California Code of Regulations › Title 18 - Public Revenues › Division 2 - California Department of Tax and Fee Administration- Business Taxes (State Board of Equalization- Business Taxes, See Ch. 6 and 9.9) › Chapter 4 - Sales and Use Tax › Article 18 - Administration-Miscellaneous › Section 1699 - Permits

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) Seller's Permit
				  In General--Number of Permits Required. Every person engaged in the business of
				  selling (or leasing under a lease defined as a sale in Revenue and Taxation
				  Code section
				  6006(g))
				  tangible personal property of a kind the gross receipts from the retail sale of
				  which are required to be included in the measure of the sales tax, and only a
				  person actively so engaged, is required to hold a seller's permit for each
				  place of business in this state at which transactions relating to sales are
				  customarily negotiated with his or her customers. For example, a seller's
				  permit is required for a branch sales office at which orders are customarily
				  taken or contracts negotiated, whether or not merchandise is stocked there.
No additional permits are required for warehouses or other
					 places at which merchandise is merely stored and which customers do not
					 customarily visit for the purpose of making purchases and which are maintained
					 in conjunction with a place of business for which a permit is held; but at
					 least one permit must be held by every person maintaining stocks of merchandise
					 in this state for sale. However, permits are required for warehouses or other
					 places at which merchandise is stored and from which retail sales of such
					 merchandise negotiated out-of-state are delivered or fulfilled.
If two or more activities are conducted by the same person
					 on the same premises, even though in different buildings, only one seller's
					 permit is required. For example, a service station operator having a restaurant
					 in addition to the station on the same premises requires only one seller's
					 permit for both activities.
(b) Persons Selling in Interstate Commerce or
				  to United States Government. A seller's permit is not required to be held by
				  persons all of whose sales are made exclusively in interstate or foreign
				  commerce but a seller's permit is required of persons notwithstanding all their
				  sales (or leases under a lease defined as a sale in Revenue and Taxation Code
				  section
				  6006(g))
				  are made to the United States or instrumentalities thereof.
(c) Persons Selling Feed. Effective April 1,
				  1996, a seller's permit is not required to be held by persons whose sales
				  consist entirely of sales of feed for any form of animal life of a kind the
				  products of which ordinarily constitute food for human consumption (food
				  animals), or for any form of animal life not of such a kind (nonfood animals)
				  which are being held for sale in the regular course of business, provided no
				  other retail sales of tangible personal property are made.
If a seller of hay is also the grower of the hay, this
					 exemption shall apply only if either:
1. The hay is produced for sale only to beef
				  cattle feedlots or dairies, or
2.
				  The hay is sold exclusively through a farmer-owned
				  cooperative.