WHO MAY ISSUE A RESALE CERTIFICATE. Form 13,
CATEGORIES OF EXEMPTION
Section A, is to be issued by persons or organizations making
1. Purchase by the United States Government, its agencies, and
purchases of property or taxable services in the normal course of
wholly owned subsidiary corporations; the State of Nebraska,
their business for the purpose of resale either in the form or
including public educational institutions recognized or
condition in which it was purchased, or as an ingredient or
established under the provisions of Chapter 85, or public schools
component part of other property.
established under Chapter 79; any Nebraska county, township,
city, village, rural or suburban fire protection district, city airport
WHO MAY ISSUE AN EXEMPT SALE CERTIFICATE.
authority, county airport authority, joint airport authority,
Form 13, Section B must be issued by persons or organizations
drainage district organized under sections 31-401 to 31-450,
exempt from payment of the Nebraska sales tax by qualifying for one
natural resources district, elected county fair board, or joint
of the five enumerated Categories of Exemption. Organizations
entity or agency formed to fulfill the purposes described in the
claiming a sales tax exemption may do so only on items purchased for
Integrated Solid Waste Management Act by any combination of
their own use. Items purchased by an exempt organization that will be
two or more counties, townships, cities, or villages pursuant to
resold must be supported by a properly completed Nebraska Resale
the Interlocal Cooperation Act, the Integrated Solid Waste
Certificate, Form 13, Section A.
Management Act, or the Joint Public Agency Act, except for
Use Form 13E for purchases of energy sources which qualify
purchases for use in the business of furnishing gas, water,
for exemption. Use Form 13ME for purchases of mobility
electricity, or heat; or by any irrigation or reclamation district,
enhancing equipment on a motor vehicle.
the irrigation division of any public power and irrigation district;
the Nebraska State Fair Board; the Nebraska Investment Finance
CONTRACTORS. Form 13, Section C, Part 1, must be
Authority; the Small Business Development Authority, and
completed by contractors operating under Option 1 or Option 3
licensees of the State Racing Commission.
to document their tax-free purchase of building materials or
fixtures from their suppliers. A contractor may purchase the
Purchases that are NOT exempt from Nebraska sales and use tax
contractor labor of another contractor tax-free (for resale) by
include, but are not limited to, governmental units of other states,
completing Section C, Part 2. Section C, Part 3, must be
sanitary improvement districts, housing authorities, urban
completed to exempt the purchase of building materials, fixtures,
renewal authorities, rural water districts, railroad transportation
and/or contractor labor pursuant to an attached purchasing
safety districts, and county historical or agricultural societies.
agent appointment. See the contractor information guides on our
2. Purchase when the intended use renders it exempt as set out in
Web site for additional information.
paragraph 012.02D of Nebraska Sales and Use Tax Regulation
1-012, Exemptions. Complete the description of the item
WHERE TO FILE. The Form 13 is given to the seller at the time of the
purchased and the intended use as required on the front of Form 13.
purchase of the property or service or when sales tax is due. The
Sellers of repair parts for agricultural machinery and equipment
certificate must be retained with the seller’s records for audit purposes.
cannot accept a Form 13 and exempt such sales from tax.
WHEN NO NUMBER IS REQUIRED. Section A does not require
3. Purchase by any organization created exclusively for religious
an identification number when the purchaser has indicated that it is
purposes; any nonprofit organization providing services
engaged in business as a wholesaler or manufacturer. Section B
exclusively to the blind; any private educational institution
does not require an identification number when exemption category
established under sections 79-1601 to 79-1607; any private
1 or 2 is indicated.
college or university licensed under sections 85-1101 to 85-
PROPERLY COMPLETED CERTIFICATE. A purchaser must
1111; any hospital, health clinic when two or more hospitals or
complete a certificate before issuing it to the seller. To properly
the parent corporations of the hospitals own or control the health
complete the certificate, the purchaser must include: (1)
clinic for the purpose of reducing the cost of health services or
identification of the purchaser and seller, (2) a statement as to
when the health clinic receives federal funds through the United
whether the certificate is for a single purchase or is a blanket
States Public Health Service for the purpose of serving
certificate, (3) a statement of basis for exemption including
populations that are medically underserved; skilled nursing
completion of all information for the basis chosen, (4) the signature
facility, intermediate care facility, intermediate care facility for
of an authorized person, and (5) the date the certificate was issued.
the mentally retarded, or nursing facility licensed under the
Health Care Facility Licensure Act and organized not for profit;
PENALTIES. Any purchaser who gives a Form 13 to a seller for
any nonprofit organization providing services primarily for
any purchase which is other than for resale, lease, or rental in the
home health care purposes; any child-caring agency licensed for
regular course of the purchaser’s business, or is not otherwise
24-hour daily care, supervision, custody, or control of children
exempted from sales and use tax under the Nebraska Revenue Act
and established under sections 71-1901 to 71-1904; or any
shall be subject to a penalty of $100 or ten times the tax, whichever
licensed child placement agency.
amount is larger, for each instance of presentation and misuse.
4. Purchase of a common or contract carrier vehicle and repair and
Any purchaser, or the agent thereof, who fraudulently signs a
replacement parts for such vehicle.
Form 13 may be found guilty of a Class IV misdemeanor.
5. A sale that qualifies as an occasional sale, such as a sale of
CATEGORIES OF EXEMPTION. Indicate the category which
depreciable machinery and equipment productively used by the
seller for more than one year and the seller previously paid tax on
properly reflects the basis for your exemption. Place the
the item. The seller must sign and give the certificate to the
corresponding number in the space provided in Section B. If
purchaser. The certificate must be retained by the purchaser for
category 2 through 5 is the basis for exemption, you must complete
the information requested in Section B.