Does your business sell goods or tangible personal property? If so, you’ll need to register to collect a 7 percent sales tax. This registration gets the ball rolling so that you can legally conduct retail sales in the state of Indiana. Once your registration is completed and processed, you’ll be issued a Registered Retail Merchant Certificate (RRMC). And you’ll need one certificate on display for each business location, if you have more than one retail address.
The RRMC is valid for two years, and updates automatically with no additional charge for renewal. If a business does not pay its tax liability, the RRMC will expire. After the tax bill is paid in full, the business must file a REG-1 form that is mailed to the business and pay a $25 registration fee. If the business cannot locate the REG-1 form, you can call (317) 232-2165.
Additional tax registration may be necessary if your business:
- Sells food and beverages
- Rents rooms or accommodations for periods of less than 30 days
- Rents motor vehicles that weigh less than 11,000 lbs.
- Sells gasoline
- Sells tires
- Sells fireworks
- Sells prepaid wireless cards
Below you will find more information about sales tax and additional resources including the business tax application, frequently asked questions, additional tax registrations and sales tax rates.
If you have more questions about sales tax, please call our sales tax information line at (317) 233-4015.
Juanita is opening a computer store where she’ll sell components parts and offer repair services. While she won’t collect sales tax on the repair service, she will be required to collect sales tax on the components she sells. To get started, Juanita needs to file a Business Tax Application with the Department and indicate she will be collecting sales tax. Once she receives her Retail Merchants Certificate, she can then open for business.