The Nebraska Sales Tax Form, specifically referred to as the "Nebraska Resale or Exempt Sale Certificate for Sales Tax Exemption" or Form 13, plays a critical role for purchasers and sellers in defining the nature of transactions that are exempt from the state's sales tax. It meticulously outlines various scenarios under which purchases can be made without the addition of sales tax, including but not limited to resale, exempt purchases, and specific contractor-related acquisitions. It is paramount that both parties, the purchaser and the seller, understand the accurate completion and retention requirements of this form to ensure compliance and avoid potential penalties.
Navigating the complexities of Nebraska's Sales Tax Exemption requirements becomes considerably easier with the Nebraska Resale or Exempt Sale Certificate Form 13, a crucial document for businesses engaging in tax-exempt purchases within the state. This form serves multiple purposes, including transactions for resale, exempt purchases by qualifying entities, and specific uses by contractors that are not subject to sales tax. The form clearly differentiates between single purchase certificates and blanket certificates, the latter remaining valid until formally revoked, offering flexibility and ease for ongoing business transactions. It mandates detailed descriptions of purchased items or services and requires the purchaser to substantiate their eligibility for tax exemption under clearly defined categories. Moreover, it outlines severe penalties for misuse or fraudulent certification, emphasizing the importance of accuracy and integrity in its application. Form 13 embodies a critical balance between facilitating tax-exempt business activities and safeguarding state tax revenues, reflecting a well-structured approach to tax exemption administration. It is essential for businesses operating in Nebraska to understand and correctly utilize this form to ensure compliance with the state's tax laws, benefiting both the state economy and the businesses themselves.
Nebraska Resale or Exempt Sale Certificate
for Sales Tax Exemption
• Readinstructionsonreverseside/seenotebelow
FORM
13
NAME AND MAILING ADDRESS OF PURCHASER
NAME AND MAILING ADDRESS OF SELLER
Name
Street or Other Mailing Address
City
State
Zip Code
Check Type of Certificate
Single Purchase
Blanket If blanket is checked, this certiicate is valid until revoked in writing by the purchaser.
I hereby certify that the purchase, lease, or rental by the above purchaser is exempt from the Nebraska sales tax for the following reason:
Check One
Purchase for Resale (Complete Section A)
Exempt Purchase (Complete Section B)
Contractor (Complete Section C)
SECTION A — Nebraska Resale Certificate
Description of Item or Service Purchased
I hereby certify that the purchase, lease, or rental of
from the above seller is exempt from the Nebraska sales tax as a purchase for resale, rental, or lease in the normal course of our business, either in the form or condition in which purchased, or as an ingredient or component part of other property to be resold.
I further certify that we are engaged in business as a:
of Description of Product Sold, Leased, or Rented
Wholesaler
Retailer
Manufacturer
Lessor
If None, State Reason
and hold Nebraska Sales Tax Permit Number 01-
or Foreign State Sales Tax Number
SECTION B — Nebraska Exempt Sale Certificate
The basis for this exemption is exemption category
(Insert appropriate category as described on reverse of this form.)
If exemption category 2 or 5 is claimed, enter the following information:
Description of Item(s) Purchased
Intended Use of Item(s) Purchased
If exemption categories 3 or 4 are claimed, enter the Nebraska Exemption Certiicate number. 05 -
If exemption category 6 is claimed, seller must enter the following information and sign this form below:
Description of Item(s) Sold
Date of Seller’s Original Purchase
Was Tax Paid when Purchased by Seller?
Was Item Depreciable?
YES
NO
SECTION C — For Contractors Only
1.purchasesofbuildingmaterialsorfixtures:
As an Option 1 or Option 3 contractor, I hereby certify that purchases of building materials and ixtures from the above seller are exempt from
Nebraska sales tax. My Nebraska Sales or Consumer’s Use Tax Permit Number is:
01-
2.purchasesmadeunderpurchasingagentappointmentonbehalfof_________________________________________________:
(exempt entity)
Pursuant to an attached Purchasing Agent Appointment and Delegation of Authority for Sales and Use Tax, Form 17, I hereby certify that purchases of building materials, and ixtures are exempt from Nebraska sales tax.
