How To Get A Resale Certificate In Maryland?

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How To Get A Resale Certificate In Maryland
Purchases under $200 – Resale certificates may not be used to make tax-free purchases for resale if the purchase is less than $200 and payment is by cash, check or credit card unless the seller delivers the goods directly to the buyer’s retail place of business.However, you may present a resale certificate to make a tax-free purchase of goods for less than $200 if you are purchasing goods: (1) on credit by the seller; (2) which would be exempt even if not sold for resale; or (3) which are alcoholic beverages regulated by Article 2B of the Annotated Code of Maryland.

  • View a Sample Resale Certificate,
  • Your sales and use tax registration number is an eight-digit number that has been assigned to your business.
  • You’ll find your registration number on each sales and use tax return we send you and on your sales and use tax license.
  • You must clearly document the reason for all tax-exempt sales.

Otherwise you will be held responsible for uncollected tax, plus penalty and interest. You should establish procedures to obtain valid resale certificates at the point of sale, and review your files periodically for accuracy and completeness. Make certain that you do not allow resale exclusions on cash, check or credit card sales of less than $200 when you do not deliver the goods sold directly to the buyer’s retail place of business.

You should keep resale certificates on file as part of your business records. You must be able to match your sales records with the appropriate resale certificates for audit purposes. No. Retailers licensed and remitting taxes in other states may apply to the Maryland Comptroller’s Office for a refund.

However, an out-of-state vendor who has been issued a temporary permit to collect the Maryland tax may use the number on that permit to make tax-free purchases for resale at the show for which the permit was issued. Temporary permits bear six-digit numbers and are issued by the comptroller’s Special Events Section.

  1. No. If you frequently deal with the same supplier, you may provide that supplier with a blanket resale certificate stating that all purchases are for resale.
  2. Then all you have to do is give the supplier your sales and use tax registration number. No.
  3. Exemption certificates are issued by the Comptroller of Maryland to qualifying nonprofit organizations and government agencies to make purchases for their own use.

The exemption certificate is a wallet-sized card bearing the holder’s eight-digit exemption number. Certificates issued to nonprofit organizations have a specific expiration date, presently September 30, 2017 for religious, educational and charitable organizations, cemeteries, credit unions, and volunteer fire companies or rescue squads and September 30, 2017 for certain veterans organizations and their auxiliaries and units.

Certificates issued to government agencies have no expiration date. Organizations and government agencies presenting exemption certificates are exempt from the sales and use tax on purchases of materials and supplies to carry out their work. On the other hand, a resale certificate allows a person to make tax-free purchases for resale, not for use.

Although there is no specific form for a resale certificate, it must include a signed statement that the purchase is intended for resale, the purchaser’s name and address, and the purchaser’s Maryland sales and use tax registration number. In a typical transaction, you would sell merchandise to a vendor who is not registered to collect Maryland sales and use tax.

  • Require the vendor to obtain a Maryland sales and use tax license and provide a valid resale certificate; OR
  • Charge the vendor the tax based on the amount of the sale. You are responsible for collecting or documenting the tax on your sale to the vendor.

Buyers may claim a refund for any tax paid on purchases for resale, using line 11 of their next sales and use tax return. No documentation is required with the return. Buyers may also apply directly to the Maryland Comptroller’s Office for a refund. To claim a refund for taxes you have paid:

  • Keep invoices showing tax paid on purchases made for resale;
  • Total the tax paid as you prepare your sales and use tax return; and
  • Enter the amount on line 11 of the return up to the lesser of $1,000 or the amount due.

For expedited refunds, licensed Maryland retailers may submit a refund claim by fax using form ST212 to be faxed to 410-333-7744.

Do you need resale Certificate in MD?

You may make tax-exempt purchases of property and taxable services that you intend to resell or that you will incorporate into a product for sale. To receive this exemption, you must give the seller a resale certificate.

How long is a Maryland resale certificate good for?

