Businesses can buy goods at wholesale prices without paying sales tax if they have a reseller’s permit or sales tax permit. The Department of Revenue (DOR) in Massachusetts issues reseller’s permits to companies who want to resale the products they buy. A step-by-step tutorial for obtaining a reseller’s permit in Massachusetts is provided below.
Step 1: Establish whether you require a reseller’s permit You must obtain a reseller’s permission if you intend to resale products in Massachusetts. Even if your company is headquartered outside of Massachusetts but you still sell items there, you need this license. However, you might not require a reseller’s permission if you exclusively sell things online and do not have a physical presence in Massachusetts. To learn whether you require a permission, get in touch with the Massachusetts DOR.
Step 2: File a business registration form with the Massachusetts DOR A reseller’s permit cannot be obtained until your business has been registered with the Massachusetts DOR. By completing Form ST-4 to the DOR, or online through the MassTaxConnect website, you can register. The DOR website offers a download for this form.
Step 3: Submit an application for a reseller’s permit
Following DOR registration of your company, you may submit an application for a reseller’s permit. You can submit Form ST-4 to the DOR or apply online through the MassTaxConnect website. After filing the application, the permission is normally granted without fee and within a few days.
Renewing your reseller’s permit is step four. Massachusetts does not have expiration dates for reseller permits, but you must renew your business registration every year. Penalties and fines may be imposed if your registration is not renewed. Do I Need a Seller’s Permit in Massachusetts to Sell Online?
A seller’s permit is required if you sell items online and are physically present in Massachusetts. However, you might not require a seller’s permit if you only sell things online and do not have a physical presence in the state. For further information, get in touch with the Massachusetts DOR.
A resale certificate is a form of identification that enables companies to buy products without paying sales tax. In Massachusetts, you must first obtain a reseller’s permit before you can apply for a resale certificate. Then, using your reseller’s permit, you can buy products tax-free for resale. You must present a resale certificate to the merchant when making a tax-free purchase. Do Massachusetts Resale Certificates Have an Expiration Date?
How Do I Get a Wholesale License in Massachusetts Taking This into Account?
There is no special wholesale license in Massachusetts. A reseller’s permit, which enables companies to buy goods at wholesale costs without paying sales tax, is an alternative. The procedures listed above should be followed to obtain a reseller’s permit.
Online sales are typically allowed in Massachusetts without a company license. A reseller’s permit is necessary to buy items at wholesale prices without paying sales tax and then resale them at a profit if you intend to buy and resell goods or products.