First things first! It's a serious endeavor to start a business Please consult your tax advisor, Bass Farms is not responsible for any other business entities other than Bass Farms, LLC. We simply sell you wholesale product.
with an Indiana location(s) and/or who perform certain activities, such as solicitation of orders within Indiana, are required to register their business
Before opening a retail or wholesale business in Indiana, Form BT-1 must be filed with the Indiana Department of Revenue to Register as a Retail Merchant for Sales Tax Collection purposes and
to receive your specific number to be used for Tax Exempt Purchases
The BT-1 form is used for registration of Sales Tax, Withholding Tax, Out-of-State Use Tax, Food & Beverage Tax, County Innkeepers Tax, Motor Vehicle Rental Excise Tax, and Prepaid Sales Tax on Gasoline, or a combination of these taxes. The form also allows you to add a new tax type to an existing registered location in the event your business activities expand. The BT-1 must be signed and dated by a corporate officer, partner, owner, or resident agent of the business, before it can be processed. For each business location operating in Indiana a separate application and a nonrefundable $25 fee for sales tax is required. A certificate will be issued for, and is to be displayed at, each place of business. This also applies to leased space operations. The certificate is valid for 2 years.
Sales tax is collected on the sale of merchandise within Indiana. The merchants collect the tax on behalf of Indiana and are held liable for the amount they should collect, even if no collection of the tax was made.Retail merchants must collect the sales tax unless they receive an exemption certificate from the purchaser, or if the merchandise is shipped out of Indiana. If sales tax is not paid to the supplier, use tax must be paid directly to the Department of Revenue. Use tax is paid on purchases made outside Indiana when sales tax is not collected. In Indiana, the sales and use tax rate is 7% of the purchase price.
DON'T MESS WITH TAX!
What is the difference between Use Tax & Sales Tax?
Both taxes are complimentary and are meant to assure the state gross retail tax of 7 percent is paid upon a purchase. A purchaser pays a “sales” tax when purchasing from an Indiana seller. A purchaser pays a “use” tax when purchasing from an out-of-state seller, but the purchase is delivered into Indiana.
If a purchaser does not pay a sales tax or a use tax to the seller, the purchaser still has a use tax responsibility. The purchaser will pay the use tax owed on his or her annual Indiana income tax return (which is due April 15).