New TN Sales Tax Exemption Certificate (7/1/11)
The Tennessee Department of Revenue has completed a periodic review of all registered non-profit organizations eligible to purchase tangible personal property and taxable services tax-free. Non-profit entities eligible to make tax-free purchases have been issued a new exemption certificate with an effective date of July 1, 2011.
University as Purchaser
To make University purchases of tangible personal property and taxable services free of Tennessee state sales tax, the new exemption certificate can be found at the following addresses:
http://treasurer.tennessee.edu/forms/ – click S – Sales Tax Exemption Certificate
http://controller.tennessee.edu/ – click Tax Section
https://my.tennessee.edu/portal/page?_pageid=34,140536&_dad=portal&_schema=PORTAL&p_policy=FI0410 – click Forms
In order to access the certificate, you will now be required to sign on using your university NetID and password.
University as Seller
Effective July 1, 2011, University departments making sales of tangible personal property and taxable services must ensure that all non-profit exempt purchasers furnish a copy of their new exemption certificate in order for sales tax to be exempted. Departments should retain these certificates at least three years for audit purposes.
Out-of-state organizations that have received tax-exempt status from the Internal Revenue Service under a Section 501(c)(3) exemption are no longer being registered for issuance of a tax-exempt certificate for purchases of tangible personal property or taxable services within Tennessee. Under T.C.A. 67-6-322(18)(e), these organizations need only present a copy of their 501(c)(3) exemption to purchase goods and services tax-free. In-state 501(c)(3) organizations must present a Tennessee non-profit exemption certificate when making purchases.
Please note: Exemption certificates with an effective date prior to July 1, 2011 are no longer acceptable as documentation of tax-exempt purchases.