How do I apply for a seller's permit?

How to Apply for a Seller's Permit in Maryland

In Maryland, a seller's permit is commonly referred to as a Sales and Use Tax License. This permit allows your business to collect sales tax on taxable goods and services.

Steps to Obtain a Sales and Use Tax License

• Register Your Business: Before applying, ensure your business is properly registered with the Maryland Department of Assessments and Taxation (SDAT).
• Apply Online: Submit your application through the Comptroller of Maryland’s website using the Maryland Business Express portal.
• Provide Business Information: Be ready to provide details such as your Federal Employer Identification Number (FEIN), business structure, physical address, and contact information.
• Review Application Requirements: Confirm that your business activities require a sales tax license, especially if you sell tangible personal property or taxable services.
• Submit Application: Complete and submit the online application. There is no fee to obtain the Sales and Use Tax License in Maryland.
• Receive License: Upon approval, you will receive your license electronically, allowing you to legally collect and remit sales tax.

Operational Considerations

• Sales Tax Collection: After receiving your license, set up your point-of-sale systems or accounting software to collect the correct sales tax rates applicable in Maryland.
• Filing and Reporting: Maryland requires periodic sales tax returns; establish a schedule for timely filing to stay compliant.
• Recordkeeping: Maintain detailed sales records and tax collected to support reporting and potential audits.
• Employee Training: Train staff on sales tax collection procedures and compliance to avoid errors.
• Automation: Consider automating sales tax calculations and filings to reduce manual errors and administrative burden.

As of 2026, always check the Maryland Comptroller’s website for the latest updates on application procedures and compliance requirements.