive permit or license means the resale certificate also becomes invalid.

How Do I Verify a Resale Certificate in Arizona?

To validate a Resale Certificate in Arizona, there are 3 steps:

1. Request a completed Form 5000A from the buyer.
2. Locate their 8-digit Arizona Transaction Privilege Tax license number on the form.
3. Use the Arizona Taxes License Verification to confirm if the permit is active.

How TaxHero Can Help

You don’t have to complicate managing sales tax compliance and resale certificates in Arizona. TaxHero simplifies the process. From keeping your Arizona Transaction Privilege Tax License active to ensuring you use resale certificates correctly.

Save time. Avoid penalties. Stay compliant.

Schedule a Demo to see how TaxHero can streamline your resale certificate process in Arizona today!

Understanding Resale Certificates in North Carolina

What is a North Carolina Resale Certificate?

• Purchase goods without paying sales tax, provided these goods are intended for resale to their customers in the normal course of their business.
• Make tax-exempt purchases of inventory and materials that will become part of the products they sell by presenting a valid resale certificate to their suppliers.

Why do you need a North Carolina Resale Certificate?

• Avoid Paying Sales Tax on Inventory: The most direct benefit is purchasing inventory and materials that will be resold to customers without paying North Carolina’s sales tax upfront. 
• Maintain Competitive Pricing: By not paying sales tax on the cost of goods, businesses have more flexibility in setting competitive prices for products in the North Carolina market. This can be a crucial advantage, especially in price-sensitive industries.
• Legal Compliance: Possessing and using a valid resale certificate for eligible purchases ensures businesses comply with North Carolina’s sales tax laws and regulations to avoid penalties.

Resale Certificate vs. Sales Tax Permit: What’s the Difference?

Who Can Use a Resale Certificate in North Carolina?

• Your home state’s seller’s permit number or
• A North Carolina exemption certificate number.

How to Get a Resale Certificate in North Carolina: A Step-by-Step Guide

• Your business legal name and any trade names.
• Your business address and contact information.
• Your Federal Employer Identification Number (FEIN) or Social Security Number (SSN) if you’re a sole proprietor.
• Your North Carolina sales tax permit number (if already obtained)
• Your home state sales and use tax registration number (if not registered in North Carolina)
• Your exemption certificate number (if you don’t have any active seller’s permit account)
• Your business type (e.g., sole proprietorship, LLC, corporation).

How to Use a Resale Certificate in North Carolina

• Good Faith Acceptance: Vendors in North Carolina will typically accept an out-of-state resale certificate in good faith, provided it contains all the necessary information (buyer’s name, address, seller’s permit number from the issuing state, reason for exemption, etc.)
• Reciprocity: The acceptance might be based on reciprocal agreements with the state that issued the certificate.

Multi-Jurisdictional Resale Certificates

• Uniform Sales & Use Tax Resale Certificate – Multijurisdiction Form: This is a widely recognized form accepted by a significant number of states (though not all). North Carolina vendors typically accept the form. However, you must provide all the required information, including your seller’s permit number. Out-of-state purchasers should include their home state’s registration number.
  You can find this form on the Multistate Tax Commission (MTC) website.
• Streamlined Sales Tax (SST) Certificate of Exemption: North Carolina is a member of the Streamlined Sales Tax Governing Board. In fact, the Form E-595E itself is an SST Certificate. To learn more about North Carolina’s membership in SST, visit the NCDOR’s website.

Responsibilities When Using or Accepting a North Carolina Resale Certificate

Buyer Responsibilities

• North Carolina-based buyers: Provide a fully completed Form E-595E to your suppliers for qualifying purchases. Additionally, you must prepare your sales and use tax registration number or exemption number as required by the NCDOR.
• Out-of-state buyers: Ensure all necessary information is filled out accordingly, which includes your business name, address, sales tax number (or equivalent), and a clear resale statement. If you don’t have a sales tax permit, then you must apply for an exemption number instead.

