Do I need a resellers permit?

October 27, 2023

In Washington State, you typically need to obtain a reseller's permit if you plan to purchase goods for resale. This permit allows you to buy goods without paying sales tax on them, but you are required to collect sales tax from your customers when you sell those goods.

Here are some common scenarios in which you would need to obtain a reseller's permit in Washington:

Retail Businesses: If you own a retail business and plan to sell tangible personal property (such as clothing, electronics, or furniture), you will need a reseller's permit. This allows you to buy inventory without paying sales tax, but you'll charge your customers sales tax when they purchase items from your store.

Wholesalers and Distributors: Businesses involved in wholesale or distribution activities also need a reseller's permit. This allows them to purchase products for resale without paying sales tax. However, sales tax must be collected from retailers to whom they sell their products.

Online Sellers: If you operate an e-commerce business and sell goods to customers in Washington State, you typically need a reseller's permit. You will charge and collect sales tax from your Washington customers.

Manufacturers: Manufacturers that sell their products at wholesale or retail need a reseller's permit. You can buy raw materials and equipment without paying sales tax, but you'll collect sales tax when you sell the finished products.

Agricultural Producers: Some agricultural producers and farmers who sell their products directly to consumers may need a reseller's permit.

To obtain a reseller's permit in Washington State, you can typically apply through the Washington Department of Revenue (DOR). Click here for more information on resellers permits in Washington State through the WA State Department of Revenue.

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