Tax Exempt Status for Resellers
Tax-exempt status allows business to purchase goods for resale without paying sales tax at the point of purchase. Tax exemption prevents double taxation on goods that are ultimately sold to the end consumer who will be assessed sales tax.
To be eligible for tax exempt status, the customer must:
- Be a legitimate reseller, such as a retailer, wholesaler, or distributor.
- Provide a valid resale certificate issued by the state where the business operates.
- Purchase goods which are intended for resale and not for personal or business use.
Applying for Tax Exempt Status
The application process is different for each state. Generally, the process is as follows:
Gather necessary information including the business license, tax ID, and details of business operations.
- Complete the applications forms for your specific state.
- Submit the application and associated required documentation for your specific state.
If you have the necessary forms you can upload them to your account here at this link ---> HERE
For reference, the following website provides general guidance by state to apply for sales tax exemption.
https://www.taxjar.com/sales-tax/permits
Additionally, the below resources may be contacted to help facilitate the process. Each provides third party services to assist in becoming tax exempt. Please note, UHS and it's parent company AKG do not have any affiliation with either service. The resources are for reference only and represent a sample of many similar companies with comparative offerings.