Getting a Nebraska sales tax permit is the first step to operating legally if you sell taxable goods or services in the state. Whether you’re opening a storefront, managing an online store, or dropshipping across multiple states, Nebraska law requires proper registration before you collect a single dollar in tax. But between economic nexus rules, local-option rates, and monthly filings, staying compliant takes more than just filling out a form.
In this guide, we’ll walk you through the entire process, step by step. And if you want it handled for you, Hands Off Sales Tax (HOST) is built for exactly that.
What Is a Nebraska Sales Tax Permit?
Here’s a clear breakdown of how a Nebraska sales tax permit fits into your business registration.
A Nebraska sales tax permit is the authorization you need to collect and remit sales tax on taxable goods and services. It’s a fundamental credential for both physical and remote retailers operating in the state. Though often used interchangeably, Nebraska also issues use tax permits for entities purchasing taxable goods for use without prior sales tax payment—both are applied via the same process using Form 20.
Before applying, you’re required to obtain a Federal Employer Identification Number (EIN) from the IRS. The EIN ensures your business is properly identified for all federal tax matters and is a necessary part of the Form 20 process .
When you file Form 20—either online through NebFile or by mail—you request the sales/use tax permit. Upon approval, the Nebraska Department of Revenue issues your:
- Nebraska State ID Number
- PIN (Personal Identification Number)
These credentials are essential for filing tax returns, remitting payments, and accessing your NebFile account securely.
In short, a sales tax permit (plus State ID and PIN) formalizes your legal responsibility to collect and report Nebraska’s sales or use taxes, laying the groundwork for compliant operations.
Who Needs to Register? Nexus & In-State Activities
Understanding who must register for a Nebraska sales tax permit depends on whether your business has sales tax nexus in the state—through in-state presence or remote activity.
Physical Nexus
You’re required to register if your business maintains any of the following in Nebraska:
- Brick-and-mortar retail stores, offices, or warehouses
- Employees, contractors, or agents working within the state
- Inventory stored in-state (e.g., Amazon FBA)
- Regular participation in trade shows or fairs—especially if you sell products at these events
Economic Nexus
Based on South Dakota v. Wayfair, Nebraska enforces economic nexus:
- You must register if sales into Nebraska exceed $100,000 or 200 separate transactions in the current or previous calendar year, even without a physical presence.
- The threshold includes taxable and exempt sales, but resale sales and marketplace facilitator transactions are excluded.
Temporary and Itinerant Sellers
Even temporary sales can create nexus:
- Businesses such as craft fair vendors or pop-up retailers may be deemed in-state retailers when they sell at Nebraska events, unless the event promoter remits tax on their behalf
By analyzing both your physical operations and sales volume, you can determine if you’re required to register. Missing nexus—especially for economic thresholds or temporary sales—can lead to penalties.
Fee, Validity & Combined Filing
Here’s what you need to know about costs (or lack thereof), permit validity, and options for multiple location filings in Nebraska.
No Application Fee & No Renewal Required
Registering for a Nebraska sales tax permit is free, and once obtained, the permit does not expire—so long as your business structure, ownership, and locations remain unchanged.
Separate Permits per Location & Combined Filing
Each brick-and-mortar store, warehouse, or sales location in Nebraska must have its own unique sales tax permit, filed via Form 20. If you own multiple locations under common ownership (80%+ shared ownership), you can apply to file returns under a single permit using Form 11—Combined Filing Application. This allows a consolidated, electronic, monthly Form 10 return using one combined ID number.
Certificate of Clearance for Business Transfers
When buying or selling a business, you may need a Certificate of Tax Clearance (Form 36) from the Nebraska Department of Revenue. This certifies that all state sales, use, income, and withholding taxes have been satisfied. Without it, inter-state buyers may become liable for any unpaid taxes. The application should be submitted at least 60 days before the sale.
Securing your permits correctly, knowing you won’t need renewals, and consolidating filings where possible ensures a streamlined setup.
Step‑by‑Step Registration Workflow
Here’s a precise guide to registering for a Nebraska sales tax permit—from preparation to permit receipt.
