How to Get a Resale Certificate in New Hampshire

How to Get a Resale Certificate in New Hampshire

How to Get a Resale Certificate in New Hampshire

The Short Answer: New Hampshire Has No Sales Tax

If you landed here looking for a New Hampshire resale certificate, here is the direct truth: New Hampshire does not have a state sales tax. There is no resale certificate to file, no seller's permit to obtain, and no sales tax license required by the state.

This is a genuine advantage for retailers and wholesalers doing business in New Hampshire. You will not owe state sales tax on inventory purchases, and you do not need a resale certificate to buy goods for resale.

However, that does not mean your NH business needs zero licenses or permits. What you actually need depends on what you sell and where you operate. This guide explains exactly what is required.

Why Other States Have Resale Certificates (And NH Does Not)

In states that charge sales tax, a resale certificate (also called a seller's permit or resale license) lets you buy goods wholesale without paying sales tax. When you resell those goods to end consumers, the consumer pays the sales tax.

New Hampshire abolished its sales tax decades ago. There is no sales tax on tangible goods, no use tax on goods purchased elsewhere, and no consumption tax on most services. Businesses buy inventory at retail price and pass that cost directly to customers with no tax markup.

If your business is located in New Hampshire but you make sales into other states, those other states' sales taxes may apply to interstate sales. That is not an NH issue, but your fulfillment state's issue. You should consult a tax advisor about nexus and interstate sales tax obligations.

What Licenses and Permits New Hampshire Businesses Actually Need

Although New Hampshire does not require a general statewide business license, specific industries and activities do require permits and licenses. Review this list to find what applies to your business.

Meals and Rooms (Rentals) Operator's License

If you operate a hotel, provide sleeping accommodations, sell taxable meals, or rent motor vehicles, you must register for a Meals and Rooms (Rentals) Operator's License through the New Hampshire Department of Revenue Administration. This is required regardless of sales volume.

Apply through the Granite Tax Connect portal at https://gtc.revenue.nh.gov/TAP/_/. Processing typically takes 5 to 10 business days.

Tobacco Tax Certificate

If you sell tobacco products (cigarettes, cigars, smokeless tobacco, vaping products), you must obtain a Tobacco Tax Certificate from the Department of Revenue Administration. Application goes through the same Granite Tax Connect portal.

Communications Services Retailer's Tax License

Businesses selling communications services (including cellular, landline, internet, cable) need a Communications Services Retailer's Tax License. Apply through DRA's Granite Tax Connect system.

Professional Licenses and Regulated Trades

If your business involves a regulated profession or trade, you need a license from the New Hampshire Office of Professional Licensure and Certification (OPLC). Regulated fields include:

  • Accounting and tax preparation
  • Architecture and engineering
  • Cosmetology and barbering
  • Healthcare professions (nursing, physical therapy, psychology, etc.)
  • Home improvement contractors
  • Real estate agents and brokers
  • Security professionals

Check the full licensure roster at https://www.oplc.nh.gov/professional-licensing. Individual licensing boards handle applications, fees, and renewal. Do not assume your field is unregulated, check OPLC first.

Food Service Health License

If you prepare or serve food to the public (restaurants, catering, food trucks, bakeries with on-site sales), you need a food service license from the New Hampshire Department of Health and Human Services. Requirements include health inspections and food handler certification.

Submit applications to your local health department or the state DHHS food safety bureau, depending on your municipality. Processing timelines vary by location, typically 2 to 4 weeks after inspection.

Local Permits and Zoning Approval

Your city or town clerk oversees local permits and zoning approval. Even if your business type requires no state license, local permits may be mandatory. Common local requirements include:

  • Business registration or local business license (fee typically 25 to 100 dollars)
  • Zoning approval (use variance if your business does not fit the zoning district)
  • Building permits for renovations or build-outs
  • Sign permits if you install exterior signage
  • Parking or traffic-impact reviews

Contact your town or city clerk's office before signing a lease or purchasing property. Zoning and local-license requirements vary significantly by municipality.

State Tax Requirements: Business Profits Tax and Business Enterprise Tax

While New Hampshire has no sales tax, it does tax business profits and business enterprise value. If your business exceeds certain thresholds, you owe state taxes.

Business Profits Tax (BPT)

A 7.5% tax applies to business organizations with gross business income exceeding 109,000 dollars (as of tax periods ending on or after December 31, 2023). This includes partnerships, S-corporations, LLCs, and C-corporations. Sole proprietors generally do not owe BPT, but self-employment income above thresholds may trigger other taxes.

