Fillable Form 36 - Tax Clearance Application (Page 2 of 2) in pdf

Instructions

Who Must File. Any person purchasing a business, or the assets of a business, may apply to the Nebraska

Department of Revenue (Department) to obtain either: (1) the amount of taxes owed by the selling business;

or (2) clearance indicating that no taxes are owed. If taxes are owed by the selling business, the buyer must

withhold the amount of tax liability from the purchase price up to the amount of the entire purchase price, valued

in money, including any debts assumed by the buyer. Failure to either withhold the amount of taxes due the State

of Nebraska or obtain a tax clearance could result in the buyer becoming liable for the entire amount of the tax

liability as a successor to the seller of the business.

Also, a business owner may obtain a tax clearance without an identified buyer by completing the “Seller’s

Information” section and leaving the “Buyer’s Information” section blank.

When and Where to File. The completed Tax Clearance Application, Form 36, must be filed before the

Department will provide any of the seller’s confidential tax information to a buyer for purposes of tax clearance.

This form should be filed with the Department at least 15 days before any sale of the business or its assets is

completed. This form may be mailed, sent by fax, or scanned and sent by email to the Department.

The Tax Clearance Application may be obtained or submitted in a variety of different ways:

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Visit

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Call 800-742-7474 (NE and IA) or 402-471-5729;

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Email to rev.taxclear@nebraska.gov;

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Fax 402-471-5929; or

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Mail to Nebraska Department of Revenue, PO Box 94818, Lincoln, NE 68509-4818.

Name and Address. If the buyer is seeking a tax clearance, the name and address of both the buyer and seller

of the business or its assets must be completed. If there is no buyer, the name and address of the business owner

must be completed in the “Seller’s Information” section. If the buyer or seller is a corporation, partnership,

S corporation, estate or trust, limited liability company (LLC), or other pass-through entity, enter the name and

the business address, if it is different from the mailing address.

Nebraska or Federal ID Number. If the buyer is seeking a tax clearance, the Nebraska or federal ID numbers

of both the buyer and seller must also be provided. The Nebraska or federal ID number must always be provided

for the business owner in the “Seller’s Information” section. If the buyer or the seller has a Nebraska ID number,

that is all that is required. If the buyer or the seller has no Nebraska ID number, the federal ID number must be

provided so that the Department can accurately identify the business. If the buyer or seller is an individual, the

Social Security number must be entered. If the buyer or seller is a corporation, partnership, S corporation, estate

or trust, LLC, or other pass-through entity, enter the Nebraska or federal ID number of the business entity.

Alternate Recipient. If the buyer wants someone other than the buyer to receive the tax clearance information

from the Department (for example, the buyer’s attorney or banker), enter the name and address of that person in

this section. If not, this section should be left blank.

Signature. If the buyer is seeking a tax clearance, both the buyer and the seller must sign and date Form 36. If

not, only the business owner must sign. If the buyer or seller is a partnership, all partners must sign, unless one

is duly authorized to act in the name of the partnership. Nebraska has adopted the Uniform Partnership Act of

1998

(Neb. Rev. Stat. §§ 67-401 to

67-467) making each partner a business agent duly authorized to act for any

partnership formed in Nebraska. Authorized signatures for nonresident partnerships will be governed by the laws

of the state where the partnership was formed.

If the buyer or seller is a corporation or association, an officer having authority to bind the entity must sign the

Form 36. The officer signing must include his or her official title on the signature line.

If the buyer or seller is a Nebraska LLC, all the members must sign, unless a manager is duly authorized to act

in the name of the LLC. Authorized signatures for nonresident LLCs will be governed by the laws of the state

where the LLC was organized.

Form 36 - Tax Clearance Application Page 2

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