--- title: "Do I need a seller's permit to sell on eBay in Alabama?" description: "Alabama sellers who sell only on marketplaces that collect the tax don't register a sales tax account but should get an STE-1. Direct sales need a license." canonical: https://resellerindex.com/tax/sellers-permit/alabama/ last_updated: 2026-10-23 publisher: "The Reseller Index" --- [Taxes](https://resellerindex.com/tax/) / [Seller's permits by state](https://resellerindex.com/tax/sellers-permit/) / Alabama # Do I need a seller's permit to sell on eBay or Poshmark in Alabama? Not if every sale goes through a marketplace that collects and remits Alabama tax for its sellers: the Alabama Department of Revenue says an in-state seller who sells only that way is not required to register for a sales/use tax account, but should apply for a state exemption certificate (Form STE-1) to buy inventory for resale tax-free. Sales you make yourself (your own site, Facebook, a flea market or a consignment booth) are not covered by the marketplace, so they go on your own Alabama sales tax license, registered through My Alabama Taxes and renewed each year by December 31; the pages we checked don't state a fee. Alabama calls it a sales tax license, issued by the Alabama Department of Revenue. General information, not tax or legal advice. Check with a tax professional about your own situation. Checked against the official pages listed below on Oct 23, 2026. ## Alabama in short - **Sell only on marketplaces that collect the tax:** No: the state says registration is not required - **Also sell direct (own site, Facebook, flea market):** Yes: the state says to register; fee not stated as one figure (see below) - **Resale certificate:** State Sales and Use Tax Certificate of Exemption (STE-1 (apply on Form ST:EX-A1)) - **Garage and occasional sales:** Exempt - **Where to register:** [My Alabama Taxes (MAT)](https://myalabamataxes.alabama.gov/) ## If you sell only on eBay, Poshmark and other marketplaces An in-state seller who sells only through a participating marketplace, where the marketplace collects and remits for its third-party sellers, is not required to register for a sales/use tax account. The department says that seller should instead apply for an exemption certificate, which it needs to buy items for resale tax-exempt. The rule: Code of Ala. 1975 § 40-23-199.2; Ala. Admin. Code r. 810-6-2-.90.04. > "An in-state seller who exclusively sells through a participating marketplace, where the marketplace collects and remits on behalf of its 3rd party sellers, is not required to register for a sales/use tax account" Alabama Department of Revenue, [What are the requirements for in-state sellers who only sell on participating marketplaces?](https://www.revenue.alabama.gov/faqs/what-are-the-requirements-for-in-state-sellers-who-only-sell-on-participating-marketplaces/), FAQ: What are the requirements for in-state sellers who only sell on participating marketplaces? Alabama levies a state sales tax, and local sales taxes are also due at rates that vary. The department administers over 200 city and county sales taxes, but not all of them, and tells sellers to contact each county and municipality where they do business about registering for its local tax. Marketplace facilitators that qualify collect a flat 8% Simplified Sellers Use Tax on marketplace sales into Alabama. Sources: [What are the requirements for in-state sellers who only sell on participating marketplaces?](https://www.revenue.alabama.gov/faqs/what-are-the-requirements-for-in-state-sellers-who-only-sell-on-participating-marketplaces/); [Notice: Alabama Simplified Sellers Use Tax and Marketplace Facilitators Guidance](https://www.revenue.alabama.gov/wp-content/uploads/2021/07/210726_SUT_NOTICE_ALSSUMarketplaceFacilitatorsGuidance.pdf); [Sales Tax](https://www.revenue.alabama.gov/sales-use/sales-tax/). ## If you also sell direct: your own site, Facebook, flea markets, consignment Marketplace sellers are not relieved of their duty to remit sales or use tax on sales through their own electronic sales platforms or at their retail locations in Alabama. To get a sales tax license, you first register your in-state retail business with the department through My Alabama Taxes (MAT); the license is mailed to you. - **Fee:** The department pages we checked don't state a fee for the sales tax license. - **Renewal:** The