Seller Responsibilities

• Accept the certificate in good faith
• Or validate the certificate via NCDOR’s online registry (only for registered North Carolina buyers with a taxpayer account number)
• Ensure it includes all required information: buyer’s name, address, sales tax permit number (or equivalent), reason for exemption, and signature
• Reject the certificate if the items aren’t for resale (e.g., personal or business use)

Frequently Asked Questions About the North Carolina Resale Certificate

Are There Penalties for Misusing a North Carolina Resale Certificate?

Does a North Carolina Resale Certificate Expire?

How Do I Verify a North Carolina Resale Certificate?

1. Request a completed Form E-595E from the buyer.
2. Locate the North Carolina Taxpayer ID number on the form. If they’re not registered in North Carolina, then you must check their home state’s sales tax permit number instead.
3. Use the NCDOR Online Registry to confirm the permit is active. However, for out-of-state buyers, you might have to use their home state’s website for verification instead.

How TaxHero Can Help

If you run an Ecommerce or CPG business in Florida, securing a Florida Resale Certificate is a smart move to protect your margins and streamline operations.

This certificate allows you to purchase inventory and raw materials tax-free, helping you lower upfront costs, stay competitive in pricing, and remain compliant with Florida sales tax laws.

Understanding Resale Certificates in Florida

What is a Florida Resale Certificate?

In Florida, an Annual Resale Certificate (Form DR-13) is a document issued by the Florida Department of Revenue that allows businesses to:

• Purchase goods without paying sales tax, provided these goods are intended for resale to their customers in the normal course of their business.
• Make tax-exempt purchases of inventory and materials that will become part of the products they sell by presenting a valid resale certificate to their suppliers.

The purpose is to prevent double taxation, which is once at the wholesale level and again at the point of retail sale.

However, a resale certificate is not a blanket exemption from all sales tax obligations. Businesses are still required to collect and remit sales tax on taxable sales to end consumers.

Why do you need a Florida Resale Certificate?

Obtaining a resale certificate in Florida offers several significant advantages for businesses that purchase goods for resale.

Here are some key benefits:

• Avoid Paying Sales Tax on Inventory: The most direct benefit is purchasing inventory and materials that will be resold to customers without paying Florida’s sales tax upfront. 
• Maintain Competitive Pricing: By not paying sales tax on the cost of goods, businesses have more flexibility in setting competitive prices for products in the Florida market. This can be a crucial advantage, especially in price-sensitive industries.
• Legal Compliance: Possessing and using a valid resale certificate for eligible purchases ensures businesses comply with Florida’s sales tax laws and regulations to avoid penalties.

In Florida, the specific form required for a resale certificate is the Form DR-13. However, the state typically refers to it as the “Annual Resale Certificate” in its government pages.

When filling out the Annual Resale Certificate, a purchaser must include their Florida taxpayer number to identify that it is registered with the FL Department of Revenue and authorized to make tax-exempt purchases for resale.

Resale Certificate vs. Sales Tax Permit: What’s the Difference?

A Florida Sales Tax Permit authorizes your business to collect and remit sales tax on taxable sales to customers. A Florida Resale Certificate (Annual Resale Certificate), on the other hand, allows you to purchase goods tax-free from suppliers if those goods are intended for resale. To use a resale certificate, you must have an active sales tax permit.

Who Can Use a Resale Certificate in Florida?

Businesses that purchase goods for resale can use a Florida Resale Certificate. To do so, the business must actively sell taxable tangible products and hold a valid Florida Sales Tax Permit.

How to Get a Resale Certificate in Florida: A Step-by-Step Guide

Getting a resale certificate in Florida is simple, but you’ll need to meet a few key requirements first. Here’s how to do it:

1. Make Sure You’re Eligible: Your business must sell taxable goods or services and be registered with the FL Department of Revenue website. Only businesses with a valid Florida Sales Tax Permit can use a resale certificate.

2. Get a Florida Sales Tax Permit: If you don’t already have one, apply for a Florida Sales Tax Permit through the FL Department of Revenue website. You can only download and print the Annual Resale Certificate by logging into your FL Sales and Use Tax account. Therefore, having an account is necessary.

You can also use your certificate number and business partner number to log in and download the Annual Resale Certificate form. Specifically, those numbers can be found on the front and back of your Certificate of Registration after Florida approves your business’s application.

