As a seller, you may conduct business with other sellers who purchase products for resale. In these cases, a resale certificate must be provided so the buyer can buy products without paying sales tax.
Before completing the transaction, you should verify the certificate. If the document is invalid, you could be held responsible for the unpaid sales tax.
There is no single standard California resale certificate form, but certain details must be included for it to be valid:
The certificate must be given before billing or delivery. Be sure to keep the document for future tax review.
The most reliable way to verify a CA resale certificate is to check the seller’s permit number. The California Department of Tax and Fee Administration (CDTFA) provides an online seller’s permit verification tool. You can also call 1-888-225-5263 for help with California resale number lookup.
A resale certificate is only valid if it includes an active seller’s permit number issued by the California Department of Tax and Fee Administration (CDTFA). By verifying the seller’s permit, you confirm that the buyer is properly registered to purchase goods for resale. Without a valid permit, the resale certificate cannot be accepted.
You can verify a California resale certificate by checking the seller’s permit number with the CDTFA’s online seller’s permit verification tool or by calling their office. This ensures the permit is valid and active.
A valid certificate must include the purchaser’s name and address, seller’s permit number, a description of the items being purchased, a resale statement, the date, and the purchaser’s signature. Missing details may make the certificate invalid.
Yes. The CDTFA provides a state of California resale certificate verification portal that lets you perform a quick California resale certificate lookup. This is the easiest way to confirm a seller’s permit number.
Yes. If you fail to verify a resale certificate and it turns out to be invalid, the responsibility for sales tax can fall on you as the seller. Always verify California resale certificates before completing tax-free transactions.
Yes. Even if located outside the state, buyers purchasing goods for resale in California must provide a valid California resale certificate.
Before you can legally sell tangible products in California, you’re required to have a seller’s permit (some people refer to this as a resale permit license). This also means that you must have a seller’s permit before you can provide a California resale certificate to other sellers. This permit is needed not only to conduct business but also for California sales tax registration.
At FastFilings, we provide a quick and easy online platform that allows you to apply for a seller’s permit in just a few minutes. Our system saves you time and frustration, allowing your business to open its doors sooner. After you’ve provided the required information, we send your application directly to the California Department of Tax and Fee Administration.
Apply for your California seller’s permit online today with FastFilings.
