Requirements to Comply with Nebraska Sales and Use Tax

The state of Nebraska has both a sales and use tax.  Sales tax generally applies to transactions within Nebraska.  On the other hand, the use tax applies when you purchase goods in another state for use in Nebraska and there is no sales tax on those goods when purchased. An example of the use tax applying is in out-of-state Internet or catalog purchases where the vendor does not charge any sales tax.

If you or your company performs services or sells goods subject to the sales tax, or if you become subject to the use tax, you are required to report and remit both taxes to the Nebraska Department of Revenue.  To do so, you must first obtain a sales tax permit.  A permit may be obtained by submitting a Nebraska Tax Application Form 20.  After obtaining the permit, you then begin reporting sales and use tax by filing Nebraska Tax Form 10.  Form 10 must be filed monthly, quarterly, or annually based on the amount of states sales tax collected and use tax owed.

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