Nontaxable Sales

Qualifying nonprofit organizations may make purchases exempt from sales tax. The nonprofit buyer must give you a completed Form ST3, Certificate of Exemption. For more information, see Nonprofit Organizations.

Sales to the federal government and its agencies are not taxable. To be exempt from tax, purchases must be billed to and directly paid by the federal government. For more information, see Government – Federal Government.

State agencies can use their Direct Pay authorization to make purchases exempt from sales tax. For more information, see Government – State Agencies.

Local governments (such as cities, counties, and townships) may make most of their purchases exempt from sales tax. For more information, see Government – Local Governments.