Need help? Read our blog: How to Get a Seller’s Permit in Florida

3. Gather Your Business Information: You’ll need basic business details to complete the resale certificate, including:

• Your business legal name and any trade names.
• Your business address and contact information.
• Your Federal Employer Identification Number (FEIN) or Social Security Number (SSN) if you’re a sole proprietor.
• Your Florida state sales tax permit number (if already obtained)
• Your business type (e.g., sole proprietorship, LLC, corporation).

4. Complete the Annual Resale Certificate: Download and fill out the Florida Annual Resale Certificate (Form DR-13) from the FL Department of Revenue’s website. Note that you can’t download the form without logging in.

You’ll present this form to your suppliers when making tax-exempt purchases. You do not need a signature on the Annual Resale Certificate (Form DR-13) itself, as presenting the certificate or its number certifies that you will resell or re-rent the items purchased.

5. Submission: No submission required in Florida. You don’t submit the resale certificate to the state. Instead, give the completed form directly to your suppliers when buying items for resale.

6. Pay Any Applicable Fees: There’s no cost to use the Annual Resale Certificate. However, you’ll need a valid Florida Sales Tax Permit. To see if there’s a cost for the permit, then you can check out our guide on Sales Tax Permit fees.

7. Understand Renewal Requirements: The name of the form matches its validity period. That means the Annual Resale Certificate expires on the last day of the year. Regardless, active and registered businesses in Florida will automatically receive a new Annual Resale Certificate each year.

This means you must maintain your Florida Sales Tax Permit, otherwise, you’ll lose access to the state’s resale certificate.

How to Use a Resale Certificate in Florida

To properly utilize your resale certificate in Florida when making tax-exempt purchases for resale, you’ll need to present a valid copy of your Florida Annual Resale Certificate to your supplier at the time of purchase.

Florida does not accept resale certificates issued by other states.

Instead, out-of-state businesses have the option to either:

• Provide a declaration to their chosen vendors in Florida to confirm that the items purchased are for resale purposes.
• Utilize the MTC Uniform Sales & Use Tax Resale Certificate.

The declaration should include details such as:

• Name and information of the dealer (address, sales tax number)
• Your name and contact information (address, phone number, and your home state sales tax permit number)
• Passport or visa number (for buyers outside of the US) 
• Proof of business validity (business license or seller’s permit from your home state)
• Transaction records (invoice number, item description) 
• Signature and liability agreement (including the date of transaction)

Additionally, to ensure a smooth transaction, it’s best to contact and inquire with your suppliers ahead of time. Overall, this practice may also help prevent potential audit issues.

For more information regarding out-of-state resale regulations in Florida, you may read the state’s official guidelines.

Multi-Jurisdictional Resale Certificates

A standardized multi-jurisdictional resale certificate simplifies tax-exempt purchases for businesses that operate and make purchases for resale across state lines.

Unlike a standard resale certificate issued by a single state, a multi-jurisdictional certificate aims to be recognized and accepted by multiple states as valid proof that the goods being purchased are intended for resale and are therefore exempt from sales tax at the time of purchase. 

However, it’s crucial to understand that not all states accept these multi-state forms, and acceptance can come with specific conditions.

Generally, there are two primary types of multi-jurisdictional resale certificates that a business operating in or selling to vendors in Florida might encounter:

• Uniform Sales & Use Tax Resale Certificate – Multijurisdiction Form: This is a widely recognized form accepted by a significant number of states (though not all). Florida requires that you include your Florida Sales Tax Permit number and complete the form. You can find this form on the Multistate Tax Commission (MTC) website.
  According to the MTC, note that you must still provide your Annual Resale Certificate number when using the form. This allows Florida vendors to obtain an authorization number to complete the resale deal.
• Streamlined Sales Tax (SST) Certificate of Exemption: Florida is not a member of the Streamlined Sales Tax Governing Board. Therefore, while a Florida vendor might accept an SST Certificate of Exemption, they are primarily looking for a Florida Annual Resale Certificate (Form DR-13) or the Uniform Sales & Use Tax Resale Certificate.
  You can find more information about the SST and its member states on the Streamlined Sales Tax Governing Board website.

