How to get a Reseller's Licence/ Sales Tax/ Use Tax Permit / Resale Certificate

How to get a Reseller's Licence/ Sales Tax/ Use Tax Permit / Resale Certificate in Wyoming

This guide focuses on a dropship business model for non-US residents using an LLC business setup in Wyoming, but even if this doesn't fully apply to you, this will help. Disclaimer: I am not a lawyer or CPA, I can't give any legal advice. This is the story of how it worked best for me.

It can be confusing when starting out and sometimes there is not much help out there, unless you're willing to pay some Wall Street lawyer $400 per hour to basically google for you. After you have registered your LLC and before you start calling suppliers, you will have to get your Reseller's Certificate and get an account to file Sales Tax/ Use Tax.

Reseller's Licence/ Sales Tax/ Use Tax Permit / Resale Certificate / Sales Tax ID - What is all this?

Well, it's all the same, but has different names in different states. We are going to sign up for a Sales/ Use Tax Permit in Wyoming and here is how:

Register for a WYIFS online account: https://excise-wyifs.wy.gov/
Sign up for an account, get a PIN
Apply for a new license and put "Electronic Shopping" for types of good sold
pay $60
This way you get your Salex Tax / Use Tax Permit (also known as resale certificate number in some states!)

A little workaround for your foreign address

It's an old system, and sometimes they have technical issues, especially when trying to register using a foreign address within the process of registration. You might receive an error message like: “an unexpected error has occurred while processing you user account”. This is how you solve the problem:

Do not put dashes in the FEIN (FEIN = EIN)
Pick WY as the state even if you are overseas as it will not process if the state is blank, and we will correct it on our end.
Put 1234 in the zip / postal code field, again we will correct it when it arrives. Please use the second address line to tell us your correct postal code.

I received this information directly from the Department of Revenue. If you run into the same problem, do it like described but call in to make sure they correct your information later.

What is Sales Tax & Use Tax?

The state collects state/use tax, the IRS is responsible for federal tax. As a dropshipper, you will have to pay tax to the state of Wyoming, whenever you make a sale in Wyoming. Basically, you have to pay taxes in any state where you have Nexus. There are many ways on how Nexus is created, one of them having a physical location or employees. Look this part up in detail - you may owe tax in other states as well!

Sales tax are usually filed quarterly (calendar year), but you might also be assigned to annual or monthly filings. This is dependent on the expected revenue you’re giving them. You may apply for a different filing intervals though. There is NO reminder close to the due dates, so be aware of when you have to get the filing done.

Information overload?

This isn't complicated at all, it is just new. Take an hour to read through the following links and you'll know what you're doing soon. Here is more information and training on how to file your sales/use tax:

http://revenue.wyo.gov/Excise-Tax-Division/excise-tax-system-training

http://revenue.wyo.gov/Excise-Tax-Division/tax-tutorial

If you reeeaaalllyyy don't get the details, you can always call or email the Wyoming Tax Division and ask, they are very helpful and patient. Make sure you prepare your questions to not waste their time.