If you plan to sell goods or services in the state, understanding how to get your Indiana sales tax permit is a non-negotiable first step. Unlike many states, Indiana doesn’t just tax products—it taxes services, rentals, and digital goods, too. That means if you’re “open for business,” you’re likely on the hook for compliance.
This guide cuts through the legal clutter to help you figure out who needs the permit, how to register, what happens after, and how to stay penalty-free. And if you want peace of mind? Hands Off Sales Tax (HOST) helps simplify the entire process.
Who Needs an Indiana Sales Tax Permit?
Indiana requires a Registered Retail Merchant’s Certificate (RRMC) for anyone defined as a “retail merchant”, as outlined by state law.
Who Qualifies as a Retail Merchant?
Anyone making retail transactions in Indiana—whether it’s tangible goods or taxable services—is considered a retail merchant and must obtain an RRMC before conducting sales. This includes:
- Brick-and-mortar stores, pop-up shops, and mobile vendors
- Businesses selling online to Indiana customers
- Providers of taxable services—like digital subscriptions or repair work
Economic Nexus: Remote Sellers
Indiana enforces an economic nexus rule: businesses with over $100,000 in Indiana sales in the current or previous year trigger a permit requirement—even without a physical presence. While Indiana removed its 200-transaction threshold in 2024, gross receipts remain the key metric.
Marketplace Facilitators
Traditional marketplace facilitators (e.g., Amazon, eBay) are responsible for collecting and remitting tax, which may exempt individual sellers from needing an RRMC—but confirming the facilitator’s compliance is the seller’s responsibility.
Exemptions & Wholesalers
Some entities may not require a permit:
- Registered nonprofits — must apply to claim exemption
- Wholesalers purchasing for resale only
- Occasional sellers making limited, infrequent transactions
Still, it’s advisable to verify your status to ensure you’re operating within the law.
By adopting a clear and authoritative approach, you’ll stay compliant—and avoid fines or criminal liability.
Permit Types & Fees
When obtaining an Indiana sales tax permit, you’ll encounter a few different options and costs to keep in mind:
Retail Merchant Certificate (RMC)
- The primary permit required for those making taxable sales in Indiana, whether they’re physical stores, online businesses, or service providers.
- Application fee: $25 per location, covering the issuance of a Registered Retail Merchant’s Certificate (RMC) and determining your filing frequency.
Consolidated vs. Individual Location Accounts
- If you operate multiple locations under the same legal entity, you may opt to consolidate them under one permit.
- Alternatively, a different business name or separate locations require separate RMCs ($25 each) .
Permit Validity & Renewal
- Once issued, the RMC is valid for two years.
- Renewal is automatic and free, as long as all tax filings are timely and payments are up to date.
- Be aware: If tax returns are left unfiled or payments remain outstanding when the certificate expires, it will not auto-renew .
Quick Comparison:
| Permit Type | Fee | Validity | Renewal |
| Retail RMC | $25/location | 2 years | Auto-renew if compliant |
| Multiple Locations | $25 each | 2 years per permit | Same renewal rules |
Securing the correct permit types upfront avoids future compliance issues—as any new location or legal change demands a new certificate.
Step-by-Step: How to Register for a Sales Tax Permit
Getting your Indiana sales tax permit (Known as the Registered Retail Merchant’s Certificate or RMC) is a two-part process—setting up your business and registering for tax collection. Follow these steps to get started:
1. Business Registration (If Needed)
- If your business is newly formed or operates under a legal entity like an LLC or corporation, register with the Indiana Secretary of State via INBiz.
- Sole proprietors may skip this step or still register for the business tax account through the tax portal. This ensures your structure aligns with state records and supports permit setup.
2. Apply for Your Sales Tax Permit
- Visit Indiana’s INTIME portal and choose “New Business Registration” to begin.
- Complete the application with details like EIN or SSN, entity type, NAICS code, and business address.
- Pay the $25 application fee per location using a debit card, credit card, or bank account.
3. Approval & Certificate Issuance
- Indiana usually assigns your permit number within 1–3 business days.
- A physical certificate follows in the mail within about 7–10 business days.
- Once active, display the certificate at every sales location as proof of compliance.
Pro Tip: Register Early
Set up your permit before your first taxable sale. This avoids costly delays, ensures you don’t collect without authorization, and keeps your business fully compliant from day one.
With the correct details and a little planning, applying for your Indiana RMC is quick and straightforward.
Local Taxes & Special District Rules
Indiana doesn’t impose additional local sales taxes across counties or cities—but certain specific industries are subject to separate taxation rules that businesses must follow:
Food & Beverage Tax
Some counties and municipalities levy a food and beverage tax (typically 1%) on dining and food service. If your business sells prepared food or drink in these areas, you must register separately and collect this tax in addition to your state sales tax.
County Innkeeper’s Tax
Renters of hotel rooms, short-term rentals, or other accommodations may need to collect a county innkeeper’s tax (rates vary by county). This is in addition to the state sales tax. You’ll need to register separately, file returns, and remit the collected tax through INTIME or to your county treasurer.
