If you believe you may be entitled to an exemption from state or local sales and use taxes, follow the instructions below.
For sales and use tax exemption of Lob’s Software-as-a-Service (SaaS) and Direct Mail services distributed in the United States, email all your relevant signed exemption certificates to [email protected]. In order for a form to be processed expeditiously, please ensure:
- Purpose must be clear (Resale certification, exemption for promotional materials, etc.)
- Signed and Dated, by an authorized signer
- When using the form to upload your certificates, include your Lob Account ID, Lob Account Name and the states that these certificates intend to be exempt for so that our Lob Tax team for alignment during review. Alternatively, you may email your certificates and other related information to [email protected].
State and/or Local Sales Tax Exemption Forms are required from all customers claiming exemption from state or local sales and use taxes. State and Local Sales Tax Exemptions vary from state to state; therefore, Lob does not provide exemption forms. You may obtain an exemption certificate from the state or governmental body imposing the tax. Exemption forms must be provided to Lob before any tax exemption is placed on an account.
Contact your local taxing authority if you have questions about state and local tax exemption. In addition, Lob recommends that you review and/or reach out to your tax advisors regarding the potential applicability of Streamlined Sales and Use Tax Agreement (“SSUTA”) and/or the Uniform Sales & Use Tax Resale Certificate-Multijurisdiction exemption certificate.
Allow 7-10 business days for the Lob team to review your exemption request. You will receive an email to confirm the exemption products and states and Lob will apply the exemption in conjunction with the collection of the sales tax.
Lob has nexus, a legal requirement to collect and remit sales tax, in almost every state. The tax situs (state that will receive the tax) is determined by several factors (not only your billing address) and the exemption certificate provided will only apply to the states that accept the particular exemption certificate. This means that if the determined tax situs (place of taxation) for your sales is outside of the states that are covered in your exemption certificates, you will be billed sales taxes in those states for which you do not have certificates..
Lob recommends that you review and/or reach out to your tax advisors regarding the following:
- Whether your resale certificate is accepted by other states other than the issuing state. Lob utilizes the Healy & Schadewald's Annual Revenue Department Surveys to determine if states will accept out of state resale certificates.
- Whether your Company qualifies for the Streamlined Sales and Use Tax Agreement (“SSUTA”) and/or the Uniform Sales & Use Tax Resale Certificate-Multijurisdiction exemption certificate for a broader exemption coverage for direct mail.
Tax-Exempt Entity certificates are only applicable where tax situs equals the issuing state of the certificate.
This is the date that the exemption became applicable. Send all exemption certificates that are valid from January 1, 2018 forward.
If your document requires a signature, it should be signed by either an officer or an authorized representative of your organization as indicated on the form. If the document is not signed, it will be considered incomplete and will be returned for signature. An unsigned exemption certificate is not considered valid by state tax laws.
If you routinely make similar purchases or purchase recurring services, you should check the Blanket option. If you choose Single Purchase, only one month’s invoice will be tax exempt.
The duration varies by state and your organization’s type . Most state tax exempt documents will show an expiration date, if it will expire; otherwise many states require a renewal around 3-5 years. Please confirm with the specific states and comply with their respective rules. Send renewed exemption certificates to [email protected] to avoid gaps in exemption status. Expired exemption certificates are not valid for sales tax exemptions.
Your organization’s name must be provided on the form. It may say Name of Purchaser, Billing Name or Exempt Taxpayer’s Name and must match the Bill Name on the account. The account must be billed in the tax exempt organization’s name which must match your Lob billing account name or the tax exemption cannot be applied. You may update your billing account name here.
If your particular state tax exemption document has a field for the vendor’s address, enter: Name of seller
210 King Street
San Francisco CA 94107
If your particular state tax exemption document has a field for a description, you will need to write in a description of the services provided on that account. To provide the most broad exemption, you can enter: Direct Mail.
If you have questions regarding your tax exemption, you can contact the IRS at 1-800-829-4933. If you have specific questions about a request you have submitted to Lob, please email [email protected].