Connecticut Resale Certificates: Do They Expire?

As long as a firm intends to resell the products, a Connecticut resale certificate is a crucial document that enables enterprises to purchase goods without paying sales tax. But do these certifications have a shelf life? Let’s look more closely. Certificates of Resale from Connecticut: Expiration

Resale certificates issued in Connecticut never expire. As long as your business is functioning and you keep purchasing goods for resale, you can utilize your resale certificate permanently. It’s crucial to remember that your certificate must always be current. You must obtain a new certificate if any of the details on your old one change, such as your company name or address.

The Internal Revenue Service (IRS) issues firms with a unique nine-digit number called an Employer Identification Number (EIN). You will require an EIN if you intend to operate as a company or partnership, hire staff, or both. You can submit an application by mail or online through the IRS website to obtain an EIN in Connecticut. Additionally, you can apply by phone or fax, albeit such processes might take longer. Number for Connecticut Tax Registration Businesses who register with the Connecticut Department of Revenue Services (DRS) are given a unique number known as a Connecticut Tax Registration Number (CT REG). Businesses that offer taxable products or services in Connecticut must have this number. You can register by mail or online through the DRS website to get a CT REG number. Additionally, you can enroll in person at a DRS office. What Items are Exempt from the CT Sales Tax? With a few exceptions, the majority of tangible products sold in Connecticut are subject to the state’s sales tax. Products like these are free from Connecticut’s sales tax: Prescription pharmaceuticals and medical supplies

– Agricultural products and livestock

Does Connecticut Accept Certificates of Out-of-State Resale?

Out-of-state resale certificates are accepted in Connecticut as long as they adhere to specified conditions. The certificate must list the buyer’s name and address, the seller’s name and address, a description of the goods being acquired, and it must be valid in the state where it was issued. Additionally, the certificate must specify that the goods are being bought for resale. Connecticut sales tax might be charged if the out-of-state certificate does not adhere to these specifications.

Resale certificates issued in Connecticut do not expire, but they must be kept current with appropriate information. You can register online, by mail, or in person to receive an EIN or CT REG number. Connecticut does not charge sales tax on some items, and provided that certain conditions are met, out-of-state resale certificates are allowed.