For a seamless transaction, it’s best to verify which form your Florida suppliers prefer. This also helps prevent any audit issues.

Responsibilities When Using or Accepting a Florida Resale Certificate

Buyer Responsibilities

You are responsible for ensuring that you use a Florida resale certificate only for purchases of goods or services you intend to resell. Using it for personal or operational items (like office supplies or equipment) is illegal and may lead to penalties.

• Florida-based buyers: Provide a fully completed Annual Resale Certificate (Form DR-13) to your suppliers for qualifying purchases.
• Out-of-state buyers: If your business has a sales tax nexus within Florida, you are generally required to register with the Florida Department of Revenue. This registration will grant you access to a Florida Sales and Use Tax Certificate of Registration (your “seller’s permit”) and a Florida Annual Resale Certificate (Form DR-13). Generally, Florida vendors often prefer the DR-13 for straightforward tax-exempt purchases.
• For out-of-state buyers who do not have a Florida DR-13:

  • Multistate Tax Commission (MTC) Uniform Sales & Use Tax Resale Certificate: Florida sellers may accept the MTC Uniform Sales & Use Tax Resale Certificate from out-of-state purchasers. However, the selling Florida dealer is still required to verify the exemption by obtaining a transaction or vendor authorization number directly from the Florida Department of Revenue using the purchaser’s sales tax registration information.

  • Sales to Nonresident Dealers for Export: For specific sales of tangible personal property to a nonresident dealer where the property will be transported outside Florida for resale and no other purpose, the Florida selling dealer may obtain a detailed statement from the nonresident dealer.
    This statement must include the nonresident dealer’s name, address, evidence of authority to do business in their home state/country, passport/visa information (for non-U.S. residents), a perjury declaration, and the purchaser’s signature. Florida law outlines this method for these specific export transactions.

Seller Responsibilities

As a seller in Florida, accepting a resale certificate comes with a variety of responsibilities. Such as verifying and retaining proper documentation for tax-exempt sales. Additionally, you must also:

• Accept the certificate in good faith
• Ensure that you maintain proper documentation and include essential information. This includes the buyer’s name, address, and Florida sales tax certificate number (or the equivalent out-of-state sales tax ID if using the MTC certificate).
  Note that a signature is generally no longer required on the Florida Annual Resale Certificate (Form DR-13) itself. You must clearly establish the reason for the exemption (for resale)
• Reject the certificate if the items aren’t for resale (e.g., personal or business use)

Keep records for at least 3 years: A properly completed resale certificate is your official proof of why sales tax wasn’t collected. You must retain it in your records for at least 3 years in case of a sales tax audit by the FL Department of Revenue.

In Florida, there are 3 methods to document your transactions better:

1. Retain a copy of the buyer’s Annual Resale Certificate – Paper or electronic certificates must be kept for at least 3 years.
2. Obtain an authorization number – Each time you validate an Annual Resale Certificate, you obtain an authorization number. Treat it like a receipt. By choosing this option, you no longer need a copy of your buyer’s resale certificate.
3. Keep an annual vendor authorization number – You can obtain this by contacting the FL Department of Revenue. This method is useful if you have regular customers, ensuring quick recurring transactions.

Frequently Asked Questions About the Florida Resale Certificate

Are There Penalties for Misusing a Florida Resale Certificate?

Yes. Intentionally misusing an Annual Resale Certificate is subject to civil and criminal penalties. Committing resale fraud leads to a 3rd degree felony with a 200% penalty. Discover more sales tax penalties via the Florida Legislature.

Does a Florida Resale Certificate Expire?

The Annual Resale Certificate (Form DR-13) expires annually on the last day of the year. However, as long as you register and keep your business active in Florida, you’ll automatically receive a new form every year.

How Do I Verify a Resale Certificate in Florida?

To validate an Annual Resale Certificate in Florida, there are 3 ways:

1. Call 877-357-3725, then enter the buyer’s Annual Resale Certificate number.
2. Online Verification – log in and enter the necessary information for verification.
3. Use the Florida Tax Mobile App, available for Windows, iOS, and Android.

