Virginia has a sales tax for most consumer and business transactions for products and services. However, businesses can often get a Virginia tax exemption on their own purchases. To get a Virginia sales tax exemption, a business should first get a sales tax account through the Virginia Department of Taxation. The business can then use various Virginia tax exempt forms to get an exemption on sales tax.
Register your business with the State Corporation Commission first if filing a Virginia corporation, limited liability company, registered limited liability partnership, limited partnership, partnership or business trust. By filing a business entity first, you can then use the registered Virginia business name when registering for a Virginia sales tax account and claiming Virginia tax exemptions.
Get a federal tax ID number if you have employees. Some other organizations without employees, such as nonprofit corporations and tobacco sellers, must also get a number. The federal tax ID number is called a “federal employer identification number” and is sometimes called an “EIN’ or even “FEIN.” You can find out the necessity of and application procedures for an EIN at the IRS.gov website. Just search for EIN at the site to find a wealth of information in the search results.
You next need to get a Virginia sales tax account. To get a sales tax permit and account, you can use the online Virginia Department of Taxation iREg service at https://www.ireg.tax.virginia.gov/VTOL/Login.seam. Alternatively, you can use a paper form, accessible at tax.virginia.gov/web_pdfs/busforms/fr199.pdf. If using the paper form, file it at the following address:
Virginia Department of Taxation
P.O. Box 1114
Richmond, VA 23218-1114
You may also fax the completed Virginia business and sales tax account registration form to 804-367-2603.
Hunt down the necessary Virginia tax exempt forms and applications. Probably the most common of these forms is the “Commonwealth of Virginia Sales and Use Tax Certificate of Exemption.” This is a Virginia resale certificate and is used when a reseller buys products for the purpose of resale. You can access this tax exempt form at tax.virginia.gov/taxforms/Business/Sales and Use Tax/ST-10.pdf. For this form, you just give a copy to the seller when you make a purchase that qualifies for a Virginia tax exemption for resale purchases.
Another common form is the nnprofit application for a Virginia tax exemption for sales tax. You can access this “Application for Sales and Use Tax Exemption for Nonprofit Organizations” at tax.virginia.gov/taxforms/Business/Sales and Use Tax/NPO Appl.pdf.
There are multiple other specialized Virginia sales tax exemptions and related forms. Go to tax.virginia.gov/site.cfm?alias=busforms&selOtherForm=9&CFID=9950827&CFTOKEN=28f3325f10c4148a-3C7E704E-FE77-970E-06B22B3093F3AB09#Retail Sales and Use and scroll down to the “Exemption Certificates” section to find these additional forms.
Virginia Online iReg Business Registration
Virginia Tax Exemption Certificates and Applications for Sales Tax