ATTENTION – All Maryland 2022 SUTEC renewal applicants, verify your organization’s name is identical with the Internal Revenue Service (IRS) and Maryland Department of Assessment and Taxation (MDAT), IRS tax exemption status and current good standing status prior to completing and submitting your renewal application to prevent processing delays using the following links below:

  • IRS verification of name and tax exemption status: bServices Exempt Org Renewal – Exempt Org Renewal (marylandtaxes.gov) Enter IRS EIN number / Search
  • Maryland Department of Assessments and Taxation verification of good standing: https://egov.maryland.gov/BusinessExpress/EntitySearch Enter Business Name or Department number / Search

All other 2022 SUTEC renewal applicants located in DC, DE, VA, WV and PA, please verify your organization’s name is identical with the IRS and the state where the organization is physically located and registered, IRS tax exemption status and current good standing status prior to filing a renewal application to prevent processing delays using the following link below:

  • IRS verification of name and tax exemption status: bServices Exempt Org Renewal – Exempt Org Renewal (marylandtaxes.gov) Enter IRS EIN number / Search
  • Please have a current certificate of good standing from the state where your organization is physically located. You will be prompted to submit the certificate with the online 2022 SUTEC renewal application.
    • For Organizations Physically Located in Delaware You must attach a current non-returnable copy of a certificate of good standing from the Delaware Division of Corporations,
    • For Organizations Physically Located in Pennsylvania You must attach a current non-returnable copy of a certificate of good standing from the Pennsylvania Department of State,
    • For Organizations Physically Located in Virginia You must attach a current non-returnable copy of a certificate of good standing from the Virginia State Corporation Commission,
    • For Organizations Physically Located in West Virginia You must attach a current non-returnable copy of a certificate of good standing from the West Virginia Secretary of State,
    • For Organizations Physically Located in Washington, D.C. You must attach a current non-returnable copy of a certificate of good standing from the District of Columbia Department of Consumer and Regulatory Affairs,

In Addition, you must have the following information before you can renew your organization’s Maryland Sales and Use Tax Exemption Certificate:

  • Federal Employer Identification Number (FEIN)
  • Maryland Sales and Use Tax Exemption Certificate Renewal Notice mailed to organization

If the name of the organization has changed, you must upload a copy of the amended articles of incorporation. You must also upload documentation from the IRS if there has been a change in your organization’s FEIN. It is not necessary to renew exemption certificates issued to government agencies since those certificates do not expire.

  • All organizations are urged to submit the renewal through the application online.
  • If you are unable to complete the online web application, you may request a paper application by sending an email to [email protected] or contacting the Taxpayer Services Division.
  • Although paper submissions are accepted, the processing time will be delayed because all paper applications must be manually reviewed.
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Sales and Use Tax Exemption Certificate Renewal FAQs Purchases made by veterans organizations and their auxiliary units are exempt from Maryland sales tax if the purchases are made for the organization’s exempt purposes. The exemption became effective on July 1, 2006.

Exemption certificates issued to qualifying veterans’ organizations will expire on September 30, 2022. The new exemption certificate is a white card with green printing, bearing the organization’s eight-digit exemption number. Certificates are renewed every five (5) years. The organizations or their auxiliaries or units must possess a 501(c)(19) letter of determination from IRS as evidence of qualification for the exemption.

For more information on obtaining a letter of determination from IRS, visit the IRS Web site, To apply for an exemption certificate, print a copy of Maryland SUTEC Application and submit the completed application with a copy of the 501(c)(19) letter of determination, articles of incorporation and bylaws.

The application may also be obtained by calling Taxpayer Services Division at 410-260-7980, or toll-free 1-800-638-2937 from elsewhere in Maryland, Monday – Friday, 8:30 a.m. – 4:30 p.m. EDT A contractor may use an organization’s exemption certificate to purchase materials that will be used to construct, improve, alter or repair the real property of private, nonprofit charitable, educational, and religious organizations; volunteer fire companies and rescue squads; and nonprofit cemeteries.

The materials must be incorporated into the realty to qualify for the exemption. Sales of materials used to improve the realty of government entities, credit unions and veterans organizations are taxable, and their certificates may not be used by contractors.

  • 29 (religious organizations),
  • 31 (charitable and educational organizations), or
  • 33 (volunteer fire departments, rescue squads and ambulance companies).

Purchases made by using the following charge cards are subject to the Maryland sales and use tax since they are billed directly to the individual and are not treated as direct sales to the federal government:

  • 30 (government agencies), or
  • 32 (credit unions), or
  • 34 (veterans organizations).

