This form is used by a vendor and company or individual to set forth the terms and conditions under which the company and/or individual may resell vendor services.
Alabama Web Based Services Reseller Agreement
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How to fill out Web Based Services Reseller Agreement?
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What should a Reseller Agreement template cover? Responsibilities of each party. ... Delivery requirements. ... Payment terms. ... Intellectual property rights. ... Consequences of a breach of contract. ... Dispute resolution processes. ... Data protection and processing conditions. ... Terms for future contracts.
Unlike other states where you have to apply for and obtain a resale certificate to present to vendors and suppliers to receive tax-free goods, you just need to provide a copy of your current sales tax permit. However, while most vendors will waive Alabama taxes, the state does not require them to do so.
It is Alabama's stance that the vendor/drop-shipper should accept the home-state issued resell certificate when the reseller is purchasing to resell to a customer located in Alabama (drop-shipped to an Alabama address).
While similar to distribution agreements, reseller agreements differ in the way the product reaches the consumer. Unlike distributors, resellers don't purchase and store your product, ready to sell. Instead, they act as a middleman, taking a commission when they sell your product to a customer.
Alabama requires you to register for a sales tax permit in order to purchase items in-state tax free for resale unless you are a dropshipper. If you are dropshipping, Alabama will accept your home-state exemption certificate. See here for more information.
A seller's permit is a state license that allows you to sell items at the wholesale or retail level and to issue resale certificates to suppliers. Issuing a resale certificate allows you to buy items you will sell in your business operations without paying amounts for tax to your suppliers.
It's free to register for an Alabama sales tax permit, but other business registration fees may apply.
Unlike other states where you have to apply for and obtain a resale certificate to present to vendors and suppliers to receive tax-free goods, you just need to provide a copy of your current sales tax permit. However, while most vendors will waive Alabama taxes, the state does not require them to do so.