How to NOT pay tax on Amazon
Published on: December 1 2022 by Bryan Guerra
How to NOT pay tax on Amazon
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Table of Contents About How to NOT pay tax on Amazon
How to NOT pay tax on Amazon
| startTime | durationTime | text |
| 00:00:00 | 00:00:04 | in this video we're going to cover how |
| 00:00:01 | 00:00:06 | to never pay sales tax on amazon |
| 00:00:04 | 00:00:08 | ever again this is going to reduce the |
| 00:00:06 | 00:00:11 | price of every single product that you |
| 00:00:08 | 00:00:13 | purchase on amazon and save you hundreds |
| 00:00:11 | 00:00:14 | thousands or even tens of thousands of |
| 00:00:13 | 00:00:16 | dollars especially if you're using |
| 00:00:14 | 00:00:18 | amazon as one of your sole suppliers |
| 00:00:16 | 00:00:20 | pretty consistently now before we hop |
| 00:00:18 | 00:00:23 | into my computer and i show you exactly |
| 00:00:20 | 00:00:24 | how to do this from start to finish i do |
| 00:00:23 | 00:00:27 | want to stress that this is not tax |
| 00:00:24 | 00:00:29 | advice you should only be doing this if |
| 00:00:27 | 00:00:31 | you have a business and your purpose for |
| 00:00:29 | 00:00:32 | these goods is resale when you buy |
| 00:00:31 | 00:00:34 | products with the intention of reselling |
| 00:00:32 | 00:00:36 | them you are not the end consumer and so |
| 00:00:34 | 00:00:38 | therefore you do not need to pay the |
| 00:00:36 | 00:00:40 | sales tax also if you're new to the |
| 00:00:38 | 00:00:41 | channel my name is brian i run an ecom |
| 00:00:40 | 00:00:43 | company that does multiple six figures a |
| 00:00:41 | 00:00:45 | year in profit and i want to help you do |
| 00:00:43 | 00:00:46 | the same all right so this is the url |
| 00:00:45 | 00:00:48 | that you want to start on if you |
| 00:00:46 | 00:00:50 | obviously don't have this url it's easy |
| 00:00:48 | 00:00:52 | to find you just go to google you type |
| 00:00:50 | 00:00:54 | in get tax exempt on amazon and it is |
| 00:00:52 | 00:00:56 | this one right here the amazon tax |
| 00:00:54 | 00:00:58 | exemption program and that will take you |
| 00:00:56 | 00:01:00 | to a page that looks like this right and |
| 00:00:58 | 00:01:01 | so that what you want to do now is you |
| 00:01:00 | 00:01:05 | want to go through and you want to |
| 00:01:01 | 00:01:06 | select all of these specific states now |
| 00:01:05 | 00:01:08 | you're not going to get tax exempt in |
| 00:01:06 | 00:01:10 | every specific state i think i'm tax |
| 00:01:08 | 00:01:14 | exempt in most but there are certain |
| 00:01:10 | 00:01:16 | ones that i'm not tax exempt for it's |
| 00:01:14 | 00:01:18 | gonna depend and differ state to state |
| 00:01:16 | 00:01:20 | based on which ones you're gonna |
| 00:01:18 | 00:01:22 | struggle with getting tax exempt in and |
| 00:01:20 | 00:01:24 | which ones are gonna be relatively easy |
| 00:01:22 | 00:01:26 | to you i'm gonna show you what works for |
| 00:01:24 | 00:01:28 | me obviously this is just anecdotal what |
| 00:01:26 | 00:01:30 | works for me some of these you might get |
| 00:01:28 | 00:01:32 | done easier if you have uh you know an |
| 00:01:30 | 00:01:34 | ein or resale certificate in a different |
| 00:01:32 | 00:01:36 | state but obviously those are the |
| 00:01:34 | 00:01:38 | prerequisites okay so the ones that i |
| 00:01:36 | 00:01:40 | have a tax exemption um or i have a |
| 00:01:38 | 00:01:41 | resale certificate for my business in |
| 00:01:40 | 00:01:43 | pennsylvania so these ones are going to |
| 00:01:41 | 00:01:45 | be specific for me but chances are the |
| 00:01:43 | 00:01:47 | majority of these are going to work for |
| 00:01:45 | 00:01:50 | you as well and i want to also stress |
| 00:01:47 | 00:01:51 | that the easiest way to do this is |
| 00:01:50 | 00:01:53 | obviously follow my lead here with the |
