Tax-Exempt Certificate: When and How to Use It
Crosspoint Church is a tax-exempt organization and may make qualifying purchases without paying sales tax when using the official Tax-Exempt Certificate.
State of Florida: DOCUMENT HERE
Payment Method Requirement
Tax-exempt purchases must follow strict payment guidelines to remain compliant:
- Cash may never be used for tax-exempt purchases
- Only approved church payment methods (church credit card or church check) may be used
- Personal funds may not be used for tax-