state sales tax license must be renewed through MAT by December 31 of each year. - **Register:** [My Alabama Taxes (MAT)](https://myalabamataxes.alabama.gov/) > "Marketplace sellers are not relieved of their obligation under the laws of this state to remit sales or use taxes on sales through the business’ own electronic sales platforms or at the business’ retail locations in this state." Alabama Department of Revenue, [Notice: Alabama Simplified Sellers Use Tax and Marketplace Facilitators Guidance](https://www.revenue.alabama.gov/wp-content/uploads/2021/07/210726_SUT_NOTICE_ALSSUMarketplaceFacilitatorsGuidance.pdf), Alabama Simplified Sellers Use Tax and Marketplace Facilitators Guidance (July 26, 2021) Sources: [Notice: Alabama Simplified Sellers Use Tax and Marketplace Facilitators Guidance](https://www.revenue.alabama.gov/wp-content/uploads/2021/07/210726_SUT_NOTICE_ALSSUMarketplaceFacilitatorsGuidance.pdf); [How do I obtain or register for a sales tax license?](https://www.revenue.alabama.gov/faqs/how-do-i-apply-or-register-for-a-sales-tax-number/); [Operating a Business in Alabama: Sales, Use, Lodgings, & Rental Taxes](https://www.revenue.alabama.gov/wp-content/uploads/2022/04/220329_BEST_SalesUseLodgingsRentalTaxes.pdf). ## Resale certificate: buying inventory without paying sales tax - **The form:** [State Sales and Use Tax Certificate of Exemption (STE-1 (apply on Form ST:EX-A1))](https://www.revenue.alabama.gov/faqs/how-do-i-apply-for-an-exemption-certificate/) - **Do you need your own permit to give one?** Not stated on the pages we checked Alabama has two routes. A business with a sales tax license uses the license itself: the department says a resale certificate is officially called a Sales Tax License in Alabama, and wholesale sales are sales to licensed merchants for resale. A business not required to hold a license (such as a marketplace-only seller with an Alabama place of business) applies on Form ST:EX-A1 for a Form STE-1, which it copies, completes and gives to vendors for tax-exempt purchases for resale. ### Thrift stores, estate sales and yard sales The state pages we checked don't say anything specific about using a resale certificate at a thrift store, estate sale or yard sale. A certificate is given to a seller who would otherwise charge you tax, so whether a particular store takes one is between you and that seller; ask before you buy. > "In Alabama, a resale certificate is called a Sales Tax License (for entities making purchases to resale)." Alabama Department of Revenue, [How do I obtain or register for a sales tax license?](https://www.revenue.alabama.gov/faqs/how-do-i-apply-or-register-for-a-sales-tax-number/), FAQ: How do I obtain or register for a sales tax license? > "A form STE-1 will not be issued to persons, firms, or corporations who have a sales tax license issued pursuant to Section 40-23-6, Code of Alabama 1975" Alabama Department of Revenue, [Rule 810-6-5-.02, State Sales and Use Tax Certificate of Exemption (Form STE-1)](https://www.revenue.alabama.gov/wp-content/uploads/2021/12/810-6-5-.02.pdf), Rule 810-6-5-.02(2) Sources: [How do I obtain or register for a sales tax license?](https://www.revenue.alabama.gov/faqs/how-do-i-apply-or-register-for-a-sales-tax-number/); [Rule 810-6-5-.02, State Sales and Use Tax Certificate of Exemption (Form STE-1)](https://www.revenue.alabama.gov/wp-content/uploads/2021/12/810-6-5-.02.pdf); [How do I apply for an exemption certificate?](https://www.revenue.alabama.gov/faqs/how-do-i-apply-for-an-exemption-certificate/); [Sales Tax](https://www.revenue.alabama.gov/sales-use/sales-tax/); [What are the requirements for in-state sellers who only sell on participating marketplaces?](https://www.revenue.alabama.gov/faqs/what-are-the-requirements-for-in-state-sellers-who-only-sell-on-participating-marketplaces/) ## Garage sales, yard sales and other occasional sales Exempt. A casual or isolated sale by a person not engaged in the business of selling is not required to be reported under the sales tax law, and property bought for your own use may be sold tax-free at a private sale with no connection to any retail business you run. The sale of used property by a person engaged in the business of selling is taxable, and casual sales of vehicles, boats, trailers and manufactured homes are taxed under a separate law. The rule: [Ala. Admin. Code r. 