Texas Resale Certificate Guide 2026: How to Get Yours

Texas is the second-largest state by both population and GDP, with a booming economy that spans oil and gas, technology, agriculture, manufacturing, and a massive retail sector. Because Texas has no state income tax, it relies heavily on sales tax revenue, which makes proper use of resale certificates especially important. This guide explains how to obtain, complete, and use a Texas resale certificate in 2026 using Form 01-339 from the Texas Comptroller of Public Accounts.

Texas Sales Tax Basics

State Base Rate

The Texas state sales tax rate is 6.25%. This is a flat rate that applies to all taxable transactions across the state.

Local Taxes

Cities, counties, transit authorities, and special purpose districts can add up to 2% in local sales taxes, bringing the maximum combined rate to 8.25%.

Most major Texas cities charge the maximum 8.25% combined rate. Use our sales tax lookup tool to check the exact rate for any Texas address.

What Is Taxable in Texas?

Texas taxes the sale of tangible personal property and certain services. Key points:

• Most physical goods are taxable
• Groceries (food for home consumption) are exempt
• Prescription drugs and over-the-counter medications are exempt
• Clothing and footwear are fully taxable (except during the annual sales tax holiday)
• Certain services are taxable, including data processing, debt collection, credit reporting, insurance services, internet access, real property repair, and security services
• Digital products (downloaded software, e-books, music) are generally taxable in Texas

What Form Do You Need?

Texas uses Form 01-339, the Texas Sales and Use Tax Resale Certificate / Exemption Certification. This form is issued by the Texas Comptroller of Public Accounts.

About Form 01-339

The 01-339 is a multi-purpose exemption form. It covers both resale exemptions and other types of tax exemptions. When used for resale, the buyer checks the "resale" box and provides their 11-digit Texas taxpayer number.

The form includes:

• Purchaser's name and address
• Texas taxpayer number (11 digits)
• Type of exemption claimed (resale, manufacturing, agriculture, etc.)
• Description of items to be purchased tax-free
• Purchaser's signature and date

The 11-Digit Texas Taxpayer Number

Your Texas taxpayer number is an 11-digit number assigned when you register for a Texas sales tax permit. This number is different from your federal EIN. It appears on your sales tax permit and all correspondence from the Comptroller.

Sellers can verify your taxpayer number using the Comptroller's online verification tool. If the number is invalid or does not match your business name, the seller should refuse the certificate.

Where to Get the Form

Form 01-339 is available as a free PDF download from the Texas Comptroller's website. You can also request it by calling the Comptroller's office.

Who Needs a Texas Resale Certificate?

You need a Texas resale certificate if you purchase tangible personal property or taxable services that you intend to resell. Common business types include:

Retailers buying inventory from wholesalers or manufacturers to sell to consumers in stores or online.

Wholesalers and distributors purchasing goods to resell to retailers or other businesses.

Online sellers with a Texas sales tax permit who buy inventory for resale through Amazon, eBay, Shopify, Etsy, or other platforms.

Manufacturers purchasing raw materials and components that become ingredients or parts of a product manufactured for sale.

Restaurants buying food and beverage ingredients that will be prepared and sold to customers.

Who Does NOT Qualify

• Consumers purchasing for personal use
• Businesses buying equipment, supplies, or office items for their own use
• Contractors purchasing materials for jobs (Texas treats contractors as end consumers for materials incorporated into real property)

How to Apply for a Texas Resale Certificate

Step 1: Register for a Texas Sales Tax Permit

You must have a Texas sales tax permit before you can issue a resale certificate. Registration is free and done through the Comptroller's website.

What you need to register:

• Federal EIN or SSN (for sole proprietors)
• Texas Driver's License or state ID for the responsible party
• Business legal name, trade name (DBA), and address
• NAICS code (business activity code)
• Estimated monthly taxable sales
• Bank account information (for electronic filing)

Processing time: Online applications are typically processed within 2 to 4 weeks. The Comptroller mails your permit to your registered business address.

Step 2: Complete Form 01-339

Download the form and fill in your business information, including your 11-digit Texas taxpayer number. Check the box for "Resale" as the exemption type. Describe the general categories of products you will purchase for resale.

Step 3: Provide the Certificate to Your Suppliers

Give the completed 01-339 to each vendor you buy from. The vendor keeps the certificate on file. You can issue a blanket certificate that covers all future purchases of specified product types from that vendor, or you can issue certificates per transaction.

Need help with the process? We handle everything from Texas sales tax permit registration to resale certificate completion.

Get Your Resale Certificate -->

Multi-State Considerations

Texas is relatively flexible when it comes to accepting certificates from other states.

Texas Accepts the MTC Uniform Certificate

Texas accepts the Multistate Tax Commission (MTC) Uniform Sales and Use Tax Resale Certificate. This means out-of-state businesses can use the MTC form instead of the Texas-specific 01-339 when purchasing goods in Texas for resale.

However, the buyer must still provide a valid taxpayer registration number from their home state (or Texas, if registered).

