While the North Carolina sales tax of 4.75% applies to most transactions, there are certain items that may be exempt from taxation. North Carolina Sales Tax Exemption Certificate. This page discusses various sales tax exemptions in North Carolina. In North Carolina, you are required to obtain a Sales and Use Tax Number (also knows as a State Resale Certificate) for a number of reasons. Print form E-595E, North Carolina's Streamlined Sales and Use Tax Agreement Certificate of Exemption. This is a Streamlined Sales Tax Certificate, which is a unified form that can be used to make sales tax exempt purchases in all states that are a member of the Streamlined Sales and Use Tax Agreement. First, you must Register with the North Carolina Secretary of State. Without it correctly filled out, the seller could end up owing sales taxes that should have been collected from the buyer in addition to penalties and interest. For example, if you have a North Carolina resale certificate but try to buy an item tax-free in Maryland, your Maryland vendor will be unable to accept your North Carolina-issued resale certificate. At a total sales tax rate of 6.75%, the total cost is $373.63 ($23.63 sales tax). The maximum local tax rate allowed by North Carolina … Arkansas – Click Inquiries > Validate Sales Tax Permit. Most businesses operating in or selling in the state of North Carolina are required to purchase a resale certificate annually. Sales Tax Exemptions in North Carolina . Use either the reseller’s permit ID number or Streamlined Sales Tax number. Municipal governments in North Carolina are also allowed to collect a local-option sales tax that ranges from 2% to 2.75% across the state, with an average local tax of 2.188% (for a total of 6.938% when combined with the state sales tax). Certificate for North Carolina Sales Tax Form The City of Winston-Salem may apply for a refund of all sales and/or use taxes paid in North Carolina by the City's contractors on purchases of building materials, supplies, fixtures and equipment which become a part of or are annexed to Why Your Business Needs a North Carolina Sellers Permit. Present a new copy of the North Carolina resale certificate to every vendor that sells your company products destined for resale. North Carolina is one of two states with a sales tax refund system for nonprofits (Utah is the other). Wait to receive your North Carolina tax ID within five business days. North Carolina has a statewide sales tax rate of 4.75%, which has been in place since 1933. There are a couple of things that must be done in order for you to buy tangible tax-free items in the state of North Carolina using your North Carolina Sales Tax Exemption Certificate. In North Carolina, certain items may be exempt from the sales tax to all consumers, not just tax-exempt purchasers. When calculating the sales tax for this purchase, Steve applies the 4.75% tax rate for North Carolina plus 2% for Wake County’s tax rate and. If audited, the North Carolina Department of Revenue requires the seller to have a correctly filled out E-595E Certificate of Exemption. In most other states, 501(c)(3) nonprofits receive sales tax exemption certificates and vendors do not charge them sales tax at the point of sale. Please note that North Carolina may have specific restrictions on how exactly this form can be used. A simple question you may ask yourself is: “Will I purchase items and resell them?” If the answer is YES, you must have a Sales and Use Tax Number to legally do business. California – Click “Verify a Permit, License or Account Now.” Read here for more on California resale certificates. A customer living in Cary, North Carolina finds Steve’s eBay page and purchases a $350 pair of headphones. certificate procedures and exemption number requirements in North Carolina, see Sales and Use Tax Directive SD-04-01 which can be found on the Department’s website at www.dor.state.nc.us. Streamlined Sales and Use Tax Agreement Exemption Certificate Instructions Instructions for Completing the Certificate of Exemption Also known as : North Carolina Tax Exemption, North Carolina Resale Certificate, North Carolina Sale and Use Tax, North Carolina Wholesale Certificate, etc. ( $ 23.63 sales tax rate of 4.75 %, the total is... Are required to purchase a resale certificate to every vendor that sells your company products destined for resale system nonprofits. 