Ohio Sales Tax Exemptions
| Exemption Reason | Form (STEC) | Issued By | Completed By |
|---|---|---|---|
| Resale | U (Unit) or B (Blanket) | Purchaser | Create |
| Manufacturing | U or B | Purchaser | Create |
| Nonprofit Organizations | U or B | Purchaser | Create |
| Direct Payment Permit Holders | P | Purchaser | Create |
| Federal Government | U or G | Purchaser | Create |
| State Government | U or G | Purchaser | Create |
| Agricultural Use | U or B | Purchaser | Create |
| Construction Contracts for Exempt Entities | CC | Contractor | Create |
| Contractors Purchase of Materials | CO | Contractor | Create |
| Multiple Points of Use | MPU | Purchaser | Create |
Multi-state forms available:
| Form | Issued By | XMPT Delivery | Revision |
|---|---|---|---|
| MTC Uniform Sales Tax Certificate | Purchaser | Create | October 14, 2022 |
| SST Streamlined Sales Tax Certificate | Purchaser | Create | December 21, 2021 |
Notes:
Ohio uses several standard exemption certificate forms:
- STEC U (Unit Exemption Certificate): For single transactions
- STEC B (Blanket Exemption Certificate): For multiple transactions from the same vendor
- STEC CC (Construction Contract Exemption Certificate): For construction contracts with exempt entities
- STEC CO (Contractor's Exemption Certificate): For contractors purchasing materials
- STEC P (Direct Payment Permit): For businesses with direct payment authority
- STEC G (Government Exemption Certificate): For government entities
The State of Ohio does not issue sales tax exemption numbers. A vendor's license number is NOT a sales tax exemption number.
For the manufacturing exemption, the item must be used "primarily in a manufacturing operation to produce tangible personal property for sale" per Ohio Revenue Code Ann. 5739.02(B)(42)(g).
Each exemption certificate must: (a) state the name of the vendor and customer; (b) recite the exemption; (c) be dated; and (d) be signed by the customer.
The manufacturing operation begins when raw materials are committed to the manufacturing process and ends when the product is completed.
Manufacturers who have already paid sales taxes can file Form ST AR (Sales/Use Tax Application for Refund) to recover taxes on qualifying purchases, if filed within four years.
For construction contracts, contractors must use form STEC CC when working for exempt organizations and STEC CO for their own purchases of materials.
Charitable nonprofit organization exemptions apply to sales to 501(c)(3) organizations operating exclusively for charitable purposes as defined in R.C. 5739.02(B)(12).
Vendors must keep exemption certificates for at least four years from the date of the last exempt sale covered by the certificate.