How to Obtain a PA Sales Tax Exemption Certificate

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How do I get a PA sales tax exemption certificate?
The institution must issue an exemption certificate (REV-1220) to the seller in lieu of the payment of tax. Your organization may be required to file/register with the PA Department of State. The Department of State can be reached by calling (717) 787-1057 or through its web site at www.dos.state.pa.us.
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You could require a PA sales tax exemption certificate if your company or organization in Pennsylvania is exempt from paying sales tax. Using this certificate, you’ll be able to buy qualifying items without paying sales tax. This is how you obtain one.

Determine Your Eligibility in Step 1

Determine your eligibility before submitting an application for a PA sales tax exemption certificate. Some businesses that might be qualified are:

Charitable organizations, religious groups, educational institutions, government agencies, and institutions of higher learning. – A few nonprofit institutions

You can contact the Pennsylvania Department of Revenue for more details if you’re not sure if you qualify.

Step 2: Complete the Application You must complete an application to request a PA sales tax exemption certificate. This can be done by mail or online. Information about your organization and the justification for your exemption will be requested on the application.

Submission of Supporting Documentation (Step 3) To demonstrate your eligibility for the exemption, you might also need to submit supporting paperwork in addition to the application. This could involve:

– Articles of incorporation – IRS letter of decision — Bylaws Financial records

Be sure to carefully read the instructions and submit all necessary paperwork.

Wait for approval in step four

It can take a few weeks for your PA sales tax exemption certificate to be approved once you’ve turned in your application and supporting materials. You will be given a certificate that you can use to make tax-exempt purchases if your application is accepted. Do PA Sales Tax Exemption Certificates Have an Expiration Date?

Yes, certificates for PA sales tax exemptions expire after five years. To continue making tax-free purchases, you must renew your certificate before it expires. How Do I Fill Out the PA Tax Exempt Form?

You must include information about your organization, including your tax ID number and the justification for your exemption, on a PA tax exempt form. Along with information on the goods you’re buying, the form will also ask you about the seller you’re using. In Pennsylvania, do I require a resale certificate?

Instead of a sales tax exemption certificate, you will require a resale certificate if you are buying products with the goal of selling them on. With the help of this certificate, you are able to make tax-free purchases of goods that you will thereafter resell and charge sales tax on. How Do You Calculate Sales Tax?

You need to know the cost of the item you are buying and the local sales tax rate in order to calculate the sales tax. Add the item’s cost to the sales tax rate (as a decimal) to determine the tax. For instance, if the item costs $100 and the sales tax is 6%, the sales tax would be $6 (or 0.06 x $100).