| 00:01:51 | 00:01:54 | ones that i'm going to tell you you |
| 00:01:53 | 00:01:56 | might struggle with but then just go to |
| 00:01:54 | 00:01:58 | the end of it and whichever ones are |
| 00:01:56 | 00:01:59 | giving you trouble then just come back |
| 00:01:58 | 00:02:01 | to the very beginning you can just hit |
| 00:01:59 | 00:02:02 | the back button you'll see it down at |
| 00:02:01 | 00:02:04 | the bottom once we go through these |
| 00:02:02 | 00:02:06 | little prompts here and then go back |
| 00:02:04 | 00:02:07 | uncheck that one if it's giving you |
| 00:02:06 | 00:02:09 | trouble and then just go back through |
| 00:02:07 | 00:02:10 | the prompts again and redo it all that's |
| 00:02:09 | 00:02:12 | the easiest way to do it to reverse |
| 00:02:10 | 00:02:15 | engineer to make sure that you obviously |
| 00:02:12 | 00:02:16 | get tax exempt for as many potential |
| 00:02:15 | 00:02:18 | states as you possibly can so that if |
| 00:02:16 | 00:02:19 | you're buying and shipping to addresses |
| 00:02:18 | 00:02:21 | in those states you're not paying sales |
| 00:02:19 | 00:02:22 | tax on them so the ones that give me |
| 00:02:21 | 00:02:24 | trouble usually are alaska we're going |
| 00:02:22 | 00:02:26 | to uncheck that one california we're |
| 00:02:24 | 00:02:29 | going to uncheck that one |
| 00:02:26 | 00:02:31 | dc florida um hawaii |
| 00:02:29 | 00:02:33 | illinois always gives me trouble they |
| 00:02:31 | 00:02:34 | have a weird thing with like chicago in |
| 00:02:33 | 00:02:36 | illinois i'm not really sure what it is |
| 00:02:34 | 00:02:38 | but it always gives me trouble so i just |
| 00:02:36 | 00:02:40 | don't check it um and then we come down |
| 00:02:38 | 00:02:42 | we go to mississippi we uncheck that one |
| 00:02:40 | 00:02:44 | new york always gives me trouble as well |
| 00:02:42 | 00:02:46 | we'll uncheck that one south carolina's |
| 00:02:44 | 00:02:48 | unchecked and the rest of these look |
| 00:02:46 | 00:02:50 | pretty good right so ideally we would be |
| 00:02:48 | 00:02:52 | tax exempt for all of these states not |
| 00:02:50 | 00:02:54 | counting the ones that were shipping |
| 00:02:52 | 00:02:56 | products to if our buyer is in those |
| 00:02:54 | 00:02:58 | specific states so we're going to click |
| 00:02:56 | 00:02:59 | save and continue |
| 00:02:58 | 00:03:01 | and it's going to take us to this next |
| 00:02:59 | 00:03:02 | page where it's going to ask us in the |
| 00:03:01 | 00:03:04 | state of colorado do you have a local |
| 00:03:02 | 00:03:06 | tax exemption i would just say no this |
| 00:03:04 | 00:03:08 | doesn't apply to me |
| 00:03:06 | 00:03:09 | here we're going to take where it's |
| 00:03:08 | 00:03:11 | going to ask you like what's the |
| 00:03:09 | 00:03:12 | exemption status status of your business |
| 00:03:11 | 00:03:15 | and why are you qualified i always put |
| 00:03:12 | 00:03:16 | in resale |
| 00:03:15 | 00:03:18 | and here it's basically just showing you |
| 00:03:16 | 00:03:20 | the specific forms that you're going to |
| 00:03:18 | 00:03:21 | need or you know the specific exemptions |
| 00:03:20 | 00:03:23 | you're going to need to get tax exempt |
| 00:03:21 | 00:03:24 | in all the states that you had chat so |
| 00:03:23 | 00:03:26 | just click continue that's just |
| 00:03:24 | 00:03:28 | information |
| 00:03:26 | 00:03:29 | now this is blurred out because |
| 00:03:28 | 00:03:31 | obviously i don't want to show you my |
| 00:03:29 | 00:03:32 | specific business information but you |
| 00:03:31 | 00:03:33 | can see this the the things over here |
| 00:03:32 | 00:03:35 | you just want to fill these out |
| 00:03:33 | 00:03:37 | organization name right what's your |
| 00:03:35 | 00:03:39 | business name organization description |
| 00:03:37 | 00:03:41 | that's always resale business line like |