Pre‑Application Checklist
Before you begin, gather the following essential information:
- Federal EIN (required if you have employees or file for withholding tax)
- NAICS code reflecting your primary business activity
- Owner/Officer info: names, SSNs, addresses, titles
- Business structure (sole proprietor, LLC, corporation) and start date
- Business location(s) and contact information
Gathering this in advance streamlines the Form 20 application process.
Online Registration via NebFile
- Create a NebFile account on the Nebraska DOR portal.
- Complete Form 20 (Nebraska Tax Application), selecting the Sales and Use Tax program.
- Submit the online form. Immediate confirmation usually provides your Nebraska State ID and PIN—critical for future login and filings.
- Print or save your permit ID and PIN for NebFile access.
NebFile also supports registration for income withholding and corporation tax along with sales tax.
Mail‑In Registration Alternative
Prefer paper? Download Form 20, fill it out with the same information as online, and mail or fax it to:
Nebraska Department of Revenue
PO Box 98903
Lincoln, NE 68509‑8903
Fax: 402‑471‑5927
Expect your state ID and PIN via mail in about two weeks.
With your State ID and PIN in hand, you’re fully equipped to log in to NebFile, file returns, and stay compliant going forward.
Tax Rates & Local Surcharges
Here’s a streamlined overview of Nebraska’s state and local sales tax structure—with a tip on finding exact rates.
Nebraska imposes a state-wide base sales tax of 5.5%.
Local Option Taxes
On top of the state rate, cities can levy up to 1.5% local sales tax. Counties may also impose up to 1.5% in areas without city taxes, such as Dakota County which adds 0.5% outside city limits. This means total rates range from 5.5% to 7.5%.
Good Life Districts (GLDs)
Nebraska’s Good Life Districts use unique rates. For example, Omaha’s Avenue One GLD temporarily reduces the state rate to 2.75%, while local taxes remain—bringing the total to around 7.0%.
Calculating the Right Rate
To ensure accuracy:
- Determine the point of delivery for each sale.
- Identify if the location is within a city, county, or GLD.
- Use Nebraska’s Sales Tax Rate Finder to get a precise rate at the street-address level.
Understanding these layers helps you charge the correct tax and avoid under- or over-collecting.
Filing Frequency & Remittance
Here’s what to expect when it’s time to file and pay your Nebraska sales tax.
Nebraska assigns each retailer a filing frequency based on sales volume—monthly, quarterly, or annually—using Form 10 for remittance.
Filing Frequency
- Monthly: Required if your expected tax liability exceeds the threshold easily or by DOR assignment.
- Quarterly: For mid-range liability.
- Annually: Allowed only for very low-volume sellers (typically use tax filers with annual liability ≤ $900).
Due Dates
- Returns are due by the 20th of the month following the reporting period .
- If you receive a preidentified paper Form 10, it typically arrives around the 10th of the following month.
Zero Returns & Late Penalties
- Zero returns must be filed even if no sales occurred—failure to do so can trigger penalties or extended audit periods.
- Late returns incur a penalty of $25 or 10% of the unpaid tax, whichever is greater, plus interest.
Payment Methods
Nebraska DOR accepts:
- Electronic payment via ACH
- Credit/debit card, check, or money order (paper returns only)
Filing correctly and on time, even with zero tax, keeps your business in good standing.
SST Membership & Remote Sellers
Here’s why Nebraska’s participation in the Streamlined Sales Tax (SST) program matters—especially if you sell remotely.
Streamlined Membership
Nebraska has been a full member of the Streamlined Sales and Use Tax Agreement since October 2005. Membership ensures:
- Standardized tax definitions
- Centralized state-level administration
- Uniform filing rules
All of which aim to reduce complexity for multi-state sellers .
Economic Nexus & Remote Seller Rules
Under Nebraska’s LB 284:
- Sellers exceeding $100,000 in sales or 200 transactions in the current or previous calendar year must register and collect Nebraska tax—even without a physical presence.