The following sales made by nonprofit organizations are exempt from the Maryland sales and use tax:

  • Sales by churches or religious organizations for their general purposes.
  • Sales of food by schools other than post-secondary institutions.
  • Sales of food by a nonprofit organization if there are no facilities for food consumption on the premises and the food is not sold within an enclosure for which a charge is made for admission.
  • Sales of food served by a volunteer fire, ambulance or rescue company or an auxiliary if the proceeds are used to support the organization.
  • Sales of magazine subscriptions in a fundraising activity by an elementary or secondary school in the state if the net proceeds are used solely for the educational benefit of the school or its students.
  • Sales made in hospital thrift shops operated entirely by volunteers selling only donated articles for the benefit of the hospital.
  • Sales made by an auctioneer for a bonafide church, religious organization or other non-profit organization exempt from taxation under Section 501(c)(3) of the Internal Revenue Code if the proceeds are used for exempt purposes. Unless the organization is a church or religious organization, only the portion of the price that qualifies for a deduction as a charitable organization under IRS quidelines is exempt from the sales and use tax.
  • Sales by out-of-state nonprofit organizations that are exempt from income tax under Section 501(c)(3) or Section 501(c)(19) of the Internal Revenue Code that have a location in Maryland or are located in an adjacent jurisdiction and satisfy one of the following conditions:
    • The organization provides its services in Maryland on a routine and regular basis;
    • The adjacent jurisdiction does not impose a sales or use tax on a sale to a nonprofit organization made to carry on its work; or,
    • The adjacent jurisdiction has a reciprocal exemption from sales and use tax for sales to nonprofits located in adjacent jurisdictions similar to Maryland’s exemption.

Only churches, religious organizations and government agencies may use an exemption certificate to purchase items for resale without paying sales and use tax. All other organizations must issue a resale certificate, with their Maryland sales and use tax license number, to purchase items tax-free for resale.

Any organization making ordinarily taxable sales of tangible personal property, including meals, must obtain a sales and use tax license and collect and remit the tax, even though the organization has an exemption for items it purchases. The organization must collect tax on sales to anyone, including members, students and beneficiaries, even if the item has been donated or sold at or below cost.

Tax should not be collected on sales of goods to PTAs and similar groups associated with non-public schools if the property will be donated to an exempt school. Local PTAs may use their school’s exemption certificate when claiming exemptions. Tax should be collected, however, on sales of items to PTAs that they will use in their operations, but which are not donated to schools.

  • NOTE: The Maryland sales and use tax exemption certificate applies only to the Maryland sales and use tax.
  • A nonprofit organization that is exempt from income tax under Section 501(c)(3) or Section 501(c)(19) of the Internal Revenue Code, and holds a valid Maryland sales and use tax exemption certificate, is still be liable for other state and local taxes in Maryland, such as local hotel taxes.

Government employees may use the Maryland sales and use tax exemption certificate to make purchases of goods for the government unit. However, the sales and use tax law does not expressly exempt sales to a government employee who, for example, rents a hotel room or purchases a meal and pays for it with cash, personal check or personal credit card.

How do I get a sales tax exemption certificate in Maryland?

To apply for one, you must complete and submit the Combined Registration Application on-line or by paper. For more information on the resale certificate and to obtain the CRA application visit www.marylandtaxes.gov or contact Taxpayer Service Division at (410) 260-7980 for assistance.

What is a resale certificate in MD?

WHAT IS A MARYLAND RESALE CERTIFICATE? – A Maryland 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 the reseller 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 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.

What is resale certificate?

When purchasing items for resale, registered sellers may avoid the sales tax by giving their supplier adequate documentation in the form of a resale certificate. A resale certificate indicates the item was in good faith that the purchaser would resell the item and report tax on the final sale.

The name and address of the purchaser. The purchaser’s seller’s permit number (unless they are not required to hold one 1 ). A description of the property to be purchase. An explicit statement that the described property is being purchased for resale. The date of the document. The signature of the purchaser or someone approved to act on his or her behalf.

For more information, please see Sales for Resale (Publication 103),1 Some businesses are not required to hold a seller’s permit (for example, a business may not make sales in this state or it may not sell property that is subject to sales tax when sold at retail).

How do I get a permit to sell at the flea market in Maryland?

30-day permit or permanent license – To collect the sales and use tax you must first obtain a license. You should register as soon as possible. If you don’t register now and are later found to be making taxable sales without collecting the tax, you will be liable for back taxes.

You can get either a 30-day permit or a permanent license. If you sell at only one or two flea markets a year, a 30-day permit should be sufficient. If you sell frequently, you can benefit more from a permanent license. Permanent licensees don’t have to pay the tax on items they buy to resell if they present a resale certificate.

