Instructions
Page 2 of 2 CT-120 (11/12)
General information
A resale certificate received on time that is not properly
completed will be considered satisfactory if the deficiency is
Form CT-120 is used by a reseller of telecommunication
corrected within a reasonable period. You must also maintain a
services to obtain telecommunication services that are exempt
method of associating an invoice (or other source document) for
from the excise taxes imposed under Tax Law, Article 9,
an exempt sale made to a reseller with the resale certificate you
section 186-e.
have on file from that reseller.
This certificate is only for use by a reseller of telecommunication
Invalid exemption certificates
services who:
• is registered as a New York State sales tax vendor ;
Sales of telecommunication services not supported by valid
resale certificates are deemed to be taxable excise tax sales.
• has a valid sales tax Certificate of Authority issued by the Tax
The burden of proof that the tax was not required to be
Department; and
collected is upon the provider.
• is making purchases of telecommunication services that will
be resold as such to the reseller’s customers.
Retention of exemption certificates
A properly completed certificate must be provided to
You must keep this certificate for at least three years after
the provider within 90 days after the provision of the
the due date of the return to which it relates, or the date the
telecommunication services. A certificate of resale is not
return was filed, if later.
properly completed if it does not include the reseller’s sales tax
Certificate of Authority number issued by the Tax Department.
Need help?
This certificate is valid only for purchases made on or after
January 1, 2009.
Visit our Web site at
To the reseller
• get information and manage your taxes online
Enter all the information requested on page 1. You may mark an
• check for new online services and features
X in the Blanket certificate box to cover all telecommunications
services purchased for resale as telecommunication services. If
Telephone assistance
you do not mark the Blanket certificate box, the certificate will
be deemed a Single-use certificate.
Corporation Tax Information Center: (518) 485-6027
If you intentionally issue a fraudulent exemption certificate, you
To order forms and publications:
(518) 457-5431
will become liable for penalties and interest, in addition to the
excise tax initially due. Some penalties that may apply:
Text Telephone (TTY) Hotline (for persons with
• 100% of the tax due
hearing and speech disabilities using a TTY): If you
• $50 for each fraudulent exemption certificate issued
have access to a TTY, contact us at (518) 485-5082.
If you do not own a TTY, check with independent
If you do not resell as telecommunication services the
living centers or community action programs to find
telecommunications services purchased with this resale
out where machines are available for public use.
certificate, report and pay the unpaid tax on Form CT-186-E,
Telecommunications Tax Return and Utility Services Tax Return.
Persons with disabilities: In compliance with the
To the provider of telecommunication
Americans with Disabilities Act, we will ensure
that our lobbies, offices, meeting rooms, and other
services
facilities are accessible to persons with disabilities. If
you have questions about special accommodations
If you are providing telecommunication services and you accept
for persons with disabilities, call the information
a resale certificate, you will be protected from liability for the tax
center.
if the certificate is valid. The certificate will be considered valid
if it was:
Privacy notification
• accepted in good faith;
The Commissioner of Taxation and Finance may collect and maintain
• in your possession within 90 days after the provision of the
personal information pursuant to the New York State Tax Law, including
service; and
but not limited to, sections 5-a, 171, 171-a, 287, 308, 429, 475, 505,
• properly completed (all entries were made).
697, 1096, 1142, and 1415 of that Law; and may require disclosure of
social security numbers pursuant to 42 USC 405(c)(2)(C)(i).
A certificate is accepted in good faith when a provider has no
knowledge that the resale certificate is false or is fraudulently
This information will be used to determine and administer tax liabilities
and, when authorized by law, for certain tax offset and exchange of tax
given, and reasonable care is exercised in the acceptance of the
information programs as well as for any other lawful purpose.
certificate.
Information concerning quarterly wages paid to employees is provided
You must get a properly completed resale certificate from the
to certain state agencies for purposes of fraud prevention, support
reseller no later than 90 days after the provision of the service.
enforcement, evaluation of the effectiveness of certain employment and
When you receive a certificate after the 90 days, both you and
training programs and other purposes authorized by law.
the reseller are subject to the burden of proving that the sale
Failure to provide the required information may subject you to civil or
was exempt, and additional documentation may be required.
criminal penalties, or both, under the Tax Law.
This information is maintained by the Manager of Document
Management, NYS Tax Department, W A Harriman Campus, Albany NY
12227; telephone (518) 457-5181.