If you plan to sell goods or taxable services in New Jersey—whether online, in-store, or at events—you’ll need a New Jersey sales tax permit. This registration allows you to collect and remit sales tax legally and is required for both in-state and out-of-state businesses that meet nexus thresholds. But between forms, filings, and state-specific rules, the process can feel overwhelming.
In this guide, we’ll break down exactly who needs a permit, how to register, what documents you’ll need, and how to stay compliant. We’ll also show how Hands Off Sales Tax (HOST) can make the process stress-free.
Do You Need to Register? Understanding Nexus in New Jersey
If you sell taxable goods or services in New Jersey—either directly or through remote channels—you may be legally required to register for sales tax collection. The obligation depends on whether you establish nexus in the state. Nexus can be physical or economic, and both create a clear threshold for registration.
Physical Nexus
Physical nexus means your business has a tangible presence in New Jersey. This includes:
- Storing inventory in a warehouse or fulfillment center
- Leasing office or retail space
- Employing staff, agents, or independent contractors in the state
- Attending trade shows, conventions, or pop-up events
Even if your presence is temporary, such as participating in a weekend market, you must register and collect tax once this nexus is triggered. New Jersey requires you to file Form NJ‑REG at least 15 business days before conducting taxable business in the state.
Economic Nexus
Since November 1, 2018, out-of-state sellers are required to register if they exceed:
- $100,000 in gross revenue, or
- 200 separate transactions into New Jersey during the current or prior calendar year.
Sales made through marketplace facilitators (like Amazon) are excluded from these thresholds. However, if you meet the threshold through direct sales, you must register even if you also sell through a marketplace. In such cases, you may request non-reporting status, but registration is still mandatory.
Universal Obligation Once Nexus Is Met
Once physical or economic nexus is established, you must:
- Register via NJ‑REG
- Obtain both a Business Registration Certificate and a Certificate of Authority
- Begin collecting and remitting New Jersey sales tax
Failure to register promptly may result in back taxes, penalties, and audit exposure.
Step‑by‑Step Registration Process
Follow this structured process to register for a New Jersey sales tax permit using Form NJ‑REG via the NJ Business Gateway Services:
1. Gather Required Documents & Information
Before starting your application, collect:
- Your Federal Employer Identification Number (EIN) or Social Security Number (for sole proprietors) as issued by the IRS;
- Your business structure and ownership details (e.g., LLC, corporation, partnership);
- NAICS code identifying your primary business activity;
- Estimated gross sales into New Jersey and number of anticipated transactions.
2. Navigate to NJ Business Gateway Services
Access the online registration portal (NJ‑REG) via the New Jersey Business Registration site. You may register online for most entity types, including out-of-state remote sellers; alternatively, you may file a paper version available on the state site.
3. Choose Your Registration Option
Select the relevant registration path—such as a general business entity or “Remote Seller Only” if applicable. This ensures your application is routed correctly.
4. Complete the NJ‑REG Form
Provide:
- Legal business name and DBA
- Federal EIN
- Business activity code (NAICS)
- Owner/officer names and addresses
- Date you expect to make your first taxable sale in New Jersey.
Submit the form at least 15 days before your first taxable sale or use of exemption certificates. (NJ.gov requires timely submission to avoid compliance gaps.)
5. Understand Fees and Business Formation Costs
There is no fee charged to register for a New Jersey sales tax permit (Form NJ‑REG). However, if you’re forming a new business entity (LLC or corporation), you’ll likely need to pay the $125 public records filing fee for incorporation or authorization.
6. Receive Official Documents
Once approved, you’ll receive,
- The Business Registration Certificate (BRC) confirms that your business is properly registered with the state and legally authorized to operate in New Jersey.
- The Certificate of Authority grants you permission to collect and remit sales tax on taxable goods and services. This certificate includes your New Jersey tax ID number and must be kept on file for compliance.
If you operate a physical store, attend trade shows, or sell at temporary venues within the state, the Certificate of Authority must be displayed prominently at your place of business or booth, as required by law. Failure to do so can result in penalties during audits or inspections. For online-only businesses, be sure to retain both documents for internal records and verification.
Rates & Filing Requirements
New Jersey’s statewide sales tax rate is 6.625%. Many Urban Enterprise Zones (UEZs) operate at a half‑rate, allowing eligible merchants to charge just 3.3125% on applicable taxable sales in designated areas.
Once registered, the Division of Taxation assigns your filing frequency:
- Monthly is required if you collected more than $30,000 in sales tax during the prior year or if tax due exceeds $500 in the first or second month of a quarter.
- Otherwise, filing is quarterly by default.
- In limited cases, annual filing may apply, depending on volume and prior approvals.
Tax returns are always due by the 20th day of the month following the reporting period (e.g., Q1 return by April 20). If you’re a quarterly filer with no sales, you must still submit a “zero return” for that period. Filing and payment must be done electronically via the NJ Tax Portal; paper returns are only permitted in special cases such as UEZ filings.
Exemptions & Resale Certificates
In New Jersey, certain sales may be exempt from sales tax—but only when supported by valid documentation.
