Hey, eCommerce sellers! We’re here today to provide you with an overview of the sales tax registration process in Virginia. Many sellers prioritize selling in Virginia because it has a high population (which means lots of potential customers), an Amazon warehouse, and an easy sales tax permit application process. But don’t just take our word for it, check out this guide and then try it out for yourself!
If you have any questions after reading this, just let us know. We’re here and happy to help.
1) Do I have to pay sales tax in Virginia?
There is a sales tax on:
- The sale, lease, or rental of tangible personal property,
- The use or consumption of tangible personal property in Virginia, and
- Taxable services in Virginia.
FBA sellers– If you have goods in a New Jersey warehouse then you have nexus. Having nexus means you have “a significant connect, or link to Virginia according to Virginia law” to be obligated to pay sales tax. Have questions about nexus? Check out this guide!
2) Do I need a sales tax permit in Virginia?
- You sure do, if you’re a Virginia business dealing in tangible personal property or taxable services.
- Out of state dealers (sellers physically located outside of VA, but still make qualified sales, leases, or rentals in VA)
- If you have nexus, you “must register with Virginia to collect Virginia Use Tax.”
- If you do not have sufficient nexus, it is your choice to either register or not register to collect use tax.
3) How can I make this as painless as a possible?
Have the following information ready beforehand:
- Reason for filing,
- Business name,
- SSN of owner,
- Entity type (sole proprietor, corporation, pass-through entity, government entity, etc.),
- Trade name,
- Business physical address,
- Business mailing address,
- Primary contact info,
- Responsible party info, and
- Anticipated date of first retail sale.
4) How do I register for the permit?
- If you are a new business, you might want to register with the IRS and/or State Corporation Commission first.
- Register online with VATAX.
- Register by paper with Form R-1.
- Application instructions
- Mail to:
- Virginia Department of Taxation Registration Unit, P.O. Box 1114, Richmond VA 23218-1114
- Fax to: (804)-367-2603
5) How much does this permit cost?
No cost! That’s right – Not a single cent!
6) When will I receive the permit?
For online registration, you are good to start charging sales tax right away. Simply display your Certificate of Registration (Form ST-4) at your business location!
7) When will I need to renew?
There is no renewal needed in VA. Pretty sweet, right?
For more information, check out the Virginia Tax Rules and Regulations.
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