File annual returns with the Department of Revenue Administration. The deadline is typically April 15 or 15 days after your federal return filing date.

Business Enterprise Tax (BET)

A 0.55% tax applies to compensation paid, interest, and dividends if your enterprise has gross receipts or an enterprise value tax base exceeding 298,000 dollars. File with the same annual return cycle as BPT. BET paid serves as a credit against BPT owed.

The Department of Revenue Administration provides worksheets and guidance at https://www.revenue.nh.gov/. Consult a CPA or tax attorney if you exceed these thresholds, as calculation rules are complex and errors trigger penalties.

Do You Need a Federal Employer Identification Number (EIN)?

An EIN is a federal identification number, not a state permit. Apply for a free EIN at the IRS website (https://www.irs.gov/ein) if you have employees, operate as a partnership or corporation, or prefer to use an EIN for business banking instead of your Social Security number.

Sole proprietors operating as a one-person business do not need an EIN; the IRS accepts your Social Security number. However, many sole proprietors apply for an EIN anyway to keep business and personal finances separate.

Steps to Ensure Your Business Complies

Step 1: Identify Your Business Type and Industry

Write down your primary business activity. Are you a retail store, a service provider, a manufacturer, a food business, a professional? This determines which licenses and permits apply to you.

Step 2: Check Local Zoning and Permits

Contact your city or town clerk before leasing a space or buying property. Ask specifically:

  • Does my business use fit the zoning for this location?
  • What local business licenses or permits do I need?
  • What is the application fee and timeline?

Step 3: Check State Licensing Requirements

Visit the OPLC website at https://www.oplc.nh.gov/professional-licensing and search for your profession. If it is listed, download the application requirements and timeline. Start the licensing process early, as some professions require background checks or continuing education before you can apply.

Step 4: Determine If You Need a DRA Tax License

If you operate a hotel, restaurant, sell tobacco, or provide communications services, apply for the appropriate DRA license through Granite Tax Connect at https://gtc.revenue.nh.gov/TAP/_/.

Step 5: Register Your Business Entity

If you are forming an LLC or corporation, file formation documents with the New Hampshire Secretary of State at https://www.sos.nh.gov/corporations-0. The Secretary of State does not issue a business license, but registration is required for legal entity recognition.

Step 6: Obtain Federal and State Tax IDs

Apply for an EIN from the IRS if needed. Check the Department of Revenue Administration website for state-specific instructions if you will owe Business Profits Tax or Business Enterprise Tax.

Step 7: Open a Business Bank Account

Bring your EIN documentation, business registration (LLC/corporation certificate), and local business license to a New Hampshire bank. Most banks request these documents before opening a business account.

Common Mistakes to Avoid

Mistake 1: Assuming you need no permits because NH has no sales tax. No sales tax does not mean no other requirements. Always check local zoning and state professional licensing rules.

Mistake 2: Starting operations before zoning approval. Operating in a non-compliant zoning location can result in cease-and-desist orders and fines. Get written zoning approval before opening.

Mistake 3: Ignoring local business license requirements. Even though the state does not mandate a general business license, your town or city may require one. Failure to obtain it can result in fines.

Mistake 4: Delaying professional licensing. Regulated professions often have long application timelines. Start the licensing process months before you plan to open, not days before.

Mistake 5: Not consulting a tax professional about BPT and BET thresholds. Business tax calculations are easy to get wrong. If you exceed the 109,000 dollar or 298,000 dollar thresholds, a CPA is worth the cost of a few hours of guidance.

Key Resources for New Hampshire Businesses

Bookmark these official state resources:

When to Consult a Professional

This guide is informational only and is not legal or tax advice. Consider consulting a qualified professional in these situations:

  • You are starting a regulated profession and need licensing guidance
  • Your business will have employees
  • You are unsure whether your business owes Business Profits Tax or Business Enterprise Tax
  • You are forming an LLC or corporation and need guidance on structure
  • You operate across state lines and owe out-of-state sales taxes
  • Your city or town clerk's office gives you conflicting guidance

The New Hampshire Small Business Development Center offers free, confidential advisory services. The SBA New Hampshire District also provides no-cost business counseling through their network of partners.

Bottom Line

New Hampshire's lack of a sales tax is a real business advantage, but it does not mean your business needs zero compliance. State and local requirements vary by industry and location. Take time to verify what applies to your specific situation before you open. Spending a few hours on due diligence now prevents costly fines or closure orders later.