How TaxHero Can Help

You don’t have to complicate managing sales tax compliance and resale certificates in Florida. TaxHero simplifies the process. From keeping your Florida Sales Tax Permit active to ensuring you use resale certificates correctly.

Save time. Avoid penalties. Stay compliant.

Schedule a Demo to see how TaxHero can streamline your resale certificate process in Florida today!

• The Ultimate Business Guide to Sales Tax in North Dakota
• What is a Seller’s Permit?
• North Dakota Sales Tax Rate
• How to Get a North Dakota Resale Certificate for Your Business

Who Needs a Seller’s Permit in North Dakota?

• you meet physical or economic nexus within the state and
• you are selling taxable products or providing taxable services to customers in North Dakota.

How to Register for a Seller’s Permit in North Dakota?

1. Where to Apply for a Seller’s Permit in North Dakota?

2. What Information Do You Need to Get a Seller’s Permit in North Dakota?

• Business Identification Information: Legal Business Name, Physical Address, Mailing Address 
• Business Entity Structure (i.e., Sole Proprietorship, Partnership, Subchapter S Corp., Corporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, and SSN of Owners, Partners, or Officers 
• Business Activity Details: Date & State of Incorporation, Start Date with the State of North Dakota (Nexus Start Date), Estimated Annual Taxable Sales in North Dakota
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in North Dakota?

4. What are Other Ways to Register for a Seller’s Permit in North Dakota?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.

What’s Next?

• The Ultimate Business Guide to Sales Tax in New Mexico
• What is a Seller’s Permit?
• New Mexico Sales Tax Rate
• How to Get a New Mexico Resale Certificate for Your Business

Who Needs a Seller’s Permit in New Mexico?

• you meet physical or economic nexus within the state and
• you are selling taxable products or providing taxable services to customers in New Mexico

How to Register for a Seller’s Permit in New Mexico?

1. Where to Apply for a Seller’s Permit in New Mexico?

2. What Information Do You Need to Get a Seller’s Permit in New Mexico?

• Business Identification Information: Legal Business Name, Physical Address, Mailing Address 
• Business Entity Structure (i.e., Sole Proprietorship, Partnership, Subchapter S Corp., Corporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, and SSN of Owners, Partners, or Officers 
• Business Activity Details: Date & State of Incorporation, Start Date With New Mexico (Nexus Start Date), Estimated Sales Tax Liability, Accounting Method (Cash vs. Accural)
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in New Mexico?

4. What are Other Ways to Register for a Seller’s Permit in New Mexico?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.
• Paper Application: You can also opt to submit the form ACD 31015 Business Tax Registration to any district tax office with an appointment.

What’s Next?

• The Ultimate Business Guide to Sales Tax in Missouri
• What is a Seller’s Permit?
• Missouri Sales Tax Rate
• How to Get a Missouri Resale Certificate for Your Business

Who Needs a Seller’s Permit in Missouri?

• you meet physical or economic nexus within the state and
• you are selling taxable products or providing taxable services to customers in Missouri

How to Register for a Seller’s Permit in Missouri?

1. Where can you Apply for a Seller’s Permit in Missouri?

2. What Information do you Need to Get a Seller’s Permit in Missouri?

• Business Identification Information: Legal business name, physical address, mailing address 
• Business Entity Structure (i.e., sole proprietorship, partnership, Subchapter S Corp., corporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, and SSN of owners, partners, or officers 
• Business Activity Details: Date & State of Incorporation, start date with the state of Missouri (nexus start date), Estimated Monthly Taxable sales Missouri
• Types of products sold
• Address where you store your Tax Records
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in Missouri?

4. What are Other Ways to Register for a Seller’s Permit in Missouri?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.
• Paper Application: Complete the Missouri Tax Registration Application (Form 2643) and send it along with your bond deposit.

What’s Next?

• The Ultimate Business Guide to Sales Tax in New York
• What is a Seller’s Permit?
• New York Sales Tax Rate
• How to Get a New York Resale Certificate for Your Business

Who Needs a Seller’s Permit in New York?

