What is a State Tax Exempt ID? And, how do I apply for one in Virginia?
A seller is subject to the sales tax imposed on gross receipts from retail sales. “Retail sales” means sales made for any purpose other than for resale. The tax may also apply to the furnishing of transient accommodations and the lease or rental of personal property. The seller collects the tax on each sale from the customer. The tax must be separately stated and added to the sales price or charge. The general sales tax rate is 5% (4% state tax and 1% local tax). In Bulletin 5-78, sales of eligible food items are subject to a reduced state tax rate of 1.5% which became effective July 1, 2005. A seller is subject to the sales tax imposed on gross receipts from retail sales. “Retail sales” means sales made for any purpose other than for resale. The tax may also apply to the furnishing of transient accommodations and the lease or rental of personal property. Businesses subject to sales tax must submit a monthly report to the department.
