Saturday, January 22, 2011

Sales Tax For Re-Sell

QUESTION: 
I attended a PTA & the Law workshop and learned that PTAs  do not have to pay sales tax on items that they purchase to resell.   Earlier this year we held a spirit wear sale at our school, and paid sales tax when we purchased the items we sold.  Is there any way to get a refund on the sales tax?

ANSWER: 
Yes.  You can apply to the Department of Revenue for a refund of tax paid on items that were resold, by completing the application and  sending it to the Department.  If your PTA wants to avoid paying sales tax  on items for resale in the future, you should apply for a Reseller’s Permit, which you can do either online or via a paper application.