810-6-1-.33 and r. 810-6-1-.111](https://file.admincode.legislature.state.al.us/docs/rev/810-6-1.pdf). > "The casual or isolated sale by a person not engaged in the business of selling is not required to be reported to the department by the provisions of the Sales Tax Law." Alabama Legislative Services Agency (Alabama Administrative Code), [Alabama Administrative Code, Chapter 810-6-1 (revised 3/17/23)](https://file.admincode.legislature.state.al.us/docs/rev/810-6-1.pdf), Rule 810-6-1-.33(2)(a) > "The sale of used property by a person engaged in the business of selling is subject to sales tax." Alabama Legislative Services Agency (Alabama Administrative Code), [Alabama Administrative Code, Chapter 810-6-1 (revised 3/17/23)](https://file.admincode.legislature.state.al.us/docs/rev/810-6-1.pdf), Rule 810-6-1-.33(1)(b) Sources: [Alabama Administrative Code, Chapter 810-6-1 (revised 3/17/23)](https://file.admincode.legislature.state.al.us/docs/rev/810-6-1.pdf). ## Worked examples ### A $40 sale through a participating marketplace The marketplace collects Alabama's flat 8% Simplified Sellers Use Tax from the buyer: $40 x 8% = $3.20. The notice says that collection relieves the facilitator, the seller and the buyer of any additional state or local sales and use tax on that same transaction, so a marketplace-only seller has nothing to remit on it. ### Marketplace sales plus a flea market booth Say you sell $600 a month through a marketplace that collects for you and $250 a month at a booth. The $600 stays with the marketplace. The $250 in booth sales is your own retail activity, so you would need your own sales tax license and report those sales (plus any city or county tax the department doesn't administer) yourself. Check with a tax professional about the local taxes where your booth is. ### Clearing out your own closet Selling your own used clothes and household goods at a one-off yard sale is a casual sale by someone not in the business of selling, which the rules say is not required to be reported. Once you buy items to resell, those sales are used property sold by a person in the business, which is taxable. ## Edge cases and details - If the marketplace has elected not to collect (Alabama calls it a non-participating marketplace facilitator), the seller is not relieved of remitting tax on sales made through it. - Form STE-1 is only for businesses that are not required to hold a sales tax license and that have a place of business in Alabama; once you hold a sales tax license, the department will not issue you an STE-1. - The department does not administer every city and county sales tax; it tells sellers to contact each county and municipality where they do business about registering for its local tax. - Casual sales of automotive vehicles, motorboats, trailers, travel trailers and manufactured homes are taxable under a separate casual sales tax, even between private people. - Consignment through an auctioneer: the rules tax an auctioneer’s retail sales of consigned property, with the auctioneer liable when it collects payment, issues the bill of sale and pays the owner; when a licensed owner has the auctioneer sell in the owner’s name, the auctioneer is not liable (rule 810-6-1-.05). - Items bought tax-free for resale and then used yourself are withdrawals: the department says they are subject to tax, reported at cost on the sales tax return. - Sales tax returns are due monthly, by the 20th. Under § 40-23-7 the department says you may ask to file quarterly if your liability for the preceding calendar year was under $2,400, semi-annually if under $1,200, or annually if under $600 (or if you made sales in no more than one 30-consecutive-day period that year); a change must be requested before February 20 to apply for that year. ## What to do 1. Selling only through marketplaces: confirm each platform collects Alabama tax on your orders (its tax help pages or your sales report show this), and keep records of your marketplace sales. 2. Buying inventory for resale without a license: apply for an STE-1 on Form ST:EX-A1 through My Alabama Taxes, then give a copy to each supplier. 