Official Delaware 373 Form in PDF

• Form ST-5 - Sales Tax Exemption Certificate: This form is used in various states to certify that certain purchases are exempt from sales tax. Like Form 373, it requires the purchaser to provide details about their business and the reason for the exemption, ensuring compliance with tax regulations.

• Form ST-3 - Resale Certificate: Similar to Form 373, this document allows businesses to purchase goods without paying sales tax if they intend to resell those goods. Both forms require the seller to maintain accurate records and verify the purchaser's eligibility for tax exemption.

• Form W-9 - Request for Taxpayer Identification Number: While primarily used for tax reporting purposes, this form is similar in that it collects essential information about the purchaser, such as their name and taxpayer identification number. This information helps ensure accurate record-keeping for tax-exempt transactions.

• Form 1099 - Miscellaneous Income: This document is used to report payments made to independent contractors. Like Form 373, it requires accurate information from both parties and must be filed with the IRS, reinforcing the importance of proper documentation in tax-related matters.

• Non-disclosure Agreement (NDA): A New York Non-disclosure Agreement (NDA) form is essential for protecting sensitive information from unauthorized disclosure. Businesses and individuals can safeguard their proprietary knowledge by using a legally binding NDA, ensuring compliance and confidentiality in their dealings. For further details, visit https://nyforms.com.

• Form 8802 - Application for United States Residency Certification: This form certifies that a business is a U.S. resident for tax purposes. It shares similarities with Form 373 in that both forms require detailed information about the business and serve to validate the entity's tax status for exemption purposes.

Delaware 373 - Usage Steps

Completing the Delaware 373 form is essential for documenting exempt sales made to out-of-state purchasers. This form must be filled out accurately to ensure compliance with Delaware tax regulations. Below are the steps to guide you through the process of filling out the form correctly.

1. Obtain a copy of the Delaware 373 form from the Division of Revenue or reproduce it as needed.
2. At the top of the form, enter the Name of Seller.
3. Check the appropriate box to indicate whether this is a Single Purchase Certificate or a Blanket Certificate.
4. Fill in the Address and Zip Code of the seller.
5. Provide the Shipping Location Zip Code if different from the seller's address.
6. Enter the Invoice No. and Invoice Date if applicable.
7. Include the Date and State of Incorporation of the seller.
8. Provide the Employer Identification Number (EIN) of the seller.
9. In the section labeled “THE UNDERSIGNED CERTIFIES THAT,” ensure that the required statements are understood and check the box indicating compliance.
10. Enter the Name of Purchaser and their Address and Zip Code.
11. Provide the Date and State of Incorporation for the purchaser.
12. Fill in the Employer Identification Number (EIN) of the purchaser.
13. Include the Name of Business for the purchaser.
14. Sign and date the form in the designated area for the Officer or Authorized Individual of the Purchaser.
15. Have an Officer or Authorized Individual of the Seller sign and date the form as well.

Once the form is filled out, it must be retained for three years from the end of the calendar year in which the sale occurs. Ensure that all pertinent information is accurate and complete to avoid any issues with tax compliance. It is crucial to maintain a copy of the completed form for your records and to note any exemptions on sales slips or invoices as necessary.

The Delaware 373 form, known as the Wholesale Exemption Certificate, is essential for documenting exempt sales to out-of-state purchasers. When using this form, you may also need several other documents to ensure compliance and proper record-keeping. Here’s a list of related forms and documents that often accompany the Delaware 373 form.

• Delaware Business License Application: This form is necessary for businesses operating in Delaware. It registers the business with the state and ensures compliance with local regulations.
• IRS Form W-9: This form is used to provide your taxpayer identification number to the purchaser. It helps the buyer accurately report payments made to you to the IRS.
• Sales Tax Exemption Certificate: This document allows purchasers to claim an exemption from sales tax. It is crucial for transactions where tax-exempt status is applicable.
• Purchase Order: A purchase order is a document issued by a buyer to a seller, indicating the details of the goods or services ordered. It serves as a formal agreement between the two parties.
• Invoice: An invoice outlines the goods or services provided, along with the amount due. It is important for record-keeping and payment processing.
• Certificate of Incorporation: This document establishes a corporation's existence in Delaware. It includes essential details such as the business name and the date of incorporation.
• Employer Identification Number (EIN): An EIN is a unique number assigned by the IRS to businesses for tax purposes. It is often required for various forms and transactions.
• Blanket Exemption Certificate: This certificate allows a purchaser to claim tax exemption on multiple transactions. It must be maintained and updated regularly.
• Your Texas Benefits Renewal Form: This form is essential for Texans looking to renew their eligibility for state benefits, ensuring continuous support; you can fill it out online through Texas PDF Forms.
• Tax Records: Keeping accurate tax records is essential for compliance. These records should include all sales, exemptions claimed, and related documentation.

Using the Delaware 373 form along with these additional documents helps ensure that your business remains compliant with state tax regulations. Proper documentation can save you time and trouble in the long run, so it's important to keep everything organized and up to date.

1. Not Checking the Correct Box: Failing to indicate whether the form is a single purchase or blanket certificate can lead to confusion and potential tax liability.

2. Incomplete Seller Information: Omitting crucial details such as the seller's name, address, or Employer Identification Number can invalidate the certificate.

3. Incorrect Purchaser Details: Providing inaccurate information about the purchaser, including their name or address, can result in complications during audits.

4. Missing Signatures: The absence of signatures from authorized individuals on both the purchaser's and seller's sides can render the form ineffective.

5. Failure to Maintain Records: Not keeping a copy of the completed Form 373 for three years, as required, may lead to issues if the Delaware Division of Revenue requests documentation.

6. Ignoring Exemption Limitations: Misunderstanding that the exemption does not extend to affiliated entities can result in incorrect claims and potential penalties.

1. What is the purpose of the Delaware 373 form?

   The Delaware 373 form, also known as the Wholesale Exemption Certificate, is designed to substantiate exempt sales made to out-of-state purchasers who pick up goods in Delaware for delivery and consumption outside the state. This form ensures that sales made under these circumstances are exempt from the wholesale gross receipts tax.

2. Who needs to complete the Delaware 373 form?

   Both the seller and the purchaser must complete the Delaware 373 form. The seller must provide pertinent information, including their name, address, and employer identification number, while the purchaser must supply similar details. Additionally, an officer or authorized individual from both parties must sign the form to certify the accuracy of the information provided.

3. What information is required on the Delaware 373 form?

   The form requires various details from both the seller and the purchaser. This includes the names, addresses, and employer identification numbers of both parties, along with the date and state of incorporation for the purchaser. If it is a single purchase certificate, the invoice number and date must also be included. A blanket certificate can be used for multiple sales, but it must be dated within one year prior to the sale for which the exemption is claimed.

4. What happens if the seller does not maintain proper records of the Delaware 373 form?

   Failure to maintain proper records can lead to significant consequences. If a seller does not keep a list of valid exemption certificates or fails to note on each sales invoice that an exemption is being claimed, the sale may be deemed taxable. Additionally, the Director of Revenue has the right to review exemption certificates and request further information. Not complying with these requirements can result in the revocation of the exemption.

5. How long must vendors retain the Delaware 373 form?

   Vendors are required to retain the Delaware 373 form for a period of three years from the end of the calendar year in which the sale occurs. This retention is crucial for compliance and ensures that the necessary documentation is available for review by the Delaware Division of Revenue if needed.