If you’re a business owner in the state of Mississippi, you’ll need to know how to get a Resale Certificate. This certificate allows you to purchase items tax-free for resale purposes. In order to obtain a Resale Certificate, you’ll need to provide some basic information about your business and submit an application.
The threshold for Mississippi nexus is $250,000 in sales only. This means that as long as your total sales within the state don’t exceed this amount, you won’t be required to collect and pay taxes on any of your sales transactions.
Mississippi – https://tap.dor.ms.gov/_/
Sales tax rate – 7.000%
Information required to register for a sales tax permit in the state of Mississippi
1) Business name, address, and contact information
2) Federal EIN number
3) Date business activities began or will begin
4) Projected monthly sales
5) Projected monthly taxable sales
6) Products to be sold
A Mississippi resale tax exemption certificate allows businesses to buy or rent property or products without having to pay tax. The certificate is valid for one year and must be renewed annually by businesses to maintain the exemption.
There are certain purchases or rentals that can be made without paying sales tax. You can use nails, fabric and wood to make a chair, or items that you will rent out as tangible personal property, real property, or services.
You may have to report any use taxes if you resell an item you purchased. Use taxes are similar to sales taxes but apply only when merchandise is brought into your state for use there–not when it’s sold.
When it comes to getting a Mississippi resale sales tax exemption certificate, there are a few things that vendors need to know. For starters, the vendor does not need to get one from their purchasers- the invoice should already identify the exempt items. Secondly, the annual resale certificate is meant to be used on items that are tax exempt based on their usage. This means that you can use the certificate to purchase items for personal use and later sell them as part of your business.
The initial certificate will suffice as long as all information is correct. There’s no need for you to send multiple copies. These are the things to remember if you want to obtain a certificate exempting resale tax.
There are 2 ways of sharing a reseller’s certificate by the reseller, this can be achieved, either through submitting an existing reseller certificate to the business or, by creating a reseller certificate on third-party platforms such as Avalara, Tax-exempt, etc.
Mississippi is a state in the Southeastern region of the United States, bordered to the north by Tennessee; to the east by Alabama; to the south by the Gulf of Mexico; to the southwest by Louisiana; and to the northwest by Arkansas. Mississippi’s western boundary is largely defined by the Mississippi River. Mississippi is the 32nd largest and 35th-most populous of the 50 U.S. states. Jackson is both the state’s capital and largest city. Greater Jackson is the state’s most populous metropolitan area, with a population of 591,978 in 2020.
On December 10, 1817, Mississippi became the 20th state admitted to the Union. By 1860, Mississippi was the nation’s top cotton-producing state and slaves accounted for 55% of the state population. Mississippi declared its secession from the Union on January 9, 1861, and was one of the seven original Confederate States, which constituted the largest slaveholding states in the nation. Following the Civil War, it was restored to the Union on February 23, 1870.Source