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However, there are limitations. Permanent licensees may also deduct a collection fee on the reporting form. The fee is deducted from the taxes collected. You can get the 30-day permit by calling the Special Events Section at 410-767-1543 or 410-767-1531.

Do I have to pay taxes on reselling items?

You’re an Investor – Unlike a hobbyist, an investor wants to earn a profit, but is not engaged in a full-fledged business. These people purchase property with a view to having it increase in value over time. For example, an investor coin collector purchases coins primarily to earn a profit by selling or trading them-not for enjoyment.

When an investor sells an item at a gain, the amount is a taxable capital gain that must be reported on IRS Schedule D. Income tax must be paid on the profit at capital gains rates. Net capital gains from selling collectibles (such as coins or art) are taxed at a maximum 28% rate. If an investor sells a collectible at a loss, the loss is a capital loss that may be deducted from any capital gains realized during the year.

If capital losses exceed capital gains for the year, a maximum of $3,000 of the loss may be deducted from other income with the remainder, if any, carried forward to future years.

What items are exempt from sales tax in Maryland?

Sales Tax Exemptions in Maryland – In Maryland, certain items may be exempt from the sales tax to all consumers, not just tax-exempt purchasers, Several exemptions to the state sales tax are certain types of prescription medication, some medical equipment and devices, certain types of food (specifically snack food), and certain items which are used for farming.

What is the difference between tax exemption certificate and seller permit?

What is a Resale Certificate? –

  1. A resale certificate is a document proving that you are a legitimate retailer or purchaser and are buying products to either resell or use as component parts of products you plan to resell.
  2. To use a resale certificate, you generally need to be registered to collect sales tax in at least one US state.
  3. Resale certificates are also sometimes called “reseller’s permits” or sometimes just the blanket term “exemption certificates.”
  4. Your resale certificate is generally the same thing as your sales tax permit (sometimes called sales tax license.)
  5. However, in some cases, a state may issue a reseller a separate “resale certificate” number.
  6. Though it has the word “certificate” in the name, a resale certificate these days isn’t always a specific piece of paper.
  7. While some states do issue retailers a specific resale certificate to present to their vendors, most just require that you fill out certain information.

How do I get a tax exempt number in Maryland?

In an attempt to provide information to individuals desiring to start a non-profit organization in Maryland, the Charitable Organizations Division of the Office of the Secretary of State has gathered information set forth below on the necessary steps to form a non-profit organization.

  1. While every attempt has been made to ensure the accuracy of the information, please be advised that specific questions and information should be directed to the appropriate agency.
  2. Federal Income Tax Exemption Most charitable organizations are classified by the Internal Revenue Service as tax-exempt organizations.

The benefit of obtaining the tax-exempt status is that the organization is not liable for any federal income tax. Applications for this status are made to the Internal Revenue Service. If tax-exempt status is granted, the organization will receive a tax determination letter.

It is usually during this process that your organization will be designated an employee identification number or federal identification number. (Please note that these terms are used interchangeably.) This number is also required for many of the exemptions described below Being a tax-exempt entity does not automatically make donations to your organization tax deductible for the donor.

Since most charitable organizations are considered section 501(c)(3) organizations, donations to these charities are generally tax deductible for the donor. Your organization’s tax determination letter will state whether contributions to your organization are considered tax deductible.

  1. Form SS-4: Application for Employer Identification Number;
  2. Form 8718: User Fee for Exempt Organization Determination Letter Request; and Either:
  3. Form 1023: Application for Recognition of Exemption for 501(c)(3) Organizations; or
  4. Form 1024: Application for Recognition of Exemption for all other exempt statuses.

State Income Tax Exemption Upon receiving an IRS tax determination letter stating that your organization is exempt from federal income taxes, your organization may also apply for an exemption from state income taxes. The Comptroller of the Treasury is the state agency responsible for acknowledging an exemption from Maryland income tax.

  1. Request for exemption from Maryland income tax;
  2. An explanation of the nature, purpose, and scope of your organization;
  3. A copy of the IRS tax determination letter;
  4. A copy of your organization’s by-laws; and
  5. A copy of the latest financial statement of your organization.

When the request for an exemption has been granted, no income tax returns need to be filed with the Comptroller unless your organization files an IRS Form 990-T. (The Form 990-T is required if your organization has unrelated business income.) The request for a state income tax exemption and the supporting documentation should be forwarded to the Comptroller of the Treasury, Revenue Administration Division, 110 Carroll Street, Annapolis MD 21411 and to the attention of the Legal Department.

