Vendor Sales Tax Requirements
ALL vendors are required to provide proof of registration with the NC Department of Revenue by way of Sales Tax Certification Number. This information must accompany the business name and updated address information included on the Vendor Application. If your business is exempt, please provide proof. Below is information from the NCDOR website. Please contact them for further information.
NCDOR 1-877-308-9103 www.dornc.com
Specialty Markets, Flea Markets, Fairs, Festivals, Sporting Events, Entertainment Events, and Other Events Sales and Use Tax Information and Requirements:
“A person engaged in business in this State and selling tangible personal property, and certain digital property at retail, or rendering a taxable service at specialty markets, flea markets, fairs, festivals, sporting events, entertainment events, and other events and functions must register with the North Carolina Department of Revenue and is required to collect and remit sales and use tax unless a specific exemption applies to the product sold. The general State rate of tax is 4.75% and the applicable local and transit rates of sales and use tax vary depending on the local jurisdiction where a sale is sourced. The sale of "food" at retail as defined in G.S. 105-164.3, is subject to the 2% rate of tax. The sale of prepared food is subject to general State rate of tax of 4.75% and the applicable local and transit rates of sales and use tax as applicable.
In order to obtain a Certificate of Registration, a person must complete Form NC-BR, Business Registration Application for Income Tax Withholding, Sales and Use Tax, and Machinery and Equipment Tax, available through online registration from the Department’s website at http://www.dornc.com/electronic/registration/index.html or complete a web-fill version of the form at http://www.dornc.com/downloads/fillin/NCBR_webfill.pdf and mail it to the Department. No fee is required in order to apply for a Certificate of Registration. A person that makes sales at a specialty market or other event is required to conspicuously display a Certificate of Registration or display a confirmation from the Department showing application for a Certificate of Registration until the certificate is received from the Department.
A person that attends a single event or function in this State within a calendar year for the purposes of making sales at retail is required to register to obtain a Certificate of Registration. A person who engages in business for six or fewer consecutive months in this State each year may register as a seasonal filer and indicate the months in which the person engages in business. A person registered as a seasonal filer is not required to file a return for an off-season reporting period in which the person did not engage in business in this State.
A farmer that only sells farm products produced by the farmer is not required to obtain a Certificate of Registration. A farmer that purchases products for resale that are not produced by the farmer in the capacity of a producer is required to obtain a Certificate of Registration.
Responsibilities of the Specialty Market or Event Operator:
Effective August 23, 2013, N. C. Gen. Stat. § 66-255 states, in part, "[a] specialty market operator or operator of an event where space is provided to a vendor must maintain a daily registration list of all specialty market or other vendors selling or offering goods for sale at the specialty market or other event. The registration list must clearly and legibly show each vendor's name, permanent address, and certificate of registration number. The specialty market operator or other event operator must require each vendor to exhibit a valid certificate of registration for visual inspection by the specialty market operator or other event operator at the time of registration except as noted below, and must require each vendor to keep the certificate of registration conspicuously and prominently displayed, so as to be visible for inspection by patrons of the vendor at the places or locations at which the goods are offered for sale.”