LLC is incorporated in California, and my wholesaler is in Texas. Right now I pay taxes on the wholesale goods in Texas, can I get a seller’s certificate to be tax-exempt?

Hi guys,

I run a small business out of California. We sell/print posters of maps online. I used to have a San Francisco based supplier, in which I was tax-exempt from any tax on the goods they sold to me, since I had a seller's certificate, and I would be collecting sales tax from anyone in California, then remitting it later.

Recently, I switched to a Texan based supplier. I still charge sales tax to my Californian customers + remit, but now I realized I am also being charged sales tax on the goods from my Texan supplier.

Questions…

  • 1) Since the goods are being shipped out of Texas, does that mean I should not be charging and paying Sales tax for my California consumers, even though my company is incorporated in California?

and if so,

  • 2) Should I be looking to get a re-seller's certificate for Texas, even though i'm based in California?

  • 3) Am I responsible for charging Texan customers sales tax?

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