States That Don’t Require a Seller’s Permit

What a Seller’s Permit Is (and Why It Matters)

A seller’s permit (often called a sales tax permit, sales tax license, sales and use tax permit, or reseller permit) is a state registration that allows a business to:

• Collect sales tax from customers on taxable sales
• Report and remit sales tax to the state
• Purchase inventory for resale without paying sales tax at the time of purchase (using resale documentation)

In most states, if you make taxable retail sales, you must register before you begin selling. The key exception is when a state does not impose a general statewide sales tax.

The Short Answer: The States Without a Statewide Sales Tax

In the United States, five states do not impose a general statewide sales tax. Because there is no statewide sales tax to collect, these states generally do not issue a traditional statewide seller’s permit for ordinary retail sales:

• Alaska
• Delaware
• Montana
• New Hampshire
• Oregon

Important Exceptions: “No Seller’s Permit” Doesn’t Mean “No Registration”

Even in states without a statewide sales tax, businesses may still need other registrations depending on what they sell, where they sell, and how they operate.

Local Sales Taxes (Especially Alaska)

Alaska does not have a statewide sales tax, but many local jurisdictions (cities/boroughs) impose local sales taxes and require local registration. If you sell in multiple Alaska localities, you may need multiple local registrations and must follow each locality’s rules for taxability, returns, and remittance.

Special Taxes on Certain Products or Activities

States without a general sales tax may still impose other taxes that can trigger licensing, reporting, or permit requirements, such as taxes related to:

• Alcohol, tobacco, cannabis, or vaping products
• Fuel, lodging, or rentals
• Prepared foods or certain regulated services
• Business gross receipts or industry-specific fees

Business Licensing, Employer Accounts, and Other Registrations

Even without a seller’s permit, you may need:

• A state business registration (entity formation/foreign qualification)
• Local business licenses and zoning approvals
• Employer registrations for payroll withholding and unemployment insurance if you hire employees
• Professional licenses for regulated occupations

State-by-State Notes for the “No Statewide Sales Tax” States

Alaska

• Statewide seller’s permit: Generally not required due to no statewide sales tax.
• Local requirements: Many local jurisdictions impose sales tax and require local registration, filing, and payment.
• Practical tip: Confirm whether your ship-to address or point of sale is in a taxing locality and whether local registration is required before making sales.

Delaware

• Statewide seller’s permit: Delaware does not have a general sales tax.
• Other taxes: Delaware commonly uses other business tax structures (such as gross receipts-type taxes) and may require business licensing/registration for operating in the state.
• Practical tip: If you are pricing products, factor in any non-sales-tax business taxes that may apply to your industry.

Montana

• Statewide seller’s permit: No general statewide sales tax, so a traditional seller’s permit is generally not required.
• Local nuances: Certain resort areas can impose local option taxes that function similarly to sales taxes in limited locations.
• Practical tip: If you sell in or ship to special tax jurisdictions, verify whether any local tax and registration applies.

New Hampshire

• Statewide seller’s permit: No general sales tax, so a standard seller’s permit is generally not required.
• Other taxes: Certain taxes can apply depending on what you sell (for example, meals/rooms-type taxes and other category-specific taxes).
• Practical tip: Hospitality and prepared food businesses should confirm category-specific tax registration requirements.

Oregon

• Statewide seller’s permit: No general sales tax, so a seller’s permit is generally not required for typical retail sales.
• Other requirements: You may still need state and local business registrations, and industry-specific licenses can apply.
• Practical tip: If you sell across state lines, you may still need seller’s permits in states where you have sales tax obligations.

When You Still Need a Seller’s Permit (Even If Your Home State Doesn’t Require One)

A common misunderstanding is that operating from a “no sales tax” state eliminates the need for sales tax registration everywhere. In reality, sales tax obligations are often based on where your customers are located and where you have a taxable connection.

• Selling into other states: You may need to register for a seller’s permit in states where you have tax obligations.
• In-person selling: Attending events, pop-ups, or trade shows in another state can trigger registration requirements.
• Warehousing/fulfillment: Storing inventory in another state can create a tax connection that requires a permit.

How to Tell Whether You Need a Seller’s Permit for Your Business

Use this checklist to identify whether a seller’s permit (or similar registration) is required:

• Do you sell taxable tangible goods or taxable services in a state that has a general sales tax?
• Do you have a physical presence (office, employees, inventory, events) in a sales-tax state?
• Do you sell online into sales-tax states at a level that triggers registration requirements?
• Do you need to buy inventory for resale and provide resale documentation to suppliers?
• Are you selling in Alaska localities that impose local sales taxes?

Once registered, maintain clean records of taxable vs. nontaxable sales, exemptions, and returns. Strong documentation practices also support accurate customer billing and payment tracking; consistent invoice processes help keep sales tax reporting organized.

Related Registrations Commonly Confused with a Seller’s Permit

Sales Tax Number vs. Seller’s Permit

Many states assign an account number after registration. People often refer to that number as a “sales tax number,” but it is tied to the permit/registration itself. For a practical example of how a state frames this concept, see Ohio State Sales Tax Number.

EIN and Entity Registrations

A seller’s permit is separate from federal tax identification and business entity filings. If you form a partnership or add partners, you may also need to handle federal employer identification steps; the Partnership Employer Identification Application Form is often part of that process.

FAQ: States That Don’t Require a Seller’s Permit

1) Which states don’t require a seller’s permit?

Alaska, Delaware, Montana, New Hampshire, and Oregon generally do not require a traditional statewide seller’s permit because they do not impose a general statewide sales tax.

2) If my business is in Oregon, do I ever need a seller’s permit?

You may need seller’s permits in other states if you sell to customers there and your business has a tax obligation under that state’s rules. Oregon’s lack of sales tax does not remove out-of-state registration requirements.

3) Does Alaska require a seller’s permit?

Alaska generally does not require a statewide seller’s permit, but many local jurisdictions impose local sales taxes and require local registration, filing, and payment.

4) Do I need a seller’s permit to sell online from New Hampshire?

New Hampshire generally does not require a seller’s permit for typical retail sales, but you may need to register in other states where your customers are located if those states require registration based on your sales and activities.

5) If there’s no sales tax, can I still buy inventory “tax-free” for resale?

In states without a general sales tax, the typical resale certificate framework may not apply the same way. If you buy inventory from suppliers in sales-tax states, the supplier may require your out-of-state sales tax registration or other documentation depending on where the transaction occurs and where the goods are delivered.

6) Do Delaware businesses need any tax registration if there’s no sales tax?

Often yes. Delaware businesses may still need state business licensing and may be subject to other tax structures depending on the business’s activities and revenue type.

7) What if I sell at a weekend craft fair in a sales-tax state?

Many sales-tax states require temporary or standard sales tax registration for in-state events, even if your home state does not have sales tax. Event-based selling can trigger immediate collection and reporting obligations.

8) Is a “sales tax number” the same thing as a seller’s permit?

They are closely related. The seller’s permit is the registration/authorization to collect and remit tax, and the “sales tax number” is typically the account identifier assigned to that registration.

9) Can a city or county require a permit even if the state doesn’t?

Yes. Local governments can require business licenses and, in some cases, local tax registration. Alaska is the