RETAILERS/SALES: New Guidelines from the IRS
How to handle nonprofit tax exemption
Beginning July 1, 2022, retailers may only accept a 15-digit Certificate of Exempt Status (CES) number beginning with 008 from qualifying nonprofit organizations that provide a CES number to make purchases exempt from sales and use tax.Retailers are not required to update documentation containing 6-digit CES numbers for prior sales transactions, but should obtain either of the following for sales occurring on or after July 1, 2022:
- The qualifying organization’s 15-digit CES number and record it on the bill of sale, or
- A fully completed exemption certificate (Form S-211) from the qualifying organization containing the organization’s 15-digit CES number.
See article on page 14 of Wisconsin Tax Bulletin 216 (February 2022).
