- Texas Sales and Use Tax Exemption Certificate A sales tax exemption certificate can be used by businesses (or in some cases, individuals) who are making purchases that are exempt from the Texas sales tax.
To collect Texas sales tax, you must have a Texas resale certificate (also called Texas reseller certificate or Sales Tax ID Number), which you get by submitting a Texas Sales and use Tax permit application. The simplest question to ask yourself is whether you will purchase items and resell them.
How do I get a Texas sales and use tax resale certificate?
Steps for filling out Form 01-339 Texas Sales and Use Tax Resale Certificate
- Step 1 – Begin by downloading the Texas Sales and Use Tax Resale Certificate Form 01-339.
- Step 2 – Identify the name, address and phone number of the purchaser.
How do I get a Texas sales and use tax permit?
You will need to apply using form AP-201, Texas Application (PDF). Email the application to [email protected] or fax the application to 512-936-0010. To complete the application, you will need the following documentation: Sole owner’s Social Security number.
How do I get a tax exempt certificate in Texas?
How do we apply for an exemption? To apply for franchise and sales tax exemptions, complete and submit Form AP-204, Texas Application for Exemption – Federal and All Others (PDF) to the Comptroller’s office. Include a copy of the IRS-issued exemption determination letter with any addenda.
Is a sales tax permit the same as a resale certificate in Texas?
In Texas, unlike in other states, resale certificates and sales tax permits are not interchangeable. (Though, if you live and have sales tax nexus in Texas and are buying something for resale in Texas then you should have a Texas sales tax permit.)
Is a resale certificate the same as tax exempt?
A resale certificate is also called a sales tax certificate, reseller permit, or sales tax exemption certificate. … It does not exempt you from paying sales tax on items you use in your business (e.g., office supplies). Qualifying goods are either items you plan to resell or use as parts in products or services you sell.
How much does a Texas sales tax permit cost?
However, most businesses also need a business license, which cost $15 and are issued from each county clerk’s office. There’s currently no cost to register for a Texas sales tax permit. However, businesses may be required to post a security bond.
Do I need a Texas sales and use tax permit?
You must obtain a Texas sales and use tax permit if you are an individual, partnership, corporation or other legal entity engaged in business in Texas and you: sell tangible personal property in Texas; lease or rent tangible personal property in Texas; or. sell taxable services in Texas.
What items are exempt from sales tax in Texas?
Common Texas sales tax exemptions include those for necessities of life, including most food and health-related items. In addition, goods for resale, such as wholesale items, are exempt from sales tax, as well as newspapers, containers, previously taxed items, and certain goods used for manufacturing.
Do sales tax exemption certificates expire in Texas?
In Texas, many forms never expire. But in Florida, resale exemption certificates expire annually. And in some states , the type of certificate, a multijurisdictional form or a streamline sales tax form determines the expiration period.
Do I need a resale certificate in Texas?
In Texas, the sale of a taxable item that is intended for resale is exempt from sales tax. … In order to purchase resale goods tax-free, you need to provide the seller with a resale certificate. If you do not provide a certificate, the seller is required to charge you sales tax on the goods.