Sales and Use Tax Exemption

Through our years of experience renting two way radios, we have worked with many companies that organize events on behalf of not for profit organizations. Throughout those times, we have realized that there is not a clear understanding of when those not for profit organizations are exempt from paying sales and use taxes for the purchase of tangible property and services.

The fact that the organization has qualified with the IRS to be exempt from federal taxes doesn’t automatically makes the organization exempt from Sales and Use taxes. Each state has its own rules. It’s the organization’s responsibility to apply for a Sale and Use certificate of exemption.

The following are links to the DC, Maryland and Virginia government websites where they explain who qualifies for a certificate of extension and how to obtain one. To find information about other states’ requirements, just visit their government websites and search for information on Sales and Use tax exemptions.

DC
DC Form
Maryland
Virginia

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