- Some goods are exempt from sales tax under Arkansas law, such as prescription drugs, purchases with food stamps, and certain farming equipment.
- To get a farm tax-exempt number in Arkansas, contact the Sales and Use Tax Section.
- An Arkansas Sales Tax Exemption Certificate allows a business to buy goods for resale without paying sales tax.
- Businesses must complete an application for a Sales Tax ID number to obtain the certificate.
- Nonprofits, including charities, churches, and food banks, can apply for sales tax exemption in Arkansas.
- The Arkansas Department of Finance and Administration handles state tax exemption forms.
While the 6.5% Arkansas sales tax applies to most sales, some items, such as agriculture and construction materials, are exempt. Restaurant meals also have special sales tax rates.
To get a resale certificate in Arkansas:
- First apply for a sales tax permit to get a Sales Tax ID number.
- Then fill out the Tax Exemption Certificate form with that number.
Buyers who are exempt depend on their type and intended use of goods. When selling to tax-exempt buyers, sellers do not have to fill out paperwork.