Do You Need a Resale License in Maryland?

It’s crucial to understand whether a resale license is required in Maryland if you intend to run a business there. You can purchase goods or services from a wholesaler without paying sales tax if you have a resale license, which is often referred to as a resale certificate. This can enable you to make big financial savings on your purchases as a business owner.

The possession of a Maryland resale certificate enables a business owner to make purchases free of sales tax. Businesses who have applied to collect and remit sales tax to the state of Maryland are given this certificate. You must submit an application to the Maryland Comptroller’s Office in order to get a resale certificate.

You must complete an application form found on the Comptroller’s website in order to obtain a resale certificate in Maryland. Your company name, address, tax identification number, and other pertinent data must be provided. The Comptroller’s office will assess your application when you submit it, and if it is accepted, you will be given your resale certificate. Does Hawaii Accept Resale Certificates from Other States?

Out-of-state sales certificates are recognized in Hawaii. You can acquire products from the Hawaii vendor without paying sales tax if you are a company owner and have a resale certificate issued by another state. The Hawaii Department of Taxation can help you determine whether your out-of-state resale certificate is recognized in Hawaii because not all states have the same requirements for resale certificates. In Hawaii, do I require a resale license? Yes, you must obtain a General Excise Tax (GET) license if you intend to run a business in Hawaii. The Hawaii Department of Taxation has granted you a license that entitles you to collect and pay the state’s GET on all taxable transactions. However, you can use your resale certificate to avoid paying sales tax if you intend to acquire products from a wholesaler.

In conclusion, it’s critical to comprehend the prerequisites for obtaining a resale certificate or license if you intend to manage a firm in Maryland or Hawaii. While a GET license is required to gather and send taxes to the state, a resale certificate might help you save money on purchases. Verify that you meet all standards to run your business ethically and legally by contacting the tax authority of your state.