Description

A Resale Certificate allows businesses to buy products tax-free if they plan to resell them. It helps you avoid paying sales tax on wholesale purchases, which can save you money. Without a resale certificate, you would have to pay sales tax on every purchase, increasing your costs.

Each state has different rules for getting a resale certificate, and some require you to register for a sales tax permit first. If you don’t have one, suppliers may refuse to sell to you at wholesale prices. Not using a resale certificate properly can also lead to fines or penalties. Having it helps you save money, buy from wholesalers easily, and keep your business tax-compliant.