Arkansas Resale Certificate (Form ST391): How to Get, Use, and Accept One
Arkansas Resale Certificate (Form ST391): How to Get, Use, and Accept One
TL;DR
Arkansas buyers can document qualifying resale purchases with Form ST391 or the Streamlined Sales Tax Certificate of Exemption, SSTGB Form F0003.
Form ST391 does not state a fixed expiration date. Review the buyer's information before relying on an older certificate.
Out-of-state buyers can enter a similar home-state sales or use tax permit number on Arkansas Form ST391.
Sellers should keep accepted certificates and exempt-sale records for six years after filing the return and provide exempt-transaction records to DFA on request.
What an Arkansas resale certificate is and who needs one
An Arkansas resale certificate documents a buyer’s claim that goods purchased for resale qualify for a sales tax exemption. A retailer buying inventory to sell to customers may make that claim. Goods the retailer buys for its own use do not qualify as resale inventory.
Arkansas sales tax registration serves a different purpose. Registration identifies a business for collecting and remitting tax on taxable sales, while resale documentation tells the seller why a purchase should be exempt. A permit number alone does not show which goods in an order are for resale.
Arkansas GR-53 allows a sale-for-resale claim using the Arkansas exemption certificate, Form ST391 (also searched as ST-391), or the Streamlined Sales Tax Certificate of Exemption, SSTGB Form F0003. The current Arkansas form is revised 09/10/2025 and cites Arkansas Code § 26-52-517.
How to get and use a resale certificate as a buyer
Buy goods tax-free for resale only when you intend to sell those goods to a customer. Arkansas businesses can apply for a sales tax permit through the DFA registration page. The permit costs $50, paid electronically when applying. For a resale purchase, complete Form ST391, also called ST-391, and give it to the seller.
To complete ST391, enter your Arkansas sales or use tax permit number, or your issuing state and similar permit number if you are a nonresident. Name the seller, describe your business and the specific merchandise, state that the purchase is for resale, then sign and date the form. Give it to the seller and keep a copy. The form also requires you to report tax due on goods bought tax-free that you withdraw from stock or use yourself.
If a supplier charged tax on goods you later resold, keep the invoice and proof of resale before seeking a correction or refund.
Out-of-state buyers purchasing from Arkansas sellers
A nonresident buyer can use Arkansas Form ST391 to certify that it holds a similar sales or use tax permit issued by another state. Enter the issuing state and permit number, and give the completed resale exemption certificate to the Arkansas seller.
The seller should check the nonresident buyer’s issuing state and permit number, the described merchandise, and the resale claim before removing tax. Arkansas permits qualifying nonresident purchasers to use their similar home-state permit on ST391. This does not mean Arkansas sellers must accept another state's own resale form.
How Arkansas sellers should verify and accept a resale certificate
Ask for a completed Arkansas Form ST391 or an accepted Streamlined Sales Tax exemption certificate before treating a resale purchase as tax-exempt. Check the buyer’s business name, address, Arkansas or qualifying out-of-state permit number, description of the goods, resale claim, signature, and date.
Check whether the purchase fits the buyer’s resale claim. Shoes bought for a shoe store’s inventory fit a resale claim more readily than shelving bought for the same store’s use. If the document is incomplete, the buyer’s details conflict with the order, or the purchase appears unrelated to resale, request a corrected document or clarification. Do not remove tax from an otherwise taxable sale solely because the buyer asks.
Keep accepted certificates and exempt-sale records for six years after filing the return, and provide exempt-transaction records to DFA on request (26 CAR § 100-110; GR-79). For mixed product orders, Taxwire can apply product category, delivery location, and jurisdiction rules at the invoice level after you establish which items qualify.
Buyer vs. seller checklist
Buyer | Seller |
|---|---|
Confirm the goods are for resale, not business or personal use. | Check that the resale claim fits the goods sold. |
Complete Form ST391 or another Arkansas-accepted resale document. | Check the document for the required buyer details and resale claim. |
Give the document to the seller and keep a copy. | Retain exempt-transaction records for six years after filing the return and provide them to DFA on request. |
Report tax due if you withdraw tax-free inventory for your own use. | For an out-of-state buyer, check the issuing state and permit number entered on ST391. |
Resale exemption vs. other Arkansas sales tax exemptions
A resale exemption concerns goods you buy to sell to a customer. If you buy a product for your own operations, the purchase does not qualify as resale simply because your business also sells inventory.
Arkansas also has exemptions associated with activities or purchasers such as manufacturing, agriculture, and nonprofits. Those are separate claims. A resale certificate should not stand in for documentation of another exemption, and a buyer’s status does not make every purchase exempt. As a seller, check which exemption the buyer claims before treating the sale as tax-exempt.
FAQs
Q. Do Arkansas resale certificates expire or need renewal?
A. Form ST391 does not state a fixed expiration date. Check that the buyer’s permit and resale information remain valid before relying on an older certificate.
Q. Can a seller face penalties for accepting an improper resale claim?
A. Under GR-79, a seller who meets Arkansas's exemption-documentation requirements is relieved of tax if a purchaser improperly claims an exemption, except in specified cases such as fraud or soliciting an unlawful claim. A seller who cannot substantiate the exemption may owe uncollected tax, interest, and applicable penalties.
Q. What if a buyer has no sales tax permit yet?
A. Arkansas-based buyers can apply for a sales tax permit for $50, paid electronically. A pending application is not a permit number for ST391. A nonresident buyer may instead enter a valid similar permit issued by another state.
Q. Can an out-of-state buyer use a home-state certificate?
A. A nonresident buyer may enter a similar valid permit issued by another state on Form ST391. Complete the Arkansas certificate and give it to the seller.
Getting resale tax exemptions right in Arkansas
Arkansas buyers need accurate resale documentation, and sellers need to check it before accepting a tax-free sale. A buyer who claims an exemption for goods it uses instead of reselling, or a seller who accepts inadequate documentation, may face questions in an audit.
For sales across multiple states, Taxwire applies product category, delivery location, and jurisdiction rules at the invoice level after you establish which items qualify for exemption.