Out-of-State Sellers

If you are located outside Texas but sell to Texas customers, you may have economic nexus in Texas. Texas's economic nexus threshold is $500,000 in Texas sales in the preceding 12 calendar months.

Marketplace sellers should note that marketplace facilitators (Amazon, eBay, Walmart, Etsy) collect and remit Texas sales tax on behalf of third-party sellers. But if you also sell through your own website or at Texas trade shows, you may still need your own Texas permit.

Buying From Out-of-State Vendors

If you purchase inventory from an out-of-state vendor who does not collect Texas sales tax, you owe Texas use tax on those purchases, unless the items are for resale. Having a valid resale certificate on file with the vendor documents your exemption.

For more on multi-state compliance, see our multi-state resale certificate guide.

Common Mistakes with Texas Resale Certificates

Mistake 1: Using the Wrong Taxpayer Number

Texas requires an 11-digit taxpayer number, not your federal EIN. Many businesses accidentally put their 9-digit EIN on the form, which makes the certificate invalid. Always use the number assigned by the Texas Comptroller.

Mistake 2: Buying Non-Resale Items Tax-Free

Purchasing office equipment, tools, cleaning supplies, or other items you will consume in your business using a resale certificate is illegal. The Comptroller's auditors look specifically for this pattern, and penalties include back taxes plus interest and potential fraud penalties of up to 50% of the tax due.

Mistake 3: Not Updating Certificates After Business Changes

If your business name, address, or ownership changes, you should provide updated certificates to your vendors. Outdated information can cause issues during an audit.

Mistake 4: Issuing Blanket Certificates Too Broadly

A blanket certificate is supposed to cover a general category of goods you regularly buy for resale. If you issue a blanket certificate and then use it to buy clearly non-resale items (like a personal television), the entire certificate can be questioned during an audit.

Texas-Specific Rules You Should Know

No State Income Tax Means Aggressive Sales Tax Enforcement

Texas does not have a state income tax, which means sales tax is a primary revenue source. The Comptroller's office is known for thorough audits and strict enforcement. Businesses should expect that improper use of resale certificates will be caught.

Franchise Tax Connection

While separate from sales tax, Texas does impose a franchise tax (also called the margin tax) on businesses operating in the state. When you register for a sales tax permit, the Comptroller's office also becomes aware of your franchise tax obligations. Make sure you are compliant with both.

Texas Sales Tax Holidays

Texas holds annual sales tax holidays for specific categories of items (clothing, school supplies, energy-efficient products, emergency preparation supplies). During these holidays, qualifying items are exempt from sales tax for all buyers, not just resellers. These holidays do not affect your resale certificate usage but are worth noting for your retail planning.

Marketplace Facilitator Rules

Texas requires marketplace facilitators like Amazon, Walmart, and eBay to collect and remit sales tax on behalf of third-party sellers. If you sell exclusively through a marketplace, you may not need a Texas sales tax permit. But if you make any direct sales (your own website, trade shows, craft fairs), you do need one.

Exemption for Manufacturing

Texas offers a broad manufacturing exemption for equipment and machinery used directly in manufacturing, processing, fabricating, or repairing tangible personal property for sale. This uses the same Form 01-339 but with a different exemption box checked.

How Much Can You Save?

At Texas's common combined rate of 8.25%, resale certificate savings are significant.

Calculate your specific savings with our savings calculator.

Texas Resale Certificate FAQs

Q: Does the Texas resale certificate expire? A: No. Texas resale certificates do not have an expiration date. They remain valid as long as the buyer's sales tax permit is active and the information on the certificate is accurate.

Q: Can I use my Texas resale certificate in other states? A: No. Your Texas certificate and taxpayer number are only valid in Texas. For purchases in other states, you need to use that state's form or, if accepted, the MTC Uniform Certificate.

Q: What if I am audited? A: The Comptroller will review your purchase records, the resale certificates you provided to suppliers, and the certificates you accepted from buyers. Having properly completed certificates on file is your primary defense.

Q: Do I need a separate permit for each business location? A: Yes. Each place of business in Texas needs its own sales tax permit. However, you can apply for all locations on a single application.

Q: Is there a fee for the Texas sales tax permit? A: No. Texas does not charge a fee for a sales tax permit.

Get Started with Your Texas Resale Certificate

Texas's large economy and high combined sales tax rate make a resale certificate essential for any business buying goods for resale. With no permit fee and a straightforward process, there is no reason to delay.

• Fast processing and expert guidance
• Help with 11-digit taxpayer number registration
• Complete compliance support

Get Your Resale Certificate -->

For more details on Texas requirements, visit our Texas state page.

A Texas resale certificate puts money back in your business on every inventory purchase. Get your sales tax permit, complete Form 01-339 correctly, and start purchasing tax-free.

Related Articles

• What Is a Resale Certificate? - Start here if you are new to resale certificates.
• Common Resale Certificate Mistakes That Trigger Audits - Texas auditors are thorough. Learn what to avoid.
• Drop Shipping and Resale Certificates - Special rules apply for Texas drop shippers.