Resale Exemption (ST‑5 Certificate):
If you’re selling items for resale (e.g., wholesale transactions or goods sold to other retailers), you must obtain a completed ST‑5 resale certificate from the buyer. This certificate verifies that the purchase is for resale purposes and exempts the sale from sales tax. Keep each completed ST‑5 certificate on file—missing documentation may result in audit liabilities and penalties.
Nonprofit & Exempt Organization Exemption (REG‑1E):
Registered nonprofits that qualify under New Jersey tax law (religious institutions, charities, private schools, etc.) can apply for a REG‑1E exempt organization certification. Once approved, eligible purchases made by the exempt organization are tax-free. Vendors must retain documentation to support the exemption status of the buyer.
Documentation Best Practices:
Maintain a secure, organized record of all exemption certificates. During an audit, New Jersey’s Division of Taxation expects valid certificates on file to justify tax-free sales. Having incomplete or invalid certificates could result in back-tax assessments, interest, and penalties. Regularly review and update certificate authorizations to avoid compliance gaps.
Common Pitfalls to Avoid
Late Registration
New Jersey requires businesses to submit Form NJ‑REG at least 15 business days before making taxable sales or using exemption certificates. Missing this deadline or delaying registration after meeting nexus triggers can leave you liable for uncollected tax and penalties.
Misclassifying Marketplace or UEZ Sales
Overlooking New Jersey’s marketplace facilitator rules can cause errors—marketplace sales are generally handled by the facilitator, not the seller. Sellers must still register if they meet nexus thresholds, but shouldn’t count facilitator sales toward thresholds or collect tax directly on them.
Similarly, ignoring Urban Enterprise Zone (UEZ) rules—where qualified businesses can charge a half-rate (3.3125%)—may lead to overcharging or missed exemptions.
Zero-Return Filing Failures
Once registered, even periods with no sales require filing a zero return. Failing to submit these can result in penalties and potential loss of vendor status.
Permits Not Displayed
If you conduct sales in person, such as at pop-ups or trade shows, failing to display your Certificate of Authority and Business Registration Certificate can trigger penalties during inspections or audits.
Avoiding these common mistakes ensures you stay compliant and reduce audit risk while operating in New Jersey as a registered vendor.
Why Businesses Trust HOST for Sales Tax Compliance
Navigating New Jersey’s sales tax rules—let alone other states’—can be overwhelming. That’s where Hands Off Sales Tax (HOST) comes in. With over two decades of experience, HOST offers a full suite of services designed to simplify every step of your sales tax journey, whether you’re an online retailer, manufacturer, or multi-state seller.
HOST’s services include:
- Sales tax registration across all 50 states, including Form NJ‑REG for New Jersey
- Filing and remittance on a monthly, quarterly, or annual basis
- Nexus analysis to determine where your business must collect and remit sales tax
- Exemption certificate tool (ResaleCertify) for streamlined generation of valid resale certificates
- Audit defense and notice resolution, so you’re never caught unprepared
- Specialized support for platforms like Shopify, Stripe, and Amazon
HOST doesn’t just file forms—it becomes your dedicated compliance partner. From helping you apply for your first permit to staying ahead of evolving tax rules across jurisdictions, HOST ensures that sales tax never becomes a bottleneck in your growth.
Whether you’re based in New Jersey or ship nationwide, HOST helps you stay compliant, confident, and focused on your business—not bureaucracy.
Stay Compliant, Stay Focused—Let HOST Handle the Tax Burden
Registering for a New Jersey sales tax permit isn’t just a formality—it’s a critical step in staying compliant, avoiding penalties, and building a trustworthy business. From understanding nexus to filing correctly and managing exemptions, the process can be complex, especially for remote or multi-state sellers. That’s why partnering with a trusted expert like Hands Off Sales Tax (HOST) can save you time, stress, and costly mistakes. HOST handles everything from registration to ongoing filings, so you can focus on growing your business. Ready to simplify sales tax? Contact HOST today to get started the right way.
Frequently Asked Questions (FAQ)
1. Is there a fee to get a New Jersey sales tax permit?
No, the New Jersey Division of Taxation does not charge a fee to register for a sales tax permit using Form NJ‑REG. However, if you’re forming a new business entity, there may be a public records filing fee (e.g., $125 for LLC formation).
2. Do I need to file sales tax returns even if I had no sales?
Yes. New Jersey requires zero-return filings. Even if you made no taxable sales during a period, you must still file a return to remain in compliance and avoid penalties.
3. Can I sell in New Jersey without registering if I only sell online?
If you exceed the economic nexus threshold—$100,000 in sales or 200 transactions annually—you must register, even with no physical presence.
4. What’s the difference between the BRC and the Certificate of Authority?
The Business Registration Certificate (BRC) proves your business is registered. The Certificate of Authority permits you to collect and remit sales tax in New Jersey.
5. How do I file sales tax returns in New Jersey?
All returns must be filed electronically via the New Jersey Online Tax Center. Filing frequency (monthly, quarterly, or annually) is assigned based on your tax liability.