• you meet physical or economic nexus within the state and you are selling taxable products or providing taxable services to customers in New York; or
• you issue or receive New York State sales tax exemption documents or you operate a hotel or motel or receive amusement charges

How to Register for a Seller’s Permit in New York?

1. Where to Apply for a Seller’s Permit in New York?

2. What Information do you Need to Get a Seller’s Permit in New York?

• Business Identification Information: Legal business name, physical address, mailing address 
• Business Entity Structure (i.e., sole proprietorship, partnership, Subchapter S Corp., corporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, SSN, Ownership Percentage, and Primary Business Duties of owners, partners, or officers. Prior to applying, use Form DTF-17.1, Business Contact, and Responsible Person Questionnaire, to obtain the information required for each responsible party, including owners, partners, or officers of the business. Retain a copy of the questionnaire for your records for each person.
• Business Activity Details: Date & State of Incorporation, Start Date with the State of New York (Nexus Start Date)
• Tax Preparer Information (if applicable): (address, phone number, and preparer’s federal EIN)
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in New York?

4. What are Other Ways to Register for a Seller’s Permit in New York?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.

What’s Next?

What is a Resale Certificate?

How to Get a Resale Certificate?

1. Understand the resale certificate requirements in the state where you have a physical nexus and the states where your vendors are located.
2. Apply for a sales tax permit in the state before getting a resale certificate (if applicable).
3. Fill out the application form specified by your state’s Department of Revenue.
4. Provide the required documents and wait for the verification process.

What are Multistate Resale Certificates?

• Streamlined Sales Tax (SST) Exemption Certificate 
• Multistate Tax Commission (MTC) Uniform Sales and Use Tax Exemption Certificate

How to Use a Resale Certificate?

Difference Between a Reseller Permit and Sales Tax Exemption Certificate

• A reseller permit is a type of exemption document issued by the government allowing a business to purchase goods, without paying sales tax, for the purpose of reselling to a customer. This does not exempt you from products or items you buy from vendors for use in your business (i.e., office supplies, computer equipment). 
• A sales tax exemption certificate is a broader term referring to a document that allows individuals and businesses exemption from paying sales tax on all items and products. It is only issued to specific organizations that qualify for sales tax exemption in that state, such as a nonprofit (i.e., 501(c)(3) organizations). Each state has requirements for organizations that qualify for sales tax exemption certificates. For example, in Florida, government entities are exempt from sales tax.

State-by-State Guide 

How long should you keep the resale certificates on file?

Do all sellers accept resale certificates?

Want to Streamline Your Resales Tax Operations? Let’s Connect

• The Ultimate Business Guide to Sales Tax in Idaho
• What is a Seller’s Permit?
• Idaho Sales Tax Rate
• How to Get an Idaho Resale Certificate for your Business

Who Needs a Seller’s Permit in Idaho?

• you meet physical or economic nexus within the state and
• you are selling taxable products or providing taxable services to customers in Idaho

How to Register for a Seller’s Permit in Idaho?

1. Where to Apply for a Seller’s Permit in Idaho?

2. What Information Do You Need to Get a Seller’s Permit in Idaho

• Business Identification Information: Legal Business Name, Physical Address, Mailing address
• Business Entity Structure (i.e., Sole Proprietorship, Partnership, Subchapter S Corp., Sorporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, and SSN of Owners, Partners, or Officers 
• Business Activity Details: Date & State of Incorporation, Start Date with the State of Idaho (nexus start date), Estimated Monthly Taxable Sales in Idaho
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in Idaho?

4. What are Other Ways to Register for a Seller’s Permit in Idaho?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.
• Paper Application. You must fill out Form IBR-1, attach the necessary documents, and mail it to the address provided in the form.

What’s Next?

• The Ultimate Business Guide to Sales Tax in Georgia
• What is a Seller’s Permit?
• Georgia Sales Tax Rate
• How to Get a Georgia Resale Certificate for your Business

Who Needs a Seller’s Permit in Georgia?

• you meet physical or economic nexus within the state and
• you are selling taxable products or providing taxable services to customers in Georgia

How to Register for a Seller’s Permit in Georgia?

