Do I need a resale permit for all 50 states to start an online retail business?

The business my business partners and I is an online retail store. However, we are stuck with the question of whether we need a resale permit from every single state of the country if we are going to sell merchandise to all of them. We could really use the help.

Thanks,
estebanastorga

Currently, no, just for your state. In the future, probably for all.

Our wonderful elected representatives have been having this debate for years. Eventually, the lobbyists are going to get a bill passed that will cripple nearly every e store that is not Amazon in size. The city, state and federal taxation agencies are all sitting at the ready, just waiting for these regulations to go through.

I have a feeling in just a couple years, that trying to sell across state line will require a full time staff to fill out and mail in the different taxes. Just like the phone company, most people have NO idea how complicated telephone service taxation is and I am sure our government will get us smack dab in the middle of a huge cluster ****.

My main suggestion is that under your T&C's info (terms & conditions) you make it clear that you only collect and remit sales tax for sales in your state, furthermore, the buyer is responsible to remit any and all of his state's applicable taxes. If I was dealing with the general public I would even include the disclaimer right on their receipts.

Good luck in your new endeavor!

No, only those states where you have nexus as defined in Quill v South Dakota.

no, but you need to have tax forms and charge sales tax in your state or you will get in trouble

You will need to register in the state that you are operating in, but unless you have nexus in other states, you do not need to worry. Nexus is defined as having employees (sales people), your own delivery trucks, or locations in another state. You are not required to collect sales tax in any state other than your own as long as you don't have nexus.

not unless you're shipping product to those states...then it depends on what it is your shipping. e.g. wine; see each states req.

It's probably just the state you are incorporated in.

If you are a general partnership, then definately no.