How To Get A Vendor’s License In Ohio

Do you want to know more about this credential? Then stay on this page to end our discussion. First, We’ll tell you how to get a vendor’s license in Ohio.

Next, we’ll highlight taxable goods and services, the cost of obtaining such documents, and more. Without any delay, let’s begin discussing.

Reseller’s Permit Ohio

Are you a sales or tax account holder? Or do you have intentions of opening a new business? You’ll need to determine the appropriate license requirements for your company.

Luckily, Ohio has several authorizations for small and large-scale enterprises. One of them is the vendor’s license. This will allow you to sell goods and services within the state.

  • What’s a Vendor’s License?

This is simply an authorization to run a business and collect appropriate sales tax. The credential will also allow you to make wholesale purchases at lower prices than retail.

You’ll not pay sales tax on items when they’re resold. Furthermore, a vendor’s license will allow you to sell to other businesses. These include restaurants, e-commerce stores, and other transient companies.

Why Do You Need a Vendor’s License in Ohio?

Besides complying with sales tax laws, there’re other reasons for such authorization.

First, it’ll notify relevant authorities that a new business has been created. Such authorities are the local county auditor and the Ohio Department of Taxation.

Another reason to obtain this license is to help clients understand more about the business they’re dealing with. Therefore, vendors must post their permits in clear sight of the public.

That way, consumers can see the owner’s name, trade name, business address, contact details, and available goods and services.

However, you must know that obtaining a vendor’s permit to avoid paying tax is unacceptable. Ohio considers it a fraudulent act and a violation of the law.

Moreover, the license doesn’t exempt you from paying sales tax as expected. Anyone caught doing otherwise will face the wrath of the law.

How to Obtain a Vendor’s License in Oho

It doesn’t take a lot of work to acquire this credential in Ohio.

In a few steps, you can be done with the entire process. First, you’ll obtain the application form and complete it according to the instructions.

When you’re done, you forward the request form in-person or online.

For new businesses, filing your sales tax permit through an online tax registration application is strongly recommended. Click on this site for your online application.

This is the easiest and fastest way to acquire such a document.

Until then, you’ll need to hold certain information for your registration. They include the business name, mailing address, owner’s details, FEIN number, and description of business activity.

Moreover, you’ll need to provide your security number, the date taxable sales will begin, the projected amount of sales, the type of enterprise, and more.

You can get more clarity on the information needed to register a vendor’s license from Ohio’s relevant departments. You contact them in person or via the Internet.

Types of Vendor’s Licenses in Ohio

They’re about three types of permits a vendor can obtain in Ohio. Among them are Vendors, transient vendors, and sellers.

These authorizations can be acquired by signing up through Ohio Business Gateway. Alternatively, you can send a mail to the ST-1 form. The following sites can be of help.

https://gateway.ohio.gov/wps/portal/gateway/BusinessGateway

https://www.tax.ohio.gov/portals/0/forms/sales_and_use/Applications-2010/ST_ST1_FI.pdf

Let’s take a look at these classes of authorization.

  • Vendor 

This license type is designed for businesses with a fixed location where taxable sales are made.

You can acquire such credentials from your County Auditor’s Office. However, you’ll need to pay a fee of $25. Note that this fee may vary from county to county.

  • Transient Vendor

Vendors with no permanent business location will find this license appropriate. It’s designed for retailers who transport goods to a temporary place of business to make sales.

You can obtain this authorization directly from the Ohio Department of Taxation. But it will cost you about $25 more or less, depending on your county.

  • Seller 

Retailers located outside Ohio but making sales of property and services to residents will require this license.

How much it will cost to obtain such credentials depends on the county you wish to operate. But may pay higher charges than other authorities.

Cost of Acquiring a Vendor’s License in Ohio

It costs a little to obtain this credential. You’ll be required to pay an application fee of $25. Besides this fee, you’ll not be required to pay other charges.

But to clear the benefit of the doubt, contact the Department of Taxation in Ohio. They’ll provide you with all the details you need.

What About License Renewal?

In most cases, permits issued to business people and other professionals demand renewal. While some licenses last only a year, others may be valid for two years or more.

Once the validity date is over, you’ll be required to renew it. Now, does the vendor’s license needs renewal in Ohio? The answer is NO.

The vendor’s license in Ohio is registered only once, and there’s no need to renew it. However, you must be mindful to update your details if any changes occur.

For instance, if you change your mailing address, location, add or subtract employees, change ownership, etc., you must inform the Department of Taxation about such modifications.

How Long Does it Take to Acquire a Vendor’s License in Ohio?

The time it takes you to obtain this credential depends on your mode of application.

Usually, those who sign up online are issued permits immediately. However, those applying via mail may take up to ten business days. It’s up to you to decide which route to take.

Can Vendor’s License Be Transferred to Ohio?

Typically, you’ll need an active regular permit for each fixed place of business. Your license is only transferable from one existing business location to another within the same county.

Moving your business to a different county will require a new regular vendor’s license. You’re to obtain such credentials from the new county auditor.

Furthermore, if you have multiple businesses in one location, you may need permits for each. However, you can speak with the Department of Taxation if transferring a single license is possible.

We’ve discussed how to get a vendor’s license in Ohio. As you can see, the credential is in different categories. You’re to obtain the one specific to your type of business. Follow the guidelines to get this document successfully.

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