A vendor asked for my resale form, what is it and why do they need it?
A resale form is given to a vendor when you are making a purchase that you are not required to pay sales tax on because you plan to re-sell the item to your client and collect sales tax from them. For instance, and fine artist can purchase paint, canvas, and stretcher from a supplier without paying sales tax if he or she provides a resale certificate. In turn when the painting is complete and sold to a customer, the painter must collect the sales tax from the customer, which will then be paid to the state tax department. Be very careful with the use of resale certificates. You must have a tax certificate from New York State to be allowed to use a resale certificate. Resale certificate forms are available online at www.state.tax.ny.us for download as PDF.
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- A vendor asked for my resale form, what is it and why do they need it?
