A Resale Certificate allows businesses to purchase items without paying the sales tax if the items will be resold in the normal course of operating the business. Dealers purchasing items for resale must provide their vendors with a City of New Orleans Resale Certificate to certify the items they purchase are for resale and to show the dealer should not be charged sales tax.
Effective January 1, 2009, Revised Statute 47:306 (B) was repealed and resale dealers are no longer required to pay local sales tax on tangible personal property purchased for resale.
Guidelines for Resale Certificate
The resale certificate may only be used to purchase items for resale. Purchases for use or consumption are still taxable. The retail dealer must pay the sales tax at the time of purchase or report the purchase for use on Line S14 of their sales tax return and pay the use tax when filing the sales tax return.
Resale certificates are valid for a period of two (2) years. Upon expiration of your current certificate, and if the business is still open and operating, the Bureau of Revenue will automatically renew the certificate for an additional two (2) years.
Obtaining a Resale Certificate
To obtain a resale certificate, please email the business name and account number to email@example.com.
Exemptions for Non-Profit Organizations
Non-profit organizations may also obtain sales tax, mayoralty permit, amusement tax, and occupational license tax exemptions for conducting activities benefiting their organization. An application for the exemption must be completed with proper documentation of non-exempt status of the organization.