To sell wholesale goods in New York State, it is necessary to obtain a resale certificate by filling out tax form ST120 or by calling the Department of Taxation and Finance at 518-485-2289. The resale form is available for download by visiting the New York State tax website.
To legally sell wholesale goods in New York State, vendors must fill out and submit the required resale form.
Most goods sold in New York are subject to a sales tax, and items that have a sales tax exemption certificate are exempt from sales taxes. Businesses will need to research which wholesale goods fall under this exemption. For instance, certain food and drug items might be exempt. In return, the state issues the business an official Certificate of Authority. It is important to wait until this certificate is received before making taxable sales because New York issues stiff penalties of up to $10,000 for any sales made without this certification. The certificate serves as proof that a business is registered for sales tax purposes.
Businesses that have a Certificate of Authority are obligated to file and pay sales taxes on time. The state has a 20 day grace period after the end of the tax period for paying taxes that are due.