You cannot legally collect Indiana’s 7% sales tax until you hold a Registered Retail Merchant Certificate (RRMC). You register for one online through the INBiz portal, and the total online cost is $26. The Indiana Department of Revenue (DOR) issues the certificate and sets the rules on its sales tax registration page.
Indiana calls this one document three names: a sales tax permit, a Retail Merchant Certificate, and a Registered Retail Merchant Certificate (RRMC). They are the same thing. This guide uses RRMC throughout.
| Detail | What to know | Source |
|---|---|---|
| Permit name | Registered Retail Merchant Certificate (RRMC) | Indiana DOR |
| Where to register | INBiz portal, inbiz.in.gov | INBiz |
| Fee | $25 statutory per location; $26 total online (INBiz adds a $1 convenience fee) | Indiana Code 6-2.5-8-1; INBiz fees |
| Renewal fee | None; renewal is automatic and free | Indiana Code 6-2.5-8-1 |
| State rate | Flat 7%, no local or county add-ons | Indiana Code 6-2.5-2-2 |
| Economic nexus threshold | $100,000 gross revenue (current or prior calendar year); 200-transaction prong removed 1/1/2024 | Indiana DOR remote seller FAQ |
| Processing time | About 1 to 2 business days for electronic issuance via INBiz; mailed certificates take longer | Indiana DOR / INBiz |
| Renewal cycle | Automatic every two years | Indiana Code 6-2.5-8-1 |
| Zero returns | Mandatory for every period with no activity | Indiana DOR |
| EFT requirement | Required above $5,000 average monthly tax liability | Indiana Code 6-2.5-6-1 |
| Late-filing penalty | 10% of tax due, $5 minimum, 100% cap | Indiana Code 6-8.1-10-2.1 |
What Is a Sales Tax Permit in Indiana (Registered Retail Merchant Certificate)?
The Indiana sales tax permit is officially the Registered Retail Merchant Certificate (RRMC), issued by the Indiana Department of Revenue (DOR). It authorizes you to collect the flat 7% state sales tax. Indiana has no local or county sales taxes. The rate is 7% everywhere in the state, which makes it simpler than most neighboring states.
Sales tax permit, Retail Merchant Certificate, and RRMC all name the same document. This guide standardizes on RRMC.
Businesses that run multiple retail locations must display an RRMC at each location, per Indiana DOR. The 7% rate is set in Indiana Code 6-2.5-2-2. There is no home-rule or municipal add-on to worry about.
Who Needs a Sales Tax Permit in Indiana?
You need an RRMC if you have a physical presence in Indiana, or if you are a remote seller with more than $100,000 in Indiana gross revenue in the current or prior calendar year. Physical presence includes a storefront, warehouse, office, employees, or inventory. Event and seasonal vendors and sellers of taxable digital products register too.
Four segments cover most businesses:
- In-state sellers with a storefront, warehouse, office, employees, or inventory in Indiana. This includes Fulfillment by Amazon (FBA) inventory stored in an Indiana fulfillment center. Read Commenda’s physical nexus explainer for the full list of triggers.
- Remote sellers past the $100,000 threshold. Remote sellers often wrongly assume they are exempt. They are not once they cross the threshold. Commenda’s sales tax nexus guide explains how nexus forms.
- Event and seasonal vendors at fairs, flea markets, and craft shows.
- Sellers of taxable digital products. Indiana taxes specified digital products and certain utilities. Indiana is not a broad services-taxing state, so most services stay untaxed.
What Is Indiana’s Economic Nexus Threshold in 2026?
