Delaware Has No Sales Tax: What Resellers Use Instead of a Resale Certificate

Delaware is one of the five US states with no statewide sales tax — so there is no Delaware resale certificate to get, because there is no state sales tax to be exempted from. That answer surprises suppliers less than it surprises new resellers: distributors deal with buyers from no-tax states all the time. Here is what to send them instead.

What Delaware resellers give suppliers

No sales tax and no resale certificate exists; Delaware instead levies a gross receipts tax on the seller with no resale exemption mechanism for that tax.

Not applicable – Delaware issues no resale certificates; suppliers in other states cannot receive a ‘Delaware’ certificate.

Practical checklist

1. Register your business normally (LLC/entity, EIN) — see the full sourcing roadmap.
2. When a supplier asks for a resale certificate, explain that Delaware has no state sales tax and offer the documentation described above (many suppliers accept a completed Multistate Tax Commission uniform certificate with your home-state details, or your business registration).
3. If you hold inventory or have sales tax nexus in other states, register there and use those states’ certificates for suppliers shipping into them.

FAQ

Will every supplier accept this?

Most will; a minority insist on a certificate from a sales-tax state and may charge tax or decline the exemption otherwise. Supplier profiles in our catalogue record documentation requirements where we have verified them.

Anything specific to Delaware?

When suppliers in taxing states ask for a certificate, Delaware resellers typically register for a sales tax permit in the supplier’s or nexus states, or submit an MTC Uniform Certificate noting Delaware has no sales tax along with their DE business license number. Some suppliers will still charge tax absent a valid certificate for their own state.

Confirm current rules with the Delaware Division of Revenue. Next step: choosing and verifying a supplier.