Department of Taxation and Finance
AU-298
New York State and Local Sales and Use Tax
(5/16)
Application for a Direct Payment Permit
Read the instructions on page 2 before completing.
For office use only
(as it appears on the Certificate of Authority)
Legal name
Telephone number
(
)
Street address
Permit number
DP
City, state, ZIP code
Effective date
Sales tax identification number
1 Describe type of business conducted:
(see instructions)
2 Attach a statement of facts
.
Certification: I,
, the applicant named above, or partner, officer, or other
authorized representatives of such applicant, do hereby:
• request a direct payment permit in order to pay the tax on taxable materials and services directly to the Department of
Taxation and Finance at the time of use, rather than to the vendor at the time of purchase and to include such payments
with the quarterly or part-quarterly (monthly) sales and use tax return;
• certify that a place of business is maintained within New York State;
• certify that timely returns have been filed and all taxes due have been paid for the four (4) quarterly sales tax reporting
periods prior to the date of this application; and
• understand that:
(a) taxes must be collected on taxable sales and reported on Forms ST-100, ST-809, or ST-810;
(b) a tax status determination of the property or service purchased must be made by the permit holder on the date upon
which the property or service is used, and tax remitted (where due) for the appropriate period;
(c) all substantiating records will be kept in the files for at least three (3) years after the date of the quarterly return to
which they relate;
(d) a direct payment permit can be revoked upon failure to keep the above records and file timely sales tax returns with
the payment of the taxes due or for any violation of the New York State Sales and Use Tax Law. I also understand
that interest and penalty charges will be imposed for failure to make timely payments of all sales and use taxes due;
and
(e) a direct payment permit may not be used:
• as a device to defer payment of the sales tax on purchases;
• as a substitute for a resale certificate or other exemption certificates; or
• as a device to transfer the permit holder’s privileges to another person.
(print)
Applicant’s name
Title
Date
Applicant’s signature
Representative’s identification number
Date
(if any)
Representative’s signature
Department of Taxation and Finance
AU-298
New York State and Local Sales and Use Tax
(5/16)
Application for a Direct Payment Permit
Read the instructions on page 2 before completing.
For office use only
(as it appears on the Certificate of Authority)
Legal name
Telephone number
(
)
Street address
Permit number
DP
City, state, ZIP code
Effective date
Sales tax identification number
1 Describe type of business conducted:
(see instructions)
2 Attach a statement of facts
.
Certification: I,
, the applicant named above, or partner, officer, or other
authorized representatives of such applicant, do hereby:
• request a direct payment permit in order to pay the tax on taxable materials and services directly to the Department of
Taxation and Finance at the time of use, rather than to the vendor at the time of purchase and to include such payments
with the quarterly or part-quarterly (monthly) sales and use tax return;
• certify that a place of business is maintained within New York State;
• certify that timely returns have been filed and all taxes due have been paid for the four (4) quarterly sales tax reporting
periods prior to the date of this application; and
• understand that:
(a) taxes must be collected on taxable sales and reported on Forms ST-100, ST-809, or ST-810;
(b) a tax status determination of the property or service purchased must be made by the permit holder on the date upon
which the property or service is used, and tax remitted (where due) for the appropriate period;
(c) all substantiating records will be kept in the files for at least three (3) years after the date of the quarterly return to
which they relate;
(d) a direct payment permit can be revoked upon failure to keep the above records and file timely sales tax returns with
the payment of the taxes due or for any violation of the New York State Sales and Use Tax Law. I also understand
that interest and penalty charges will be imposed for failure to make timely payments of all sales and use taxes due;
and
(e) a direct payment permit may not be used:
• as a device to defer payment of the sales tax on purchases;
• as a substitute for a resale certificate or other exemption certificates; or
• as a device to transfer the permit holder’s privileges to another person.
(print)
Applicant’s name
Title
Date
Applicant’s signature
Representative’s identification number
Date
(if any)
Representative’s signature
Page 2 of 2 AU-298 (5/16)
Instructions
Where to file your application
General information
Mail this form and all required documentation to:
A direct payment permit allows eligible businesses to pay sales
tax directly to the Tax Department instead of paying tax to a
NYS TAX DEPARTMENT
seller. The permit was designed for businesses that are unable
TFAB – SALES TAX
to determine at the time of a purchase how otherwise taxable
W A HARRIMAN CAMPUS
property or services will be used. For more information, see Tax
ALBANY NY 12227-9340
Bulletin Direct Payment Permits (TB-ST-163).
Private delivery services – See Publication 55, Designated
Note: A direct payment permit is not the same as a sales tax
Private Delivery Services.
exemption certificate. An exemption certificate allows a business
Privacy notification
to make tax-free purchases that would otherwise be subject
to sales tax. For more information, see Tax Bulletin Exemption
New York State Law requires all government agencies that
Certificates for Sales Tax (TB-ST-240).
maintain a system of records to provide notification of the legal
authority for any request, the principal purpose(s) for which the
Eligibility
information is to be collected, and where it will be maintained.
To be eligible for a direct payment permit, a business must:
To view this information, visit our website, or, if you do not
have Internet access, call and request Publication 54, Privacy
• be registered for sales tax purposes;
Notification. See Need help? for the Web address and telephone
• maintain a place of business in New York State;
number.
• have filed all required returns and paid all taxes due on time
for the four preceding sales tax quarters immediately prior
Need help?
to applying for the permit (an exception applies to a new
business that has not yet filed returns); and
www.tax.ny.gov
Visit our website at
• be unable to determine at the time of purchase how otherwise
taxable property or services will be used.
• get information and manage your taxes online
The Tax Department will issue a specifically numbered direct
• check for new online services and features
payment permit to an approved business for use when making
Telephone assistance
qualifying purchases. If an application is not approved, the
business will be notified by mail.
Sales Tax Information Center:
(518) 485-2889
Note: Approved businesses must file quarterly or (if required)
To order forms and publications:
(518) 457-5431
part-quarterly (monthly) sales tax returns.
Text Telephone (TTY) Hotline (for persons with
Specific Instructions
hearing and speech disabilities using a TTY):
(518) 485-5082
Persons with disabilities: In compliance with the
Enter the legal name, telephone number, address, and sales
tax identification number at the top of the application. Do not
Americans with Disabilities Act, we will ensure that our
lobbies, offices, meeting rooms, and other facilities are
make any entries in the spaces indicated for permit number and
accessible to persons with disabilities. If you have questions
effective date.
about special accommodations for persons with disabilities, call the
Line 1 Describe type of business conducted – Clearly
information center.
describe the type of business conducted.
Line 2 Attach a statement of facts – It must include:
• the specific reasons a direct payment permit is needed;
• a description of the method to be used to account for use tax,
including the types of records that will be kept;
• if currently an annual sales tax return filer, a request to be
switched to a quarterly filing frequency; and
• any other facts that the applicant would like us to consider as
a basis for issuing the permit.
Be sure to keep a copy of your completed application for
your records.
ADVERTISEMENT