NE 01-02-11 Sales and Use Tax 2002-09-30

Is there a fee to apply for a Nebraska sales tax permit, and are there any charges left?

Short answer: There is no application fee. Under Revenue Ruling 01-02-11, Laws 2002, Second Special Session, LB 32, Section 2 repealed the fee for applying for a Nebraska sales tax permit, effective October 1, 2002. Every person wanting to conduct business as a seller in Nebraska must file a Nebraska Tax Application (Form 20) for each place of business located in Nebraska. Two fees remain: a $25 fee applies to the renewal or issuance of a permit that has been revoked or suspended by the Tax Commissioner, and a $50 fee applies for each successive revocation. This supersedes Sales and Use Tax Regulations 1-004.01 and 1-004.03.

Apply this to your situation

This page answers the general question as of 2002. Ezel answers yours, under current Nebraska tax law, with citations.

Disclaimer: This is an official Revenue Ruling of the Nebraska Department of Revenue, a guidance document stating the Department's interpretation of how Nebraska tax law applies. Each Nebraska guidance document carries the notice that it 'is advisory in nature but is binding on the Nebraska Department of Revenue until amended.' Unlike a private letter ruling, a Revenue Ruling is a general statement of Department policy rather than advice to a single taxpayer, but it can be amended, superseded, or made obsolete by a later ruling or a change in statute or regulation, many rulings in this series have been rescinded or superseded, so confirm it is still in effect before relying on it. Nebraska's local option sales and use taxes are administered by the Department, not self-collected by home-rule cities. This summary is informational only and is not legal or tax advice. Consult a licensed Nebraska tax professional about your situation.

About this page: The plain-English summary, reader guidance, and Q&A below were written by Ezel based on the official state tax ruling. The original ruling (linked on this page as a PDF) is the authoritative source for any reliance.

View original ruling (PDF)

Plain-English summary

Nebraska used to charge a fee to apply for a sales tax permit. Nebraska's 2002 Second Special Session bill LB 32, Section 2 repealed that fee, so beginning October 1, 2002, there is no charge for the application for or issuance of a sales tax permit.

What you still must do. Every person who wants to conduct business as a seller in Nebraska must file a Nebraska Tax Application (Form 20) — one for each place of business located in Nebraska.

The fees that remain. The application is free, but the ruling keeps two penalty-style fees tied to revocation:

a $25 fee for the renewal or issuance of a permit that has been revoked or suspended by the Tax Commissioner; and
a $50 fee for each successive revocation.

This supersedes Sales and Use Tax Regulations 1-004.01 and 1-004.03.

What this means for you

A new Nebraska seller

Applying for your sales tax permit costs nothing from October 1, 2002 onward. Just file a Form 20 for each Nebraska business location.

A seller whose permit was revoked or suspended

Getting back a revoked or suspended permit isn't free — it's $25 to renew/reissue, and $50 for each successive revocation.

Common questions

Q: Does it cost anything to get a Nebraska sales tax permit now?
A: No. The application fee was repealed effective October 1, 2002.

Q: How many applications do I file if I have multiple locations?
A: One Form 20 for each place of business located in Nebraska.

Q: Are there any permit fees left?
A: Yes — $25 to renew or reissue a revoked/suspended permit, and $50 for each successive revocation.

Citations and references

Laws 2002, Second Special Session, LB 32, Section 2 — repealed the sales tax permit application fee, effective October 1, 2002.
Form 20 — Nebraska Tax Application (filed per business location).
Regs 1-004.01 and 1-004.03 — superseded by LB 32, Section 2.

Source

Original ruling text

REVENUE RULING 1-02-11
September 30, 2002
Sales and Use Tax - Sales Tax Application. BEGINNING OCTOBER 1, 2002, THERE IS NO
CHARGE FOR THE APPLICATION FOR OR ISSUANCE OF A SALES TAX PERMIT.
Laws 2002, Second Special Session, LB 32, Section 2, repealed the fee for persons making
application for a Nebraska sales tax permit. Every person desiring to engage in or conduct business
as a seller within Nebraska must ﬁle a Nebraska Tax Application, Form 20, for each place of
business located in Nebraska.
A fee of twenty-ﬁve dollars ($25) applies to the renewal or issuance of a permit which has been
revoked or suspended by the Tax Commissioner. A fee of ﬁfty dollars ($50) applies for each
successive revocation.
Sales and Use Tax Regulations 1-004.01 and 1-004.03 are superseded by the provisions of Laws
2002, Second Special Session, LB 32, Section 2.
APPROVED:

Mary Jane Egr
State Tax Commissioner
September 30, 2002

Nebraska Department of Revenue, P.O. Box 94818, Lincoln, Nebraska 68509-4818

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