| 00:03:39 | 00:03:42 | what's your address obviously you're |
| 00:03:41 | 00:03:43 | going to put your address in there and |
| 00:03:42 | 00:03:45 | then and then you're just going to type |
| 00:03:43 | 00:03:47 | your name and authorize sign your name |
| 00:03:45 | 00:03:49 | right here and obviously your your title |
| 00:03:47 | 00:03:51 | is going to be ceo or you know whatever |
| 00:03:49 | 00:03:53 | it is obviously for your specific |
| 00:03:51 | 00:03:54 | business all right so now's the fun part |
| 00:03:53 | 00:03:56 | now is where you're going to fill out |
| 00:03:54 | 00:03:58 | your specific form now the very first |
| 00:03:56 | 00:04:00 | one right here is pennsylvania um i'm |
| 00:03:58 | 00:04:03 | not sure if that's because my resale |
| 00:04:00 | 00:04:04 | certificate is in pennsylvania or if |
| 00:04:03 | 00:04:07 | that's just because pennsylvania |
| 00:04:04 | 00:04:09 | specifically needs a rev uh 1220 i |
| 00:04:07 | 00:04:11 | believe that it's because pennsylvania |
| 00:04:09 | 00:04:12 | because when i do it on ebay they always |
| 00:04:11 | 00:04:15 | ask you for this specific form for |
| 00:04:12 | 00:04:17 | pennsylvania as well so if obviously you |
| 00:04:15 | 00:04:20 | are not you don't have a business formed |
| 00:04:17 | 00:04:22 | in pa then uncheck pennsylvania and now |
| 00:04:20 | 00:04:24 | right here it's going to ask you um you |
| 00:04:22 | 00:04:26 | know what's your exemption type so i |
| 00:04:24 | 00:04:27 | always put resale right here it's going |
| 00:04:26 | 00:04:30 | to ask you the type of business that you |
| 00:04:27 | 00:04:31 | performed i always play put retail trade |
| 00:04:30 | 00:04:34 | then you're going to go down right here |
| 00:04:31 | 00:04:36 | through the prompts for specific states |
| 00:04:34 | 00:04:37 | okay and those are all going to be the |
| 00:04:36 | 00:04:39 | same thing so you're always going to say |
| 00:04:37 | 00:04:40 | okay well if you |
| 00:04:39 | 00:04:42 | this is for me specifically because i'm |
| 00:04:40 | 00:04:44 | in pa so obviously take this with a |
| 00:04:42 | 00:04:46 | grain of salt if you are have a business |
| 00:04:44 | 00:04:48 | in west virginia or you have a business |
| 00:04:46 | 00:04:49 | in wisconsin or vermont or whatever then |
| 00:04:48 | 00:04:51 | obviously you're going to click yes and |
| 00:04:49 | 00:04:52 | go through the prompts there for |
| 00:04:51 | 00:04:54 | whatever the information is right you |
| 00:04:52 | 00:04:56 | should have your ein already and you |
| 00:04:54 | 00:04:58 | should have your resale certificate so |
| 00:04:56 | 00:05:00 | your your eight digit resale certificate |
| 00:04:58 | 00:05:02 | number as well as i believe it's a 10 |
| 00:05:00 | 00:05:03 | digit ein number so we're just going to |
| 00:05:02 | 00:05:05 | go through each one of these |
| 00:05:03 | 00:05:06 | specifically so because i have a |
| 00:05:05 | 00:05:08 | business in pa i'm going to say |
| 00:05:06 | 00:05:09 | obviously no for all of these because i |
| 00:05:08 | 00:05:11 | don't have a registration number for |
| 00:05:09 | 00:05:12 | these so i'm going to come down and |
| 00:05:11 | 00:05:14 | click no for all of these and then you |
| 00:05:12 | 00:05:15 | just want to go through the prompts here |
| 00:05:14 | 00:05:18 | right like okay do you have an arkansas |
| 00:05:15 | 00:05:19 | registration number no i do not so enter |
| 00:05:18 | 00:05:20 | one of the following an out-of-state |
| 00:05:19 | 00:05:23 | number which would be your out-of-state |
| 00:05:20 | 00:05:25 | resale permit for your specific state or |
| 00:05:23 | 00:05:27 | your federal identification number which |
| 00:05:25 | 00:05:28 | is going to be your ein okay so i always |
| 00:05:27 | 00:05:30 | go with the out of state if it's |
| 00:05:28 | 00:05:31 | possible there and then obviously mine |
