What is meant by the statement that an exemption certificate must be taken timely and in good faith?
For exemption purposes, the exemption certificate (partial or otherwise) will be considered timely if it is taken any time: • Before the retailer bills the purchaser for the qualified property, • Within the retailer’s normal billing or payment cycle, • At or prior to delivery of the qualified property to the purchaser or his or her representative, or • No later than 15 days after the date of purchase. A seller cannot accept an exemption certificate (partial or otherwise) in good faith when the seller knows or should have reasonably known that the property is not subject to an exemption or will not be used in an exempt manner.
