Kentucky resale certificate and sales tax for resellers
A summary of what the sources listed on this page say about Kentucky: its permit and resale certificate, buying inventory for resale, and refunds of sales tax paid on inventory. General information only.
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Last reviewed
Every fact on this page comes from the sources listed below, as they read on the review date. Where a source did not say something, we leave it out. Sources can change after that date.
Kentucky quick facts
What the sources listed below say. Rules change, and how they apply depends on the facts of each case.
- State base sales tax rate
- 6.00%[2]
- Resale certificate
- Form 51A105 (Resale Certificate)[2]
- Certificate expiry (as listed)
- No expiry listed in the source[2]
- Permit or registration
- Sales and Use Tax Permit[2]
- Online application offered
- Yes[3]
- Where to apply
- State application page[3]
- Certificate form
- State certificate form[2]
Keep each purchase receipt linked to the items it covers. Get the app
What the state says about its permit and resale certificate
The state calls the registration associated with buying for resale and collecting tax a Sales and Use Tax Permit.[2] The state says it offers an online application.[3] State application page.[3]
The resale certificate the state lists is Form 51A105 (Resale Certificate). The source cited lists no expiry.[2] The state's certificate form asks for a permit or registration number.[2] State certificate form.[2]
What the state says about buying inventory for resale
Multistate certificates
- The state says it accepts the Streamlined Sales Tax exemption certificate.[14]
- The state says it accepts the Multistate Tax Commission uniform certificate.[15]
Out-of-state buyers
Yes. A nonresident purchaser not required to register in Kentucky may issue the Streamlined certificate or Form 51A105, noting on the face of the 51A105 that it is a nonresident purchaser not required to register.[1]
Other points the sources mention
- Kentucky regulation 103 KAR 31:111 says a resale certificate is either a single purchase certificate or a blanket certificate, and a blanket certificate covers purchases of the kind usually bought for resale if the purchaser's operation does not change.[1]
- Kentucky accepts Form 51A105, the Streamlined certificate 51A260, or the MTC uniform certificate as the resale certificate.[1]
- Under the regulation, a seller that does not get a completed resale certificate within the period set by KRS 139.270 bears the burden of proving the sale was for resale. The regulation's own example refers to a 120 day period.[1]
- The Department says paper tax registration applications can take up to three weeks to process and recommends applying for account numbers online at MyTaxes.ky.gov.[3]
What the state says about refunds of sales tax paid on inventory
Some states let a purchaser request a refund of sales tax paid on items bought for resale, and some direct the request to the seller. Whether and how that applies depends on the facts of each purchase. This section reports what the sources say for Kentucky. According to the state's information, only the seller can claim the refund of that sales tax from the state, and a purchaser is pointed to the seller.[6]
- Who files, per the state
- Seller files, per the state[6]
- Refund form named by the state
- Form 51A209 (Sales and Use Tax Refund Application)[6]
- How the state says to submit
- Paper application to the Dept. of Revenue[6]
- Time limit the state describes
- Generally 4 years[6]
The Department says only the person who paid the tax directly to the Kentucky State Treasurer may file, and that no refund is issued where the tax was collected from a purchaser unless the taxpayer refunds that amount to the purchaser. It gives the claim period as four years from the date the tax was paid.[6]
Illustration: the Kentucky state base rate applied to an amount you enter
Enter an amount to see an illustration.
Illustration only. It applies the 6.00% state base rate to the amount entered, and assumes that amount is before tax. It leaves out local taxes, exemptions and every other rule, which can change the result. It is an estimate for illustration, not a tax calculation or a prediction of any amount owed, deductible or refundable.
Not tax advice. Last reviewed . Confirm with the state agency or a qualified tax professional. Report an error
Keep each purchase receipt linked to the items it covers
Strooply is an app for eBay resellers that identifies items from photos, shows live comps and sold-price estimates, drafts eBay listings for your review, and tracks costs and profit.
Receipt scanning, on Pro and Team plans, links each purchase receipt to the items it covers, with the tax shown on the receipt. It can misread prices, dates or line items.
Strooply is record-keeping software. It does not prepare or file tax returns, refund claims, or other filings, it is not a tax preparer, and its figures are estimates to check against your own records.
A free plan is available.
Common questions and what the sources say
How do I get a resale certificate in Kentucky?
Kentucky's process is to apply for business tax account numbers online at MyTaxes.ky.gov, then fill out Form 51A105 with the Sales and Use Tax Permit account number and give it to the supplier. The form is marked as a blanket or a single purchase certificate.[23]
Does a Kentucky resale certificate expire?
The regulation describes a blanket certificate as covering future purchases of the kind usually bought for resale, so a new certificate is not needed for each purchase as long as the character of the operation does not change.[1]
Can I use another state's resale certificate in Kentucky?
A nonresident purchaser not required to register in Kentucky may give a completed Streamlined certificate (51A260) or Form 51A105 marked as a nonresident purchaser. The regulation also names the Multistate Tax Commission uniform certificate as an acceptable form.[1]
Not tax advice. Last reviewed . Confirm with the state agency or a qualified tax professional. Report an error
Where these facts come from
Each number in square brackets on this page matches an entry below. Check a source itself for its current wording.
- Kentucky Department of Revenue, 103 KAR 31:111 Sales and purchases for resale, revenue.ky.gov/DOR%20Training%20Materials/103%20KAR%2031.111.%20Sales%20and%20purchases%20for%20resale.pdf
- Kentucky Department of Revenue, Form 51A105 Resale Certificate, revenue.ky.gov/Forms/51A105%20(1-23).pdf
- Kentucky Department of Revenue, Register a Business, revenue.ky.gov/Business/Pages/Register-Business.aspx
- Streamlined Sales Tax Governing Board, exemption certificate and member states, www.streamlinedsalestax.org/Shared-Pages/exemptions-
- Multistate Tax Commission, Uniform Sales and Use Tax Resale Certificate (revised 10/14/2022), www.mtc.gov/wp-content/uploads/2023/01/Unif-Resale-Cert-revised-10-14-22.pdf
- Form 51A209 (Sales and Use Tax Refund Application), state refund form, revenue.ky.gov/Forms/51A209%20(5-07).pdf