  • The telephone numbers of the Revenue Administration Division are 1-800-MD TAXES (638-2937) and 410-260-7980.
  • Formal Structure of a Tax Exempt Entity Before the Internal Revenue Service can issue your organization tax-exempt status, your organization must be formed as either an association, corporation, or trust.

A copy of the organizing document (i.e., articles of incorporation approved and dated by appropriate state official, constitution or articles of association, or signed and dated trust instrument) must be filed with the IRS’s Application for Recognition of Exemption.

In Maryland, corporate charter information is filed with the State Department of Assessments and Taxation. To assist non-profit organizations, the agency has prepared a guideline for articles of incorporation for non-profit organizations which can be obtained by contacting the agency. The agency’s address is 301 West Preston Street, Baltimore MD 21201, and its telephone number is 410-767-1340.

Forms and information can be obtained from the agency’s web site, Registration with the Office of the Secretary of State as a Charitable Organization Organizations soliciting charitable contributions in Maryland are generally required to register with the Office of the Secretary of State as a charitable organization.

Registration is required before soliciting in Maryland begins and continues on an annual basis. If your newly formed organization will be soliciting Maryland residents for charitable contributions (either monetary or in-kind donations), your organization will probably be required to register with the Charitable Organizations Division.

In most cases, the Exempt Organization Fund-Raising Notice will be the appropriate registration form for new organizations. This notice is required for organizations raising less than $25,000 in charitable contributions a year. You should also note that if your organization intends on raising funds in other states, you may also be required to register in the other states Registration forms may be obtained by visiting the Forms page on our website or: You may contact us by:

  • Mail: Charitable Organizations Division, Office of the Secretary of State, State House, Annapolis MD 21401
  • Telephone: 410-974-5534
  • Email : [email protected]

Property Tax Exemption Certain charitable, fraternal, educational, and religious organizations may be eligible for an exemption from state property tax. Once the property tax exemption is granted, the exempt status continues until it is revoked. State law, however, grants the State Department of Assessments and Taxation the authority to conduct periodic reviews of the granted exemptions to ensure continued compliance with the requirements.

  1. While the tax-exempt status issued by the IRS is required to process the exemption application, the status granted by the IRS does not automatically guarantee that the organization’s property will be exempt.
  2. Based upon the type of organization, there are different standards used to review a property tax exemption.

To receive an exemption application form or information about the exemption, please contact the State Department of Assessments and Taxation office for the county in which the property is located. You may find a list of SDAT local offices, additional information, and copies of the required forms on SDAT’s web site,

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Sales and Use Tax Exemption Non-profit charitable, educational or religious organizations, volunteer fire or ambulance companies or volunteer rescue squads may also be eligible for sales and use tax exemptions. In Maryland, the Comptroller of the Treasury is responsible for granting this five-year renewable exemption.

In order to be granted an exemption, your organization must have received a determination letter from the Internal Revenue Service stating that your organization is exempt under section 501(c)(3) of the Internal Revenue Code. The applicable form can be obtained by contacting the Comptroller at 410-260-7980, or downloading the form from the Comptroller’s website,

  • The form needed to apply for an exemption from sales and use taxes is the Combined Registration Application.
  • If you have any questions concerning sales and use tax exemption, please contact the Comptroller of the Treasury at Goldstein Treasury Building, 110 Carroll Street, Annapolis MD 21404-0466 or at ​410-260-7980.

Forms are also available at the Baltimore branch office located 301 West Preston Street, Room 206, Baltimore MD 21201-2384.

Does Maryland give tax credit on trade in?

Bumble Auto All About Trade-in Tax Credit in Maryland State

Are you thinking of changing your old car to a new one? Looking forward to getting some idea of saving the expenses in changing a car? Well, this is the right blog to provide you with vehicle trade-in tax credit. Trading your vehicle to the dealers for getting another car is far more than handling the car keys.

So much information can help you get hands-on a new car at lesser expenses than your expectations. This is the first car trade-in guidance to give a good idea of the whole process. The states in U.S and Canada have different rules and regulations. The sales tax also varies from one state to the other. Tax exemption also varies depending upon the maximum payment rates in car trading.

This article is all about how car trade-in works and what benefits you can get from this offer. Let’s unfold the guidelines about Maryland car trade-in tax credit and other tax information that you must know. The trade-in tax credit is the amount of tax that applies when you trade in your old car to a dealership to purchase a new vehicle.