Even though Indiana’s state sales tax covers most transactions, these special local taxes require unique registration and reporting.
Filing & Payment Obligations
Once you have your Indiana sales tax permit, keeping your filings and payments on time is essential to avoid penalties and maintain compliance. Here’s what you need to know:
Filing Frequency
Your filing schedule depends on your tax liability:
- Monthly: If you collect over $1,000 in sales tax per month
- Quarterly: If liability is between $200 and $1,000 monthly
- Annually: If liability is under $200 per month
Due Dates & Zero Filings
- Returns and payments are due by the 30th of the month following the period
- Zero returns are mandatory — filing is required even when no tax was collected
Filing through INTIME
All Indiana tax filings and payments must be made electronically via the INTIME portal: secure, centralized, and instantaneous.
Penalties & Interest
- Late filing: 10% of the tax due or $5 minimum per late or zero return
- Late payment: 10% of unpaid tax liability, or $5 (whichever is greater), plus interest
Stay ahead of deadlines using the INTIME calendar and consider auto-reminders to protect against late penalties.
Recordkeeping & Audit Readiness
Getting an Indiana sales tax permit is just the beginning—maintaining organized records is what keeps you out of trouble. Indiana law requires businesses to keep all supporting documentation for at least three years from the filing date or due date of the return. However, holding onto these materials for seven years is considered best practice and provides added audit security .
What to Retain
- Sales tax returns and payment confirmations
- Invoices and receipts for every transaction—taxable and exempt
- Exemption certificates or resale documents
- Detailed ledgers and accounting records
Avoid Audit Red Flags
Common triggers that can invite scrutiny include:
- Inconsistencies between reported sales and invoices
- Missing or improperly completed exemption certificates
- Habitual late filings or frequent amendments
Audit Preparation Tips
- Keep records digital and backed-up for easy retrieval
- Organize files by tax period for efficient access
- Run internal audits periodically—especially if you rely heavily on exemptions
By preparing your documents proactively, you reduce audit risk and ensure your business remains compliant—saving both time and money if the tax department ever comes knocking.
Multi‑Location & Business Changes
Expanding or changing your business in Indiana? Your sales tax permit needs to keep pace.
New Locations
Opening a second retail or service location?
You’ll need either a separate Registered Retail Merchant’s Certificate (RMC) for each legally distinct entity or can opt for consolidated filings if they operate under the same business structure and EIN .
Buying or Selling a Business
When purchasing or selling a business with an existing sales tax permit:
- You must apply for a Certificate of Clearance to ensure no past taxes are owed
- As a buyer, obtain a new RMC—the existing one cannot be transferred .
Updating Business Information
If your business address, ownership structure, or entity information changes, make updates promptly through the INTIME portal. Keeping your information current helps prevent missed notices or filing mismatches.
Staying on top of permit locations and business updates ensures you remain fully compliant as your Indiana operations grow or change—and HOST is available to manage these adjustments seamlessly.
HOST: Your Compliance Ally from Permit to Filing
Sales tax compliance in Indiana isn’t just about getting a permit—it’s about staying ahead of every filing, update, exemption, and audit risk. That’s where HOST comes in.
Seamless Registration & Setup
HOST guides your business through every step of registration, ensuring your Retail Merchant Certificate (RMC) is filed accurately, classified properly, and linked to the right business structure. Multi-location? We help set up consolidated or individual accounts—based on what suits your business best.
Smart Filing, Zero Guesswork
From monthly to annual returns, HOST handles all filings via Indiana’s INTIME portal. Every return is reviewed, filed on time, and error-free. Even zero-dollar filings are covered, so you avoid late penalties or compliance gaps.
Create Valid Resale Certificates with ResaleCertify
Buying goods for resale? HOST’s ResaleCertify tool lets you quickly generate accurate, state-approved resale certificates—so you can purchase inventory without paying unnecessary sales tax.
Nexus Monitoring & Business Changes
HOST’s Nexus Analysis service tracks where your business has triggered new tax obligations, so you’re never blindsided by multi-state compliance needs. Expanding or acquiring? HOST helps update all changes through INTIME and manages successor liability if you’re buying or selling.
Built-In Audit Defense
HOST stores and organizes all your filings, exemption certificates, and communications in one secure dashboard. If the state ever initiates an audit, you’re already prepared—with a team by your side.
HOST makes Indiana sales tax compliance simple, strategic, and scalable. Let’s take the guesswork out—together.
Final Word: Compliance Doesn’t Have to Be Complicated
Navigating Indiana’s sales tax permit system—from registration to recordkeeping—can be overwhelming, especially when the rules change or your business grows. But staying compliant isn’t optional. It protects your margins, reputation, and peace of mind.
That’s where HOST comes in. Whether you’re applying for your first Retail Merchant Certificate, managing multiple locations, or prepping for an audit, HOST simplifies it all. With tools like ResaleCertify and Nexus Analysis, you get a complete compliance partner—not just a filing service. Ready to take sales tax off your plate? Reach out to HOST for a consultation today.
