What is the Texas Motor Vehicle Sales Tax Resale Certificate?

• By: Jeff Martin
• On: 08/26/2020 16:27:03
• In: Texas Posts
• Comments: 0

Simply put, if you are a licensed automobile dealer and you sell any of your vehicles to a licensed Texas dealer you should know about this form and have one on file for each dealer you do business with. This form is required when a vehicle is sold to another licensed Texas dealer.  As long as this form is completed, sales tax is not due on any wholesale transaction. 

The good news is, you do not need to complete the form for every wholesale transaction; you only need to assign one of these forms to the dealer that you sell to, regardless of how many transactions you have with that dealer.

Once you have the dealer complete and sign the form you can keep a log of all the wholesale transactions you make with that dealer. Make sure you document the VIN, make and year of model for each transaction. Last, make sure the dealer number provided is an active number you can verify all active dealer numbers. DMV and/or the Comptroller may ask to see the form during an audit. 

Form 14-313 can be found here (under “Forms for Motor Vehicle Sales and Use Tax”).