How to Use the Maine Resale Certificate

Who May Give a Resale Certificate in Maine

Whether a buyer must hold a Maine Retailer Certificate (sales tax registration) to buy for resale depends on the circumstances. A buyer registered in Maine must use the Resale Certificate that Maine Revenue Services issues it, which only retailers with $3,000 or more in annual gross sales receive. A retailer from another state that is not registered, and not required to register, in Maine may instead give a signed statement with its home registration (the MTC certificate qualifies), but only for goods it will resell outside Maine.

Maine Revenue Services issues the Maine Resale Certificate to a registered buyer, rather than the buyer filling in a form.

Which Documents Are Accepted

Only the certificate Maine Revenue Services issued is valid, apart from the MTC certificate, covered below; the route for a buyer not registered in Maine is set out under Who May Give One.

Maine accepts the Multistate Tax Commission's Uniform Sales and Use Tax Resale Certificate, with conditions. Maine accepts it only from a retailer based outside Maine that is not registered, and not required to register, in Maine, buying goods it will resell outside Maine. The Commission's notes add that it does not cover property bought to lease or rent, or ingredients and components bought by a manufacturer.

We have not confirmed whether Maine accepts the Streamlined Sales Tax Certificate of Exemption; check with Maine Revenue Services.

How Long It Lasts

How long the Maine Resale Certificate stays valid depends on the circumstances. It expires on December 31 of the expiration year printed on it. A first certificate covers the rest of the year it is issued plus three more calendar years (four more if issued on or after October 1). A renewed certificate runs 5 calendar years under the statute but 4 under Maine Revenue Services' bulletin, so check the dates printed on yours, and renewal goes only to retailers with $3,000 or more in gross sales over the review period.

One blanket certificate may cover repeat purchases from the same seller.

For Sellers Who Accept One

Under Maine's law, a seller that takes a resale certificate in good faith is relieved of liability for the tax on that sale.

The state says a seller should keep the certificate at least 6 years.

Worth Knowing in Maine

A Maine retailer that reports less than $3,000 in annual gross sales is not issued a Resale Certificate, so it pays sales tax on inventory purchases and claims a credit on its sales and use tax return. A retailer that does hold a Resale Certificate cannot choose to pay tax and take that credit instead.

More for Maine Businesses

• Maine's sales tax registration page
• Sales tax nexus checker, to see where your sales may require you to register.
• Maine LLC guide, for forming and running an LLC in the state.
• LLC guide for eBay sellers in Maine, for selling through a marketplace.