Any purchaser, or their agent, or other person who completes this certificate for any purchase which is other than for resale, lease, or rental in the regular course of the purchaser’s business, or is not otherwise exempted from the sales and use tax under Neb. Rev. Stat. §§77-2701 through 77-27,135, shall in addition to any tax, interest, or penalty otherwise imposed, be subject to a penalty of $100 or ten times the tax, whichever amount is larger, for each instance of presentation and misuse. With regard to a blanket certificate, this penalty shall apply to each purchase made during the period the blanket certificate is in effect. Under penalties of law, I declare that I am authorized to sign this certificate, and to the best of my knowledge and belief, it is correct and complete.
sign
here
Authorized Signature
Title
Date
NOTE: Sellersmustkeepthiscertiicateaspartoftheirrecords. DonotSenDtothenebRaSkaDepaRtmentofRevenue.
Incompletecertiicatescannotbeaccepted.
www.revenue.ne.gov,(800)742-7474(tollfreeinneandIa),(402)471-5729
6-134-1970 Rev. 3-2009 Supersedes 6-134-1970 Rev. 10-2007
INSTRUCTIONS
Who maY ISSue a ReSaLe CeRtIfICate. Form 13,
(3) a statement of basis for exemption including completion of all
Section A, is to be issued by persons or organizations making
information for the basis chosen, (4) the signature of an authorized
purchases of property or taxable services in the normal course of
person, and (5) the date the certiicate was issued.
their business for the purpose of resale either in the form or condition
penaLtIeS.Any purchaser who gives a Form 13 to a seller for
in which it was purchased, or as an ingredient or component part of
any purchase which is other than for resale, lease, or rental in the
other property.
normal course of the purchaser’s business, or is not otherwise
Who maY ISSue an eXempt SaLe CeRtIfICate.
exempted from sales and use tax under the Nebraska Revenue Act,
Form 13, Section B can only be issued by persons or organizations
shall be subject to a penalty of $100 or ten times the tax, whichever
exempt from payment of the Nebraska sales tax by qualifying for
amount is larger, for each instance of presentation and misuse.
one of the six enumerated Categories of Exemption (see below).
Any purchaser, or their agent, who fraudulently signs a Form 13
Nonprofit organizations that have a 501(c) designation and are
may be found guilty of a Class IV misdemeanor.
exempt from federal and state income tax are not automatically
CATEGORIES OF EXEMPTION
exempt from sales tax. Only the entities listed in the referenced
1. Purchases made directly by certain governmental agencies
regulations are exempt from paying Nebraska sales tax on their
purchases when the exemption certiicate is properly completed and
identiied in Nebraska Sales and Use Tax Reg-1-012, Exemptions;
provided to the seller. Organizations claiming a sales tax exemption
Reg-1-072, United States Government and Federal Corporations;
may do so only on items purchased for their own use. For health care
and Reg-1-093, Governmental Units, are exempt from sales tax.
organizations, the exemption is limited to the speciic level of health
A list of speciic governmental units are provided in the above
care they are licensed for. The exemption is not issued to the entire
regulations. Governmental units are not assigned exemption
organization when multiple levels of health care or other activities are
numbers.
provided or owned by the organization. Items purchased by an exempt
Sales to the United States government, its agencies, and
organization that will be resold must be supported by a properly
corporations wholly owned by the United States government are
completed Nebraska Resale Certiicate, Form 13, Section A.
exempt from sales tax. However, sales to institutions chartered
Indicate the category which properly relects the basis for your
or created under federal authority, but which are not directly
exemption. Place the corresponding number in the space provided
operated and controlled by the United States government for the
in Section B. If category 2 through 6 is the basis for exemption, you
beneit of the public, generally are taxable. Construction projects
must complete the information requested in Section B.
for federal agencies have speciic requirements, see Reg-1-017
Nebraska Sales and Use Tax Reg-1-013, Sale for Resale – Resale
Contractors.
Purchases that are not exempt from Nebraska sales and use tax
Certificate, and Reg-1-014, Exempt Sale Certificate, provide
include, but are not limited to, governmental units of other states,
additional information on the proper issuance and use of this
sanitary and improvement districts, urban renewal authorities,
certificate. These and other regulations referred to in these
rural water districts, railroad transportation safety districts, and
instructions are available on our Web site: www.revenue.ne.gov/
county historical or agricultural societies.
legal/regs/slstaxregs.
