Resellers may qualify for tax exemption with a valid resale tax ID. Business-use buyers in the US are generally required to pay applicable sales tax on orders of taxable products.
Why am I charged sales tax if I’m a business-use buyer?
Business-use buyers are charged applicable sales tax on orders of taxable products placed on Faire because the products are being used within the business rather than resold. Sales tax rates and rules vary based on factors like the shipping address and the type of product being purchased. Any applicable sales tax will be shown at checkout and on the invoice after the order is completed.
Do I need a resale tax ID as a business-use buyer?
No. You do not need a resale tax ID as a business-use buyer. However, you will be charged any applicable sales tax on your order.
Can I switch from business-use buyer to reseller?
Yes. If you begin reselling products to end customers and have a valid resale tax ID, you can update your account information for tax exemptions.
- Go to your account Settings
- Navigate to the Profile tab
- Find the Resale credentials section
- Check the checkbox I am reselling products and enter a complete resale tax ID for your state
- Save your profile changes
Can I switch from reseller to business-use buyer?
Yes. If you stop reselling products or no longer have a valid resale tax ID, you may update your account to purchase for business use.