| 00:05:30 | 00:05:33 | would be pa |
| 00:05:31 | 00:05:35 | and i would type in |
| 00:05:33 | 00:05:37 | my pa sales tax license number and then |
| 00:05:35 | 00:05:38 | i would do this is like an eight-digit |
| 00:05:37 | 00:05:40 | number that you should get obviously |
| 00:05:38 | 00:05:42 | through from the irs once you go through |
| 00:05:40 | 00:05:44 | and you file for your resale certificate |
| 00:05:42 | 00:05:45 | so that's always going to be the same |
| 00:05:44 | 00:05:47 | eight-digit number and then the same |
| 00:05:45 | 00:05:50 | thing for georgia here |
| 00:05:47 | 00:05:51 | obviously i have an out-of-state number |
| 00:05:50 | 00:05:54 | it's going to be pa |
| 00:05:51 | 00:05:56 | because that's where my my ein is from i |
| 00:05:54 | 00:05:57 | have the pennsylvania sales tax license |
| 00:05:56 | 00:06:00 | number which again is going to be that |
| 00:05:57 | 00:06:02 | same eight digit number uh right there |
| 00:06:00 | 00:06:05 | this is not your ein this is your retail |
| 00:06:02 | 00:06:07 | uh certificate number okay and then for |
| 00:06:05 | 00:06:09 | every single one of these right here in |
| 00:06:07 | 00:06:11 | this top bracket where it goes through |
| 00:06:09 | 00:06:13 | like all the way down to wyoming for me |
| 00:06:11 | 00:06:15 | specifically it's going to be the same |
| 00:06:13 | 00:06:16 | thing right no you don't have a number |
| 00:06:15 | 00:06:19 | out of state number whatever your state |
| 00:06:16 | 00:06:22 | is and then your uh your retail |
| 00:06:19 | 00:06:24 | certificate number in there right here |
| 00:06:22 | 00:06:26 | for uh massachusetts specifically |
| 00:06:24 | 00:06:27 | obviously that's not an option to give |
| 00:06:26 | 00:06:30 | the resale certificate so you need your |
| 00:06:27 | 00:06:32 | federal ein so go federal employer |
| 00:06:30 | 00:06:34 | identification number obviously okay so |
| 00:06:32 | 00:06:37 | it's nine digit i said ten i'm corrected |
| 00:06:34 | 00:06:39 | so enter your ten digit uh federal ein |
| 00:06:37 | 00:06:41 | this is with no dashes so usually when |
| 00:06:39 | 00:06:43 | you get a federal ein it's gonna be like |
| 00:06:41 | 00:06:45 | two numbers a dash and then seven more |
| 00:06:43 | 00:06:47 | numbers so make sure you take the dash |
| 00:06:45 | 00:06:49 | out and put all nine numbers in there |
| 00:06:47 | 00:06:50 | right and then when it asks you to |
| 00:06:49 | 00:06:52 | describe the property that you're going |
| 00:06:50 | 00:06:54 | to be selling it's always tangible goods |
| 00:06:52 | 00:06:56 | and services for resales already always |
| 00:06:54 | 00:06:58 | in there since i'm not selling services |
| 00:06:56 | 00:06:59 | i just delete that i just say tangible |
| 00:06:58 | 00:07:01 | goods for resale and then i move on all |
| 00:06:59 | 00:07:04 | right now i'm engaged i read and |
| 00:07:01 | 00:07:05 | registered as a retailer that's what |
| 00:07:04 | 00:07:07 | we're doing here |
| 00:07:05 | 00:07:08 | describe generally the property you're |
| 00:07:07 | 00:07:10 | going to be purchasing again that's |
| 00:07:08 | 00:07:12 | tangible goods for resale and then the |
| 00:07:10 | 00:07:14 | same thing goes with all these but i |
| 00:07:12 | 00:07:16 | believe it's going to be ein |
| 00:07:14 | 00:07:18 | so oh no it's not so same thing as the |
| 00:07:16 | 00:07:20 | ones above right here so do you have an |
| 00:07:18 | 00:07:23 | alabama registration number |
| 00:07:20 | 00:07:24 | no i do not but i do have a pa one |
| 00:07:23 | 00:07:26 | um and then you're just going to put in |
| 00:07:24 | 00:07:27 | your resale certificate so most of the |
| 00:07:26 | 00:07:29 | time it's going to be out of state |
| 00:07:27 | 00:07:30 | number is it's going to let you put out |
| 00:07:29 | 00:07:32 | a state number in and then you can |
