New York imposes a sales tax on most consumer transactions. Even businesses have to pay sales taxes, but there are limited New York tax exemptions to assist certain businesses or industries. A business should always seek to first register for New York business taxes, which includes an ID number for sales tax. They can then use that number and special New York sales tax exemption forms to avoid paying sales taxes on qualifying purchases.
A business should first register at the New York state level if necessary. In this state, the following businesses must register with the New York Department of State Division of Corporations, State Records and Uniform Commercial Code: corporations, limited partnerships, limited liability partnerships and limited liability companies. This includes nonprofit corporations. Do this first so that you can use the business entity as the registering party for New York sales tax and other business taxes. You can then use the business’s tax ID number when obtaining New York tax exemptions.
Head over to IRS.gov and run a search for “EIN registration.” An EIN is a federal employer identification number. Find out whether you need this number, which is generally required if your business is a nonprofit corporation or hires employees. You may need this number when applying for a New York sales tax license.
Apply for a sales tax ID number for the state of New York. You can access the form at selfpublishing.com/production-center/downloads/dtf17_407.pdf. This DTF-17 “Application to Register for a Sales Tax Certificate of Authority” is generally required for almost all businesses that sell products or services in New York. You will need to do this to later qualify for New York tax exemptions on your sales taxes.
Send the form to the New York State Department of Taxation and Finance at the following address:
NYS Tax Department
Sales Tax Registration Unit
W A Harriman Campus
Albany, NY 12227
You must submit this form at least 20 days before but not more than 90 days before starting to sell your products or services in the state of New York.
Retrieve the documents necessary for a New York sales tax exemption. First, you can get a New York resale certificate at cisco.com/web/ordering/cs_info/downloads/blankstate/NYresale.pdf. Give this to the seller when you buy goods for resale.
Second, some organizations, such as nonprofits, may have a standard New York tax exemption on all of their purchases. Other types of random transactions also have an exemption. Use the New York Department of Taxation and Finance “Sales Tax e-Certificates” page to read through and find forms for other types of transactions that are afforded a New York sales tax exemption. You can access this page at tax.state.ny.us/forms/sales_ecerts.htm. For nonprofits and other exempt organizations, use the “Application for an Exempt Organization Certificate” at tax.state.ny.us/pdf/2008/fillin/st/st119_2_1108_fill_in.pdf.
New York Resale Certificate for Sales Tax Exemption