- Registration and collection must begin by the first day of the second calendar month after hitting a threshold.
Sellers using marketplace platforms: If the marketplace facilitator collects and remits sales tax, you’re still required to file Nebraska returns, even if tax collection is handled on your behalf.
Exemption & Resale Certificates
Here’s how Nebraska handles exemption and resale documentation to ensure tax compliance:
Nebraska Resale or Exempt Sale Certificate (Form 13)
Nebraska requires businesses to use Form 13 to document purchases intended for resale or for exempt uses. This form must be issued at the time of purchase, completed accurately, and retained in the seller’s records for audit purposes.
Key Uses and Requirements
- Section A: For standard resale purposes—used by retailers remitting goods in the ordinary course of business.
- Section B: Covers specific exempt categories such as agricultural machinery, nonprofit sales, and certain capital equipment purchases.
- Section C: Used by contractors under special programs when purchasing materials for public or nonprofit projects.
Seller’s Responsibilities
- Accept only fully completed certificates—you’re in violation if incomplete.
- Maintain a valid certificate or the appropriate exemption evidence before processing the sale.
- Blanket certificates are allowable for frequent purchasers, but must be renewed and kept current .
End-to-End Sales Tax Compliance, Powered by HOST
Staying compliant with Nebraska’s sales tax rules involves far more than just applying for a permit. From tracking nexus thresholds to handling exemption certificates and audit defense, Hands Off Sales Tax (HOST) offers businesses a fully managed, end-to-end solution.
Sales Tax Registration and Setup
HOST manages the entire registration process—including EIN verification, Form 20 submission, and account setup in NebFile. You receive your Nebraska State ID and PIN without having to deal with the paperwork.
Nexus Monitoring and Multi-State Oversight
Their team continuously tracks your physical and economic nexus exposure across Nebraska and other states. Once thresholds are crossed, HOST initiates the appropriate registrations before you fall out of compliance.
Filing and Remittance
HOST handles all sales tax filings through NebFile, including zero returns. They also ensure your payments are timely and accurate, helping you avoid late penalties or interest.
Resale Certificate Generation
Using their proprietary tool, ResaleCertify, HOST helps you generate unlimited valid resale certificates for every relevant state and supplier.
Full Audit Defense & Notice Resolution
From notice handling to full audit representation, HOST steps in as your sales tax compliance partner—responding on your behalf and defending your documentation when it counts most.
HOST isn’t just software—it’s real support from a team that knows how to keep your business compliant, efficient, and audit-ready.
Take Sales Tax Off Your Plate—For Good
Navigating Nebraska’s sales tax rules takes more than a quick registration—it requires consistent filings, accurate local rate tracking, and airtight exemption documentation. Whether you’re a new seller or scaling across multiple states, the risk of falling out of compliance grows quickly. That’s where Hands Off Sales Tax (HOST) makes the difference. From registering your permit to defending your business during audits, HOST handles every detail—accurately, proactively, and without the guesswork. If you’re ready to stay compliant without the stress, reach out to HOST for a personalized consultation today.
Frequently Asked Questions
1. Do I need a separate Nebraska sales tax permit for each location?
Yes. Each physical business location in Nebraska requires its own sales tax permit. However, if all locations are under common ownership, you can apply for combined filing using Form 11.
2. Is there a fee to apply for a Nebraska sales tax permit?
No. Nebraska does not charge an application fee for sales tax permits, and there is no annual renewal requirement. Your permit remains valid unless your business structure or ownership changes.
3. What is Form 13, and when do I use it?
Form 13 is Nebraska’s official resale or exemption certificate. You must issue it to a seller when purchasing items tax-free for resale or for qualifying exempt purposes.
4. What happens if I don’t file a return, even if I made no sales?
Nebraska requires zero returns. Failing to file can lead to penalties, interest charges, and audit exposure—even if you owe no tax.
5. As a remote seller, how do I know when I need to register?
If you cross $100,000 in gross sales or 200 transactions into Nebraska in a calendar year, you’re required to register and begin collecting tax by the first day of the second month after crossing the threshold.
