What is a certificate of resale? Do I need one?
Not everyone has or needs a certificate of resale. It completely depends upon your particular circumstances whether the use of a resale certificate is applicable or not. Under many state laws, which vary by state, when you purchase tangible personal property for resale, the transaction is not subject to sales or use tax, provided the sale is properly documented. In other words, if you are going to resell the product purchased from Disc Outlet to other people, such as a retailer, and you have the proper documents, using a resale certificate it allows you to avoid paying taxes twice.