How to Submit Tax Exemption Documents

Submit Tax Exemption Documents for tax-exempt purchases. Bluehost streamlines the process, ensuring compliance and convenience in a few simple steps. 

• Who Qualifies for Tax Exemption?
  • Federal Tax Exempt
  • State Tax Exempt
• What to Do If You’re Charged Despite Being Tax Exempt
• How to Submit Tax Exemption Documents
  • Gathering Necessary Documentation
  • Submitting the Documents
  • Verification Process
  • Account Update
  • Ongoing Compliance
• Summary

Who Qualifies for Tax Exemption?

Federal Tax Exempt

Organizations exempt from federal taxes are outlined in various sections of the US Tax Code. The most recognized exemption is 501(c)(3), commonly referred to as the "charitable tax exemption." This status grants exemption from federal corporate and income taxes on most forms of revenue. Organizations with 501(c)(3) status can also solicit tax-deductible donations. This designation is especially relevant for many community organizations and, unless stated otherwise, will be used interchangeably with "tax-exempt" throughout this section. 

State Tax Exempt

These are organizations exempt from state taxes, with the most well-known exemption being 501(c)(3), or the "charitable tax exemption." This designation typically applies to charities, government agencies, advocacy groups, educational and cultural organizations, and religious institutions. All states recognize 501(c)(3) federal certifications. 

What to Do If You’re Charged Despite Being Tax Exempt

If you believe you were charged tax in error despite qualifying for tax exemption, don’t worry. Simply contact 888-401-4678 to submit a ticket. Our team will review your case and ensure any necessary corrections are made.

How to Submit Tax Exemption Documents

Gathering Necessary Documentation

The first step for tax-exempt customers is to gather all the necessary documentation that proves your tax-exempt status. This documentation can vary depending on the jurisdiction but generally includes a valid exemption certificate. 

If you are exempt from Federal (or) State sales tax, we must have a valid exemption certificate on file from you before we can set up your account for tax-exempt purchases. To do that, follow the instructions listed below. 

Each state has its rules and required certificate forms, so you first need to obtain the correct form from your state's official website and complete it accurately and fully before returning it to us. If you do not fill it out correctly, you will receive an email from our Tax Department specifying what is still needed. 

Submitting the Documents

• US Customers - Once the form is completed, email it to [email protected]. If you have an open ticket on the matter, you can also respond there. 
• Non-US Customers - Please see VAT (Value Added Tax) 

Verification Process

The documents are verified after submission. Bluehost will review the documents to ensure you meet all the legal requirements for tax exemption. This step is essential for ensuring compliance with tax laws and protecting both the customer and the company. 

We appreciate your patience as this process may take some time to complete. 

Account Update

Upon review and validation by our Tax Department, your account will be set as exempt from tax in the state your submission specifies, and any future purchases will not have sales tax added. 

Ongoing Compliance

If you should use your purchases for a non-exempt purpose, you are liable for remitting the tax directly to the state. The exemption does not apply if you charge these purchases on a personal credit card instead of your exempt business credit card. 

For tax advice, please see your tax professional.

Summary

Bluehost is dedicated to offering a streamlined and efficient process for tax-exempt customers to submit their documents for tax-exempt purchases. Following a straightforward process on how to submit tax exemption documents, which includes gathering the necessary documentation, submitting it for verification, and ensuring ongoing compliance, customers can easily enjoy the benefits of tax-exempt purchases. This process underscores Bluehost's commitment to customer support, compliance, and serving a diverse clientele with varied needs, ensuring a hassle-free experience for all tax-exempt customers.