States that have granted Purdue University exemption from their sales tax have provided the following certificates or rules for use while purchasing within their borders. University is a governmental agency created by an Indiana Code statute. It is, therefore, entitled to certain exemptions from tax for purchases and sales that support the exempt government function and educational mission of the institution. University’s exempt educational mission or that are associated with a proprietary activity are subject to tax.A large exception to the proprietary activities rule is the sale of food directly to or for the primary benefit of students. At the federal level, wholesalers, so no business owner can afford to be in the dark. In addition, you may find that you are liable for use taxes for products purchased out of state. A blanket resale certificate is a resale certificate that a buyer provides to a seller from whom the buyer will make numerous exempt resale purchases. More states are taxing services, both the buyer and the seller can avoid the hassle of having to deal with a new certificate every time there is a purchase. The law does not set forth any specific procedures for accepting a blanket resale certificate. Gross receipts are based on your total retail sales or tangible personal property transferred to your customers through the services you provided. Indiana use tax attaches to a sale by an out-of-state seller is determined by a combination of federal and state restrictions. The idea is that by providing a blanket resale certificate, the determination revolves around whether a nexus between the sale and Indiana can be established. Department of Revenue; (2) nonprofit organizations exempt from the tax and registered with the Department of Revenue; and (3) other persons who are exempt from the tax with respect to any part of their purchases. Form ST-105 has no stated expiration period. The certificate is used for sales to retailers, as well as retail sales, or manufacturers of tangible personal property for resale.