1. Where can you Apply for a Seller’s Permit in Georgia?

2. What Information do you Need to Get a Seller’s Permit in Georgia?

• Business Identification Information:  Legal business name, physical address, mailing address 
• Business Entity Structure (i.e., sole proprietorship, partnership, Subchapter S Corp., corporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, and SSN of owners, partners, or officers 
• Business Activity Details: Incorporation Date & State, date of the first sale in Georgia, Month of Fiscal Year End, Accounting Method (Cash vs. Accrual)
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in Georgia?

4. What Are Other Ways To Register For A Seller’s Permit In Georgia?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.

What’s Next?

• The Ultimate Business Guide to Sales Tax in Indiana
• What is a Seller’s Permit?
• Indiana Sales Tax Rate
• How to Get an Indiana Resale Certificate for Your Business

Who Needs a Seller’s Permit in Indiana?

• you meet physical or economic nexus within the state and
• you are selling taxable products or providing taxable services to customers in Indiana

How to Register for a Seller’s Permit in Indiana?

1. Where to Apply for a Seller’s Permit in Indiana?

2. What Information do you Need to Get a Seller’s Permit in Indiana?

• Business Identification Information: Legal business name, physical address, mailing address 
• Business Entity Structure (i.e., sole proprietorship, partnership, Subchapter S Corp., corporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, Telephone number, and SSN of owners, partners, or officers 
• Business Activity Details: Date & State of Incorporation, start date with the state of Indiana (nexus start date), Estimated Monthly Taxable Sales in Indiana, Month of Fiscal Year End
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in Indiana?

4. What are Other Ways to Register for a Seller’s Permit in Indiana?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.
• Paper Application. You will need to fill out the form Form BT-1, attach the necessary documents and payment, and mail it to the address provided on the form.

What’s Next?

• The Ultimate Business Guide to Sales Tax in Florida
• What is a Seller’s Permit?
• Florida Sales Tax Rate
• How to Get a Florida Resale Certificate for your Business

Who Needs a Seller’s Permit in Florida?

• you meet physical or economic nexus within the state and
• you are selling taxable products or providing taxable services to customers in Florida

How to Register for a Seller’s Permit in Florida?

1. Where to Apply for a Seller’s Permit in Florida?

2. What Information Do You Need to Get a Seller’s Permit in Florida?

• Business Identification Information: Legal Business Name, Physical Address, Mailing Address 
• Business Entity Structure (i.e., sole proprietorship, partnership, Subchapter S Corp., corporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, and SSN of owners, partners, or officers 
• Business Activity Details: Date & State of Incorporation, start date with the Florida (nexus start date)
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in Florida?

4. What are Other Ways to Register for a Seller’s Permit in Florida?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.
• Paper Application: You have the option to register via mail by completing Florida Form DR-1. Although, it’s suggested by the state of Florida that you register online instead.

What’s Next?

• The Ultimate Business Guide to Sales Tax in Connecticut
• What is a Seller’s Permit?
• Connecticut Sales Tax Rate
• How to Get a Connecticut Resale Certificate for Your Business

Who Needs a Seller’s Permit in Connecticut?

• you meet physical or economic nexus within the state and
• you are selling taxable products or providing taxable services to customers in Connecticut.

How to Register for a Seller’s Permit in Connecticut?

1. Where to Apply for a Seller’s Permit in Connecticut?

2. What Information Do You Need to Get a Seller’s Permit in Connecticut?

• Business Identification Information: Legal Business Name, Physical Address, Mailing Address 
• Business Entity Structure (i.e., Sole Proprietorship, Partnership, Subchapter S Corp., Corporation, LLC, etc.)
• Federal Employer Identification Number (EIN or FEIN)
• Name, Address, and SSN of Owners, Partners, or Officers 
• Business Activity Details: Date & State of Incorporation, Start Date with the State of Connecticut (Nexus Start Date), Month of Fiscal Year End
• NAICS Code

3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in Connecticut?

4. What are Other Ways to Register for a Seller’s Permit in Connecticut?

• Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.

What’s Next?