Ohio Vender's Sale Tax Laws

To be able to legally make retail sales in Ohio there are Ohio venders sales tax laws that you must follow. These are as follows;

1) Obtain the proper vender's license from your local county auditor's office or at the Ohio Department of Taxation.

2) Collect and remit the proper sales tax to the Ohio Department of Taxation.

3) File your sales tax returns on time which is usually by the 23^rd of the month the follows the reporting period.

The Ohio venders sales tax laws requires any person or business that makes retails sales of tangible personal property or taxable services to obtain a vender's license. There are several types of vender's licenses. Most retailers either have a regular county or a transient vender's license. The correct vender's license is determined by the type of sales and where it takes it place at.

Below are the different types of vender's license;

1) Transient Vender's License - This type of license is required when making sales from a location on a temporary basis such as at a fair or a trade show. These licenses are valid throughout Ohio and the application form is ST-1T.

2) Service Vender's License - This license is issued to vender's that provide a lot of different taxable services. The application form needed it ST-1S.

3) Regular County Vender's License - This license is required when making sales from a permanent location, such as from a store. The form need for this license is ST-1.

4) Delivery Vender's License - This license is issued to vender's that makes sales based on delivering tangible personal property or certain services at the customers location such as, heating oil vender's. The form for this license is ST-1D.

Several weeks after you apply for a vender's license, the Ohio Department of Taxation will send you a letter that verifies your vender's license number and provides your filing schedule.

While researching this subject I found out something that I did not know and was surprising to me. Casual Sales are not subject to sales or use tax. For example selling something in your home that you no longer need, lets say your washing machine, you are making a casual sale and not subject to sales tax. However lets say your neighbor has a yard sale and you go there and purchase items, you then a couple weeks later have your own yard sale and sell these items. You are then making retail sales and you need a vender's license.

This surprised me very much because I think everyone ends up selling things they bought at a yard sale at their own yard sale. I also know many people will buy out a yard sale and then have their own yard sale selling these same items. I am sure many people do not know a vender's license is required to do this.

The fee for a vender's license is $25.00 and remains valid until it is canceled. You can pick up the vender's application forms at your county auditor's office, Ohio Department of Taxation Taxpayers Service Centers, the Ohio Department of Taxation's website www.tax.ohio.gov or you can call 1 -800- 282-1782.