If you finalize changing your vehicle with this route, a fixed percentage of tax is applied to your new purchase, which saves your money; however, if you want to sell your car privately, you may have to pay tax on the sale. Trade-in tax credit is applied when you purchase a new vehicle at the same time from the same dealer.

What is a Resale Certificate and How Can You Get One?

The rates of trade-in tax credit vary differently for different states. Many states provide the trade-in tax exemption that saves you a good amount of money and makes the process easy and smooth as you don’t have to change dealers for getting a new car.

  • Trade-in tax credit is very beneficial in the states where it applies for car trading.
  • It lowers the sales tax on the vehicle to a great extent; moreover, it benefits the buyer by having a new car at a lower price.
  • One of the top tips for car trade-in is to thoroughly research this process from the government’s official car transportation and registration website.

It works when you buy the car from the same dealer at the same time. For instance, the new vehicle you want to purchase costs $20,000, and you are a resident of the state where trade-in car credit worth $3000 applies; you may only have to pay sales tax of $17,000.

  1. It means, you won’t have to hustle much to find a new car dealer to purchase a new car.
  2. It also reduces your time and saves your energy in the whole process.
  3. There are only a few states that don’t apply trade-in credit for car purchasing.
  4. Most of the states in the U.S and Canada offer this great deal to their valuable citizens.

The good news is that Maryland is included in states that provide a trade-in tax credit. You qualify for a trade-in tax credit in Maryland if you sell and purchase a new car from the same dealer. A remarkable fact is that vehicles titles from other states are also eligible to get a trade-in tax credit as long as the vehicles owned by the relative – means spouse, son, daughter, brother, sister or grandson of the car purchase.

  • In 42 states of the U.S trade-in credit applies; when you deal with car trading to buy a new one.
  • It depends upon several factors that must be considered before finalizing the vehicle.
  • The amount of credit tax depends on what you are buying and your state’s sales tax policies.
  • The rules have been changed from January 2021 for the trading of vehicles in various states.

From the start of 2021, the trade-in credit value is practical up to a maximum of $7,000. To get a current idea of your trade-in tax credit calculation in the U.S, visit the government’s vehicle registration website; furthermore, check out your state’s tax exemption for the year 2021 if you are purchasing a car from out of state or by your relative’s car.

  • The tax exemption saves you money; although, you may need to pay some extra cents for dealership fee that is almost $99 in the U.S.
  • To calculate the trade-in tax credit in Maryland, you can get the idea from the percentage of trade-in tax credit against your new car’s purchase.
  • On average, 5.75% applies as a car trade-in services in Maryland while purchasing a new car according to new rules and regulations.

The potential saving costs for $288 trade-in worth $5000. You can calculate the trade-in incentive, on your vehicle, by applying this percentage to your new car price. Remember that, sales tax applies to the total price of the car without considering the trade-in credit; however, if you consider this option, you may be able to compensate this sales tax in the trade-in credit of your vehicle.

What is resale certificate?

When purchasing items for resale, registered sellers may avoid the sales tax by giving their supplier adequate documentation in the form of a resale certificate. A resale certificate indicates the item was in good faith that the purchaser would resell the item and report tax on the final sale.

The name and address of the purchaser. The purchaser’s seller’s permit number (unless they are not required to hold one 1 ). A description of the property to be purchase. An explicit statement that the described property is being purchased for resale. The date of the document. The signature of the purchaser or someone approved to act on his or her behalf.

For more information, please see Sales for Resale (Publication 103),1 Some businesses are not required to hold a seller’s permit (for example, a business may not make sales in this state or it may not sell property that is subject to sales tax when sold at retail).

How do I get a permit to sell at the flea market in Maryland?

30-day permit or permanent license – To collect the sales and use tax you must first obtain a license. You should register as soon as possible. If you don’t register now and are later found to be making taxable sales without collecting the tax, you will be liable for back taxes.

  • You can get either a 30-day permit or a permanent license.
  • If you sell at only one or two flea markets a year, a 30-day permit should be sufficient.
  • If you sell frequently, you can benefit more from a permanent license.
  • Permanent licensees don’t have to pay the tax on items they buy to resell if they present a resale certificate.

However, there are limitations. Permanent licensees may also deduct a collection fee on the reporting form. The fee is deducted from the taxes collected. You can get the 30-day permit by calling the Special Events Section at 410-767-1543 or 410-767-1531.