Indiana’s economic nexus threshold is $100,000 in gross revenue from Indiana sales in the current or previous calendar year, and nothing else. Indiana removed the old 200-transaction prong effective January 1, 2024, per Senate Enrolled Act 228. Revenue is now the only trigger. This is the biggest change since the original guide.
| Rule | Trigger | Effective | Source |
|---|---|---|---|
| Old rule (pre-2024) | $100,000 gross revenue OR 200+ separate transactions | Before Jan 1, 2024 | Indiana DOR remote seller FAQ |
| Current rule | $100,000 gross revenue only | Jan 1, 2024 | SEA 228 / P.L. 118-2024 |
| Formal announcement | Threshold change confirmed for remote sellers and facilitators | April 1, 2024 | DOR Sales Tax Information Bulletin #89 |
The $100,000 count includes taxable, exempt, and wholesale sales delivered into Indiana. It excludes sales made through a marketplace facilitator, per the Indiana DOR remote seller FAQ. For thresholds in other states, use Commenda’s US nexus exposure guide.
How Do You Register for a Sales Tax Permit in Indiana? (Step-by-Step)
Register online through the INBiz portal at inbiz.in.gov. The application takes one session if your information is ready, and the total online fee is $26. In-state businesses may need to form or register the entity with the Secretary of State first, which INBiz also handles. Out-of-state remote sellers generally register only the tax account.
- Confirm your obligation with a physical or economic nexus check.
- Gather your required information (see the next section).
- Create or log in to an INBiz account.
- Start the business tax application and select the RRMC.
- Select your tax types (sales, use, and withholding as applicable).
- Pay the $26 fee by bank account or card.
- Receive your RRMC by email and mail, then begin collecting.
Can You Register by Paper Instead of INBiz (Form BT-1)?
Yes. You can register on paper using Form BT-1, the Indiana Business Tax Application, instead of INBiz. The paper route is slower than the online portal, and mailed certificates take longer to arrive. Online filing through INBiz remains the fastest way to get an RRMC and the recommended default for most sellers.
What Information Do You Need to Register?
You need your legal business details, federal ID numbers, responsible party identification, business activity details, and payment information. Gather these before you start, because a missing or wrong entry can trigger a rejection or delay. The table below lists every item INBiz asks for.
| Category | Item | Notes |
|---|---|---|
| Business | Legal name and structure | Sole proprietorship, LLC, partnership, or corporation |
| Business | DBA name | If you operate under a “doing business as” name |
| Business | Indiana start date | When activity begins in the state |
| Business | Addresses and contacts | Physical address, mailing address, phone, email |
| Federal ID | FEIN | Federal Employer Identification Number; SSN for sole proprietors |
| Responsible party | Owner or principal officer | Full legal name and contact details |
| Responsible party | SSN | Social Security Number of the responsible party |
| Responsible party | Driver’s license or state ID | Used for identity verification |
| Activity | NAICS code | Look up your North American Industry Classification System code |
| Activity | Projected monthly Indiana sales | Estimated gross taxable sales |
| Activity | Product and service types | Note wholesale, retail, or both |
| Payment | Bank account or card | For the $26 fee |
An omitted or misidentified responsible party can invalidate the application. A wrong NAICS code can misassign your tax obligations, so pick the one that best fits your activity.
How Much Does an Indiana Sales Tax Permit Cost?
An Indiana sales tax permit costs a one-time, non-refundable $26 when you register online through INBiz. That total is the $25 statutory fee per location set in Indiana Code 6-2.5-8-1 plus a $1 online convenience fee shown at INBiz checkout. You pay it by bank account or card. There are no annual renewal or maintenance fees.
The permit stays active at no further cost as long as you file your required returns.
How Long Does It Take to Get an Indiana Sales Tax Permit?
Online INBiz applications are typically processed within about 1 to 2 business days for electronic issuance, per Indiana DOR guidance. Mailed certificates take longer. This initial issuance is separate from the seven-day reissuance timeline that applies after a revocation is resolved, covered below.
DOR sends approval notices to the email on your application, so check your spam folder. If nothing arrives, call the DOR at (317) 232-2240.