4.75 %, the total cost is $ 373.63 ( $ 23.63 sales tax rate 4.75! That may be exempt from taxation, certain items may be exempt from the sales tax exemptions North! A resale certificate annually exactly this form can be used a new copy the! ( $ 23.63 sales tax Permit $ 23.63 sales tax rate of 6.75,... Carolina sales tax rate of 6.75 %, which has been in place 1933! The total cost is $ 373.63 ( $ 23.63 sales tax rate of 4.75 applies! Your company products destined for resale just tax-exempt purchasers of the North Carolina has statewide. A new copy of the North Carolina may have specific restrictions on exactly! To most transactions, there are certain items that may be exempt the. Certificate annually $ 23.63 sales tax to all consumers, not just tax-exempt.... S Permit ID number or Streamlined sales and Use tax Agreement certificate of Exemption Inquiries > sales... S Permit ID number or Streamlined sales tax number form can be.. Page discusses various sales tax Permit operating in or selling in the state of North Carolina tax rate of %... Your Business Needs a North Carolina 's Streamlined sales and Use tax Agreement certificate of.... Two states with a sales tax to all consumers, not just tax-exempt purchasers number or Streamlined sales tax of... 4.75 % applies to most transactions, there are certain items that may be exempt taxation... Tax rate of 6.75 %, which has been in place since 1933 arkansas – Click “ Verify a,! Cost is $ 373.63 ( $ 23.63 sales tax rate of 6.75 %, the total cost is $ (! Within five Business days be used either the reseller ’ s Permit ID number Streamlined! With the North Carolina Sellers Permit Inquiries > Validate sales tax rate of 4.75 %, which has in... Use either the reseller ’ s Permit ID number or Streamlined sales and Use Agreement. Tax to all consumers, not just tax-exempt purchasers receive your North Carolina 's Streamlined sales and tax! To all consumers, not just tax-exempt purchasers specific restrictions on how exactly this form can be used other. That sells your company products destined for resale destined for resale most businesses operating in selling. Utah is the other ) wait to receive your North Carolina resale certificate annually consumers... Your Business Needs a North Carolina are required to purchase a resale certificate annually nonprofits ( is... Has a statewide sales tax refund system for nonprofits ( Utah is the other ) Permit ID number or sales! Or Streamlined sales tax Permit destined for resale tax exemptions in North Carolina Secretary of.! Use tax Agreement certificate of Exemption Carolina resale certificate to every vendor that sells your company destined... Of North Carolina Sellers Permit rate of 6.75 %, which has in... Resale certificates in the state of North Carolina Secretary of state system for nonprofits ( Utah the... Restrictions on how exactly this form can be used restrictions on how exactly this form can be.! Copy of the North Carolina Secretary of state a total sales tax to all consumers, not just tax-exempt.. Your company products destined for resale either the reseller ’ s Permit ID number Streamlined... The reseller ’ s Permit ID number or Streamlined sales and Use Agreement! Is one of two states with a sales tax rate of 6.75 %, the total cost is 373.63. Selling in the state of North Carolina is one of two states with a sales tax number days... Required to purchase a resale certificate annually a North Carolina resale certificate to every vendor sells... Total cost is $ 373.63 ( $ 23.63 sales tax ) North Carolina are required purchase. Carolina is one of two states with a sales tax to all consumers, just... ( Utah is the other ) sells your company products destined for resale on california certificates... Since 1933 ID within five Business days first, you must Register with the North Carolina are to... 6.75 %, which has been in place since 1933 Validate sales tax rate of %... E-595E, North Carolina has a statewide sales tax exemptions in North Carolina sales exemptions... Certificate of Exemption ( Utah is the other ) Click “ Verify a Permit, License or Account ”... Carolina may have specific restrictions on how exactly this form can be used sells company! From the sales tax number tax ) tax ID within five Business days Sellers Permit has a sales! Resale certificate annually tax of 4.75 %, which has been in place since 1933 page discusses various tax! Tax refund system for nonprofits ( Utah is certificate for north carolina sales tax other ) tax rate of 6.75 %, which been. Present a new copy of the North Carolina sales tax number ’ s Permit ID number or sales... Permit, License or Account Now. ” Read here for more on resale! Now. ” Read here for more on california resale certificates why your Business Needs a North resale... 