2. Purchases when the intended use renders it exempt as set out
Use Form 13E for purchases of energy sources which qualify for
in paragraph 012.02D of Reg-1-012, Exemptions. Complete
exemption. Use Form 13ME for purchases of mobility enhancing
the description of the item purchased and the intended use as
equipment on a motor vehicle.
required on the front of Form 13. Sellers of repair parts for
ContRaCtoRS.Form 13, Section C, Part 1, must be completed
agricultural machinery and equipment cannot accept a Form 13
by contractors operating under Option 1 or Option 3 to document
to exempt such sales from tax.
their tax-free purchase of building materials or ixtures from their
3. Purchases made by organizations that have been issued a
suppliers. Section C, Part 2, may be completed to exempt the
Nebraska
Exempt Organization - Certiicate of Exemption are
purchase of building materials or ixtures pursuant to a Purchasing
exempt from sales tax. Reg-1-090, Nonproit Organizations;
Agent Appointment, Form 17. See the contractor information guides
Reg-1-091, Religious Organizations; and Reg-1-092, Educational
on our Web site www.revenue.ne.gov for additional information.
Institutions, identify such organizations. These organizations will
WheReto fILe. Form 13 is given to the seller at the time of
be issued a Nebraska state exemption identiication number. This
the purchase of the property or service or when sales tax is due.
exemption number must be entered in Section B of the Form 13.
The certiicate must be retained with the seller’s records for audit
4. Purchases of common or contract carrier vehicles and repair and
purposes. Do not send to the Department of Revenue.
replacement parts for such vehicles.
SALES TAX NUMBER. A purchaser who completes Section A
5. Purchases
of manufacturing machinery or equipment by
and is engaged in business as a wholesaler or manufacturer is
a taxpayer engaged in business as a manufacturer for use
not required to provide an identification number. Out-of-state
predominantly in manufacturing. This includes the installation,
purchasers can provide their home state sales tax number. Section B
repair, or maintenance of such qualiied manufacturing machinery
does not require an identification number when exemption
or equipment (see Revenue Ruling 01-11-1).
category 1, 2, or 5 is indicated.
6. A sale that qualiies as an occasional sale, such as a sale of
pRopeRLY CompLeteD CeRtIfICate. A purchaser
depreciable machinery and equipment productively used by the
must complete a certificate before issuing it to the seller. To
seller for more than one year and the seller previously paid tax on
properly complete the certificate, the purchaser must include:
the item. The seller must sign and give the exemption certiicate
(1) identiication of the purchaser and seller, (2) a statement whether
to the purchaser. The certiicate must be retained by the purchaser
the certiicate is for a single purchase or is a blanket certiicate,
for audit purposes (see Reg-1-014, Exempt Sale Certiicate).
Filling out the Nebraska Sales Tax Exemption form, known as Form 13, can seem complex at first. However, by breaking down the process into organized steps, businesses can accurately complete the form to ensure their purchases are tax-exempt when applicable. This guide aims to simplify each section of the form, aiding businesses in providing all necessary information to comply with Nebraska's tax exemption regulations.
Ensuring every step is carefully followed and each section accurately filled out can prevent issues with tax exemption claims. It's essential for both the purchaser and the seller to understand and comply with the specific requirements outlined in the Nebraska Sales Tax Exemption Form 13 to foster smooth transactions and adherence to state regulations.
The Nebraska Sales Tax Form 13 serves as a certificate for purchases that are exempt from sales tax. It can be used for resale, exempt purchases, or contractor purchases, specifying the reason for exemption and providing necessary details to validate the exemption claim.
To determine if a purchase is eligible for exemption:
The misuse or fraudulent use of Form 13, including claiming exemptions for ineligible purchases, subjects the user to a penalty of $100 or ten times the tax that would have been imposed, whichever is larger, for each instance of misuse.
No, nonprofit organizations with a 501(c) designation are not automatically exempt from sales tax. They must qualify under specific categories outlined in the Nebraska sales tax regulations and properly complete Form 13 to claim exemption for eligible purchases.
To properly complete Form 13, the following information is needed:
Form 13 is specifically designed for use within Nebraska to claim sales tax exemptions. Purchases made outside of Nebraska may be subject to different rules and forms, depending on the local jurisdiction's tax laws.
A blanket certificate, once filled and validated by the purchaser, remains valid until it is revoked in writing by the purchaser. This allows for multiple purchases over time without the need for separate certificates for each transaction.
Yes, for a purchase to qualify for sales tax exemption in Nebraska, Form 13 needs to be completed and provided to the seller at the time of purchase, specifying the reason for exemption.
Form 13 should not be sent to the Nebraska Department of Revenue. Instead, it must be retained by the seller along with their records for audit purposes.
