ALABAMA RESALE CERTIFICATE

An Alabama resale certificate (also commonly known as a resale license, reseller permit, reseller license and tax exemption certificate) is a tax exempt form that permits a business to purchase goods from a supplier, that are intended to be resold without having to pay sales tax on them. It allows suppliers to know that you are legally allowed to purchase the goods without them having to charge you sales tax, since you will be reselling the goods and collecting sales tax from the end user consumer (end user). There is no limitation on where a reseller permit can be used as long as the seller accepts it. Also, any items can be purchased using the permit assuming that the items will be resold. Common details listed on the resale certificate include the name (company or individual) and address of the buyer, a descriptive detail of the goods being purchased, a reference that this merchandise is intended to be resold and the accurate sales tax number. It is important that you follow the correct procedure and protocol involved in the resale certificate process. Any errors occurring during this process could cause delays or penalties to be incurred by either party.

 

HOW TO GET A RESALE CERTIFICATE IN ALABAMA

In the state of Alabama, it is not required to complete a resale certificate form. Instead, it is only necessary to provide a copy of the Alabama Sales Tax Permit. Register for an Alabama Sales Tax License Online by filling out and submitting the “State Sales Tax Registration” form. This permit will furnish your business with a unique sales tax number (Alabama Sales Tax ID Number). Once you complete the online process, you will receive a confirmation with all relevant important information within 1-2 business days and shortly after that, you will receive your documents directly from the Alabama Department of Revenue. For the fastest processing time, please have the following information ready to complete the online application:

  • Business name, physical/ mailing address & phone number
  • A short description of the business
  • The owner or officer’s Information
  • Payment information