Does the Indiana Sales Tax Permit Expire? Renewal, Revocation, and Reinstatement
The RRMC is valid for two years and renews automatically at no cost, provided you have no outstanding liabilities and no missing returns. Under Indiana Code 6-2.5-8-1, DOR renews a compliant certificate within 30 days of expiration. You never pay a renewal fee.
Businesses on an approved payment plan with the required down payment still qualify for automatic renewal. Unresolved liabilities can trigger revocation. Operating without a valid RRMC is a violation. Once you clear the liabilities or set up a payment plan, DOR reissues the RRMC within seven days.
What Happens After You Register? Filing, INTIME, and Zero Returns
After approval you set up an account on Indiana’s INTIME portal at intime.dor.in.gov, the DOR system where you file every return and make every payment. DOR assigns your filing frequency based on your average monthly tax liability. The sections below cover setup, filing, and zero returns.
How Do You Set Up and Use INTIME?
Create your INTIME login credentials after your RRMC is approved. INTIME is where you file returns, remit tax, and view your account activity and balance. Store your username and password somewhere secure. Losing access delays your filings and payments, which can lead to penalties and put your RRMC at risk.
How Often Do You File, and When Is EFT Required?
DOR assigns your filing frequency from your average monthly tax liability, then adjusts it with advance notice before the next tax year. Electronic Funds Transfer (EFT) is required when your average monthly tax liability exceeds $5,000, per Indiana Code 6-2.5-6-1.
| Obligation | Rule | Source |
|---|---|---|
| Filing frequency basis | Assigned by DOR from average monthly tax liability | Indiana DOR |
| EFT threshold | Required above $5,000 average monthly liability | Indiana Code 6-2.5-6-1 |
| Late-filing penalty | 10% of the tax due | Indiana Code 6-8.1-10-2.1 |
| Minimum penalty | $5 | Indiana Code 6-8.1-10-2.1 |
Do You Have to File Zero Returns?
Yes. Once you register for sales tax, withholding, Food and Beverage (FAB) tax, County Innkeeper’s Tax (CIT), or other trust taxes, you must file $0 returns through INTIME for every period with no activity. Zero returns keep your account active and avoid penalties. Collect the flat 7% on taxable sales and remit it on schedule; there is nothing to add on top.
Do Online Sellers and Amazon Sellers Need an Indiana Sales Tax Permit?
Marketplace facilitators such as Amazon, eBay, Etsy, and Walmart collect and remit Indiana sales tax on your marketplace sales. You still need your own RRMC if you have physical nexus in Indiana or make direct sales over the $100,000 threshold. So many sellers need a permit even when a marketplace handles part of their tax.
Fulfillment by Amazon (FBA) inventory stored in an Indiana fulfillment center creates physical nexus regardless of your sales volume. Direct sales on your own website require you to register once you cross $100,000. Marketplace-facilitated sales do not count toward your own $100,000 threshold, per the Indiana DOR remote seller FAQ.
What Is Indiana Use Tax and Do You Need to Register for It?
Indiana use tax is a 7% tax on taxable goods used in Indiana when Indiana sales tax was not paid at purchase. It most commonly applies to out-of-state purchases brought into the state. You can add use tax as a tax type during the same INBiz application, so there is no separate registration to file.
Use tax matches the 7% sales tax rate. It prevents untaxed out-of-state buys from escaping tax.
How Commenda Simplifies Indiana Sales Tax Compliance
Commenda’s global indirect tax software tracks physical and economic nexus across every state, handles registrations like the Indiana RRMC, and files your returns, including the zero returns Indiana requires. It connects to your existing stack through 100+ ERP, API, and custom integrations, so your sales data flows in without manual work. You get certainty that each Indiana filing is done on time.
Monitor thresholds with Commenda’s US nexus exposure guide, use the Indiana sales tax guide as your canonical threshold reference, and look up rates with the sales tax calculator. The calculator finds rates; it does not check nexus exposure.
Book a demo to get a free nexus exposure assessment across every state you sell into.
