Sales Tax,Resale certificate / Tax exemptions
Sales tax is a tax levied on the sale of goods and services, calculated as a percentage of the purchase price. The sales tax rate varies depending on the jurisdiction (state, city, etc.) in which the sale takes place. In the United States, sales tax is collected by the state and local governments, and the specific rate is determined by each state and local jurisdiction.
If your company sells goods in the United States, you are required o register a sales tax account in each state where your product is sold. There are some marketplaces (Amazon) that take responsibility for collecting Sales Tax from buyers and transferring these funds to the states. However, when trading on any other platform, you need to take care of this issue on your own.
Resale certificate
A resale certificate is a document that a business can use to purchase goods or services for resale without paying sales tax. The certificate serves as proof that the goods or services being purchased are intended for resale, rather than for personal use, and will be taxed at the time of sale to the end customer.
In the United States, resale certificates are issued by the state government and vary by state. They are typically required by the seller of goods or services as evidence that the buyer is a legitimate reseller and will not be avoiding paying the appropriate sales tax.
In the United States, resale certificates are issued by the state government and vary by state. They are typically required by the seller of goods or services as evidence that the buyer is a legitimate reseller and will not be avoiding paying the appropriate sales tax.
Resale certificate can be beneficial for businesses
Having a resale certificate can be beneficial for businesses that frequently purchase goods for resale, as it can help reduce the amount of sales tax they are required to pay on those purchases. However, it is important for businesses to use the certificate properly, as using it fraudulently can result in penalties and fines.
Get the service
We will contact you shortly
Free consultation
We will contact you shortly
The Resale Certificate or Tax Exemption certificate implies obtaining a Sales Tax number
Regardless of the amount and channels of sales, the company is obliged to timely submit Sales Tax reports in the state of registration. This is done once a month, once a quarter or even once a year depending on the state conditions.
If you buy goods in the USA for subsequent resale on electronic platforms, we recommend that you obtain a certificate in the state where the warehouse or prep center is located.
If you buy goods in the USA for subsequent resale on electronic platforms, we recommend that you obtain a certificate in the state where the warehouse or prep center is located.
having a Sales Tax / Resale certificate in one of the US states may require you to register in that state and file a tax return.
FREE QUICK CONSULTATION
Have a quick question? Benefit from a free consultation for up to 15 minutes.
MEET OUR TEAM
INDIVIDUAL CONSULTATIONS FROM PROFESSIONALS
Ready to start your company and take the first step to success?
Don't miss the opportunity to start your business now!
Don't miss the opportunity to start your business now!
20+ specialists
15+ years of experience
15+ years of experience
PAID consultation with CPA, Business Attorney or Tax AdvisoR
For more in-depth guidance, we offer paid consultations with a CPA, Business Attorney or Tax Advisor charged by the hour.
Accountants
Business Consultants
CPA
Business Attorneys
Tax Advisors
