When it comes to sales tax, there are a lot of things to take into consideration. For example, did you know that depending on your state, you may be required to pay sales tax on items that you resell?

This is where the Resale Sales Tax Exemption Certificate comes in handy. If you’re a business owner who sells products or services to other businesses, then you’ll want to make sure you have one of these certificates.

Here’s how it works: if a reseller certificate is submitted by the business, supplier, or the provider of the service or goods, and is authorized not to charge any sales tax–the liability for sales tax then lies with the re-seller based on the value of the final sale.

There are two ways of sharing a reseller’s certificate: by submitting an existing certificate to the business or creating a new certificate on third-party platforms such as Avalara or Tax Exempt. It’s important that whichever way you choose, both parties involved validate and approve the certificate before any transactions take place.

So, what happens if your state has nexus (a connection) with another state? In this case, even though your business is located in state A, you may be required to charge sales tax on items that are sold in state B. Confusing, we know.

The good news is that there’s a wealth of information available online (or from your local taxing authority) about the specific requirements for your state. Make sure to do your research before you start selling products or services across state lines!

o  Indiana – https://intime.dor.in.gov/eServices/_/

Sales tax rate – 7.000%

Information required to register for a sales tax permit in the state of Indiana

1)     Your estimated monthly taxable sales, if left blank you will be a monthly filer.

2)     If you are a seasonal business.

3)     If you provide lodging for less than 30 days.

4)     If you will sell food and beverage.

5)     If you will sell alcoholic beverages and your ABC Permit number with expiration date.

6)     If gasoline will be sold through a metered pump.

7)     If cars or trucks less than 11,000 lbs. will be rented from this location for less 30 days.

8)     If income is derived from the sale of tobacco products.

9)     If yes, from vending machines only.

10)  If you report sales tax on a consolidated basis is this location included.

11)  If you want your sales tax returns sent to a different address.