| 00:07:30 | 00:07:34 | select your your estate and put your uh |
| 00:07:32 | 00:07:35 | resellers license number in there like i |
| 00:07:34 | 00:07:37 | said every once in a while you'll click |
| 00:07:35 | 00:07:39 | one of these when you say no like idaho |
| 00:07:37 | 00:07:41 | for example where it'll ask you to put |
| 00:07:39 | 00:07:43 | your ein in and then in this case you |
| 00:07:41 | 00:07:45 | want to look for the examples right if |
| 00:07:43 | 00:07:48 | it doesn't have an example and just ask |
| 00:07:45 | 00:07:50 | you to put your ein in there put it nine |
| 00:07:48 | 00:07:52 | put all nine digits without a dash if it |
| 00:07:50 | 00:07:53 | gives you the example like it does here |
| 00:07:52 | 00:07:55 | with the dash then you want to include |
| 00:07:53 | 00:07:57 | the dash in there okay so that's just a |
| 00:07:55 | 00:07:59 | little distinction that tripped me up in |
| 00:07:57 | 00:08:00 | the beginning something that stupid is |
| 00:07:59 | 00:08:01 | literally what tripped me up and |
| 00:08:00 | 00:08:02 | wouldn't let me get it to submit it so |
| 00:08:01 | 00:08:05 | just make sure you're going through |
| 00:08:02 | 00:08:06 | slowly each one always click no or |
| 00:08:05 | 00:08:08 | obviously yes if you have that and then |
| 00:08:06 | 00:08:11 | input your your state if you have that |
| 00:08:08 | 00:08:13 | state if you don't click no always go |
| 00:08:11 | 00:08:14 | for the out of state number first if it |
| 00:08:13 | 00:08:15 | doesn't let you do that then go federal |
| 00:08:14 | 00:08:18 | ein |
| 00:08:15 | 00:08:20 | and if it's federal ein either put all |
| 00:08:18 | 00:08:22 | uh nine digits in there if there's no |
| 00:08:20 | 00:08:24 | example of a dash or all nine digits |
| 00:08:22 | 00:08:26 | with the dash after two if it shows you |
| 00:08:24 | 00:08:28 | the example now right here it's going to |
| 00:08:26 | 00:08:30 | be tangible personal property for resale |
| 00:08:28 | 00:08:31 | as we move down it's going to be the |
| 00:08:30 | 00:08:33 | same thing right do you have a virginia |
| 00:08:31 | 00:08:36 | registration number no i have an out of |
| 00:08:33 | 00:08:37 | state for pa here's my resellers license |
| 00:08:36 | 00:08:39 | number are you doing business under any |
| 00:08:37 | 00:08:42 | other name i'm not you might be if you |
| 00:08:39 | 00:08:43 | are obviously and you have a dba then |
| 00:08:42 | 00:08:45 | click yes and put your name in there i |
| 00:08:43 | 00:08:47 | do not so then after that we're going to |
| 00:08:45 | 00:08:49 | click save and continue ultimately this |
| 00:08:47 | 00:08:53 | is just what works for me and how i get |
| 00:08:49 | 00:08:55 | tax exempt on amazon for my business |
| 00:08:53 | 00:08:57 | this video also presupposes that you |
| 00:08:55 | 00:08:59 | already have a business set up and you |
| 00:08:57 | 00:09:01 | already have a reseller's permit or a |
| 00:08:59 | 00:09:03 | reseller's license if you don't that's |
| 00:09:01 | 00:09:05 | where you'll want to start because you |
| 00:09:03 | 00:09:07 | can't get tax exempt without that now i |
| 00:09:05 | 00:09:10 | had done a video uh it's about five |
| 00:09:07 | 00:09:12 | minutes long on exactly that process it |
| 00:09:10 | 00:09:13 | will show you from a to z how to get a |
| 00:09:12 | 00:09:15 | reseller's permit for your specific |
| 00:09:13 | 00:09:18 | state that video should be linked up in |
| 00:09:15 | 00:09:19 | the right-hand corner right now i hope |
| 00:09:18 | 00:09:21 | you enjoyed the video i hope you got a |
| 00:09:19 | 00:09:23 | lot of value from it if you got any |
| 00:09:21 | 00:09:25 | value from it whatsoever please give it |
| 00:09:23 | 00:09:28 | a like i genuinely appreciate it |
| 00:09:25 | 00:09:28 | until next time |
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