3. Adding any direct sales: register for a sales tax license in My Alabama Taxes before you start, renew it by December 31 each year, and ask each city and county where you sell about its local tax. 4. Unsure whether your selling counts as a business or as occasional sales? Check with a tax professional or the department's Sales and Use Tax Division. ## Common questions ### Do I need an Alabama resale certificate to buy pallets or wholesale lots? If you hold a sales tax license, the department treats the license as your resale certificate. If you sell only through marketplaces that collect for you and are not required to hold a license, the department says to apply for a Form STE-1 exemption certificate instead, which you give to vendors. ### Do I have to renew an Alabama sales tax license? Yes. The department's guidance says the state tax license is renewed by December 31 each year through My Alabama Taxes. ### Is a yard sale taxable in Alabama? A casual or isolated sale by someone not in the business of selling is not required to be reported under the sales tax law. Selling used goods as a business is taxable. ## Related - [Seller's permits by state: marketplace-only sellers, resale certificates and garage sales on one table](https://resellerindex.com/tax/sellers-permit/) - [Alabama: marketplace sales tax and 1099-K rules](https://resellerindex.com/tax/states/alabama/) - [Alaska: do you need a seller's permit?](https://resellerindex.com/tax/sellers-permit/alaska/) - [Form 1099-K for resellers: the federal test](https://resellerindex.com/guides/1099-k-for-resellers/) - [Do eBay's fees apply to the sales tax a buyer pays?](https://resellerindex.com/guides/ebay-fees-on-sales-tax/) - [Where each selling app keeps its sales report](https://resellerindex.com/guides/sales-reports-for-taxes/) ## General information, not tax or legal advice This page summarizes Alabama's own published pages, rules and statutes as read on Oct 23, 2026. It doesn't say whether you must register, what you should file or whether you owe tax: that turns on your own sales, where you sell and what you buy. Rules change. Check with a tax professional, or ask the Alabama Department of Revenue directly. ## Sources Official pages this page is built from, with the day each was read. - Alabama Department of Revenue: [What are the requirements for in-state sellers who only sell on participating marketplaces?](https://www.revenue.alabama.gov/faqs/what-are-the-requirements-for-in-state-sellers-who-only-sell-on-participating-marketplaces/); read Oct 23, 2026. Marketplace-only in-state sellers don't register; apply for an exemption certificate. - Alabama Department of Revenue: [Notice: Alabama Simplified Sellers Use Tax and Marketplace Facilitators Guidance](https://www.revenue.alabama.gov/wp-content/uploads/2021/07/210726_SUT_NOTICE_ALSSUMarketplaceFacilitatorsGuidance.pdf), dated Jul 26, 2021; read Oct 23, 2026. Marketplace law § 40-23-199.2, 8% SSUT, sellers not relieved on their own sales. - Alabama Department of Revenue: [How do I obtain or register for a sales tax license?](https://www.revenue.alabama.gov/faqs/how-do-i-apply-or-register-for-a-sales-tax-number/); read Oct 23, 2026. Registration through My Alabama Taxes; the license serves as the resale certificate. - Alabama Department of Revenue: [Operating a Business in Alabama: Sales, Use, Lodgings, & Rental Taxes](https://www.revenue.alabama.gov/wp-content/uploads/2022/04/220329_BEST_SalesUseLodgingsRentalTaxes.pdf), dated Mar 29, 2022; read Oct 23, 2026. Annual license renewal by December 31 through MAT. - Alabama Department of Revenue: [Sales Tax](https://www.revenue.alabama.gov/sales-use/sales-tax/); read Oct 23, 2026. Wholesale sales for resale; local taxes the state doesn't administer. - Alabama Department of Revenue: [Rule 810-6-5-.02, State Sales and Use Tax Certificate of Exemption (Form STE-1)](https://www.revenue.alabama.gov/wp-content/uploads/2021/12/810-6-5-.02.pdf); read Oct 23, 2026. Who can get Form STE-1 and who can't. - Alabama Department of Revenue: [How do I apply for an exemption certificate?](https://www.revenue.alabama.gov/faqs/how-do-i-apply-for-an-exemption-certificate/); read Oct 23, 2026. Application form ST:EX-A1. - Alabama Legislative Services Agency (Alabama Administrative Code): [Alabama Administrative Code, Chapter 810-6-1 (revised 3/17/23)](https://file.admincode.legislature.state.al.us/docs/rev/810-6-1.pdf), dated Mar 17, 2023; read Oct 23, 2026. Rules 810-6-1-.33 (casual sales), 810-6-1-.111 (occasional sale) and 810-6-1-.05 (auctioneers and consigned property). 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