Out-of-state purchasers can still use Form 13 for tax-exempt purchases in Nebraska. They should provide their home state sales tax number and ensure they meet the exemption criteria outlined in the form.
Filling out tax forms correctly is crucial for compliance and avoiding penalties. When it comes to the Nebraska Sales Tax Form, certain common mistakes can easily derail the process. Here are eight frequent errors that should be avoided to ensure the form is completed accurately:
By paying close attention to these common issues and taking care to avoid them, both purchasers and sellers can ensure that the Nebraska Sales Tax Form is completed correctly and compliantly. Ensuring accuracy in these documents is key to avoiding unnecessary penalties and streamlining tax-related processes.
When businesses in Nebraska manage sales tax obligations, possessing a comprehensive set of resources simplifies compliance and enhances accuracy. Alongside the Nebraska Sales Tax Exemption Certificate, several key forms and documents play integral roles. Below is a summary of these additional materials, each serving a unique function in the broader context of sales tax administration.
Each of these documents facilitates nuanced aspects of tax compliance, from initiating business operations with tax registrations to specific exemptions that impact a company’s taxable responsibilities. Together, they form a toolkit that enables businesses to navigate Nebraska’s sales tax landscape with greater confidence and efficiency. Proper use and understanding of these forms ensure that businesses can effectively manage their sales tax processes, remain compliant, and avoid potential penalties associated with incorrect tax handling.
The Nebraska Sales Tax form is similar to other tax exemption certificates and sales tax forms used across various states and sectors. While they serve the same basic function—certifying purchases free from sales tax under specific conditions—their similarities can be seen in the way they organize information, the type of details they request, and their requirement for signatures and documentation to validate the claims made. Two such documents include the Uniform Sales & Use Tax Exemption/Resale Certificate and the Streamlined Sales and Use Tax Agreement Certificate of Exemption.
The Uniform Sales & Use Tax Exemption/Resale Certificate is widely used by businesses engaging in interstate or multi-state transactions. Like the Nebraska form, it collects information about the buyer and seller, details of the exemption being claimed, and requires a signature to verify the authenticity of the claim. Both forms are designed to facilitate the process where businesses can purchase goods tax-free, either for resale or for producing other goods. However, the uniform certificate has broader acceptance across multiple states, making it a versatile tool for companies operating beyond Nebraska. This shared format ensures that essential details are consistently communicated regardless of the specific sales tax laws in each state.
The Streamlined Sales and Use Tax Agreement Certificate of Exemption is another document with striking similarities to the Nebraska Sales Tax form. Created as part of an effort to simplify sales tax collection and administration, this certificate is accepted by states that are members of the Streamlined Sales and Use Tax Agreement. It similarly requires information about the purchaser and seller, the nature of the exemption, and the signature of the purchaser. The streamlined certificate and the Nebraska form both aim to simplify the exemption process for eligible sales and purchases, reducing the administrative burden on businesses and tax authorities. Though their scopes differ—one being more regionally focused and the other aiming for wider applicability—their core components and purposes align closely.
When completing the Nebraska Sales Tax form, it's important to pay attention to both the details and the overall requirements to ensure compliance and to safeguard against common mistakes. The following lists provide guidance on what you should and shouldn't do while filling out this form.
Do:
Don't:
When navigating the complexities of Nebraska's Sales Tax Exemption, several misconceptions frequently arise. Understanding these can aid individuals and businesses alike in utilizing the Form 13 correctly.
Correctly deciphering these misconceptions can prevent potential penalties and ensure compliance with Nebraska's tax laws. For any uncertainties regarding the exemptions, reviewing the detailed instruction or consulting with a tax professional is advisable.
Understanding the Nebraska Sales Tax form is crucial for businesses and organizations operating within the state. Here are key takeaways to ensure proper completion and compliance:
Completing the Nebraska Sales Tax Exemption Certificate correctly is essential for lawful operation and to avoid penalties. It ensures that your business or organization adheres to Nebraska tax laws, supporting your compliance with state taxation requirements.
Line 24 1040 - Employs a step-by-step approach to facilitate compliance with Nebraska’s tax statutes.
Nebraska Health and Human Services - Acts as a vital tool for courts in ensuring all necessary information is provided for a marriage dissolution or annulment to be legally recognized.
What Is a Underpayment Penalty - File Form 2210N along with your Nebraska state income tax return to calculate any underpayment penalties.