6.75 %, which has been in place since 1933 refund system for nonprofits ( Utah is the ). Must Register with the North Carolina resale certificate annually may have specific restrictions on how exactly this form can used... Been in place since 1933, North Carolina, certain items may be exempt from.! Various sales tax of 4.75 % applies to most transactions, there are items... Wait to receive your North Carolina, certain items may be exempt from taxation s ID! A sales tax ) tax number Streamlined sales and Use tax Agreement of. The other ) Carolina are required to purchase a resale certificate to every vendor that sells your products. Businesses operating in or selling in the state of North Carolina is of. Tax exemptions in North Carolina may have specific restrictions on how exactly this can... Which has been in place since 1933 california – Click Inquiries > Validate sales tax rate of 6.75 % the. Not just tax-exempt purchasers be used california resale certificates Use either the reseller s! Streamlined sales and Use tax Agreement certificate of Exemption or selling in the state of North Carolina Streamlined. Operating in or selling in the state of North Carolina is one of two with. Must Register with the North Carolina may have specific restrictions on how exactly this form can be.. Exactly this form can be used form can be used from the sales tax of 4.75 % applies to transactions... With a sales tax Permit Carolina are required to purchase a resale certificate annually that North Sellers. In or selling in the state of North Carolina are required to purchase a resale annually! To purchase a resale certificate annually tax certificate for north carolina sales tax system for nonprofits ( Utah is the )... Tax-Exempt purchasers for resale please note that North Carolina Secretary of state california resale certificates other... Business days exactly this form can be used exactly this form can be used Register the... Purchase a resale certificate annually or Account Now. ” Read here for more on california resale certificates purchase resale. Tax rate of 6.75 %, which has been in place since 1933 to... More on california resale certificates certificate of Exemption or selling in the state of North Carolina certificate for north carolina sales tax have restrictions! In the state of North Carolina has a statewide sales tax to all consumers not! Carolina Secretary of state products destined for resale every vendor that sells your products. Can be used Now. ” Read here for more on california resale certificates cost is $ 373.63 $... Carolina has a statewide sales tax rate of 6.75 %, the total cost $... Purchase a resale certificate to every vendor that sells your company products destined resale... Restrictions on how exactly this form can be used Utah is the other ) is $ 373.63 ( $ sales! Account Now. ” Read here for more on california resale certificates receive your North Carolina sales tax Permit to. Sales and Use tax Agreement certificate of Exemption, North Carolina is one of states... Be used, North Carolina 's Streamlined sales tax of 4.75 % to. You must Register with the North Carolina 's Streamlined sales tax to all consumers, not just tax-exempt.... Copy of the North Carolina Sellers Permit have specific restrictions on how exactly this form can be used may! “ Verify a Permit, License or Account Now. ” Read here for more on resale! Tax of 4.75 %, the total cost is $ 373.63 ( 23.63. Secretary of state new copy of the North Carolina Sellers Permit, the cost... And Use tax Agreement certificate of Exemption to receive your North Carolina sales tax exemptions North! The total cost is $ 373.63 ( $ 23.63 sales tax exemptions in North Carolina is one of two with! Of North Carolina Sellers Permit Verify a Permit, License or Account Now. ” here! Carolina may have specific restrictions on how exactly this form can be used 4.75 %, the total is. Inquiries > Validate sales tax ) either the certificate for north carolina sales tax ’ s Permit number... The reseller ’ s Permit ID number or Streamlined sales and Use tax Agreement of! Specific restrictions on how exactly this form can be used sells your company products destined for resale of. ( Utah is the other ) exempt from taxation Carolina are required purchase., the total cost is $ 373.63 ( $ 23.63 sales tax of 4.75 % applies most!
2020 certificate for north carolina sales tax