What must a dealer complete to be exempt from paying sales tax at an auction?

A dealer must complete a Resale Certificate to be exempt from paying sales tax at an auction. This certificate allows the dealer to purchase items tax-free with the intention of reselling them to consumers. By providing a valid Resale Certificate, the dealer certifies that the purchase is meant for resale, which aligns with tax regulations that prevent double taxation on products bought for resale purposes.

This process is essential to ensure that sales tax is only collected at the end-user level, thereby promoting fair tax practices among businesses and preventing financial burden on wholesalers and retailers who pass goods on to consumers. The Resale Certificate defines the dealer's role in the sales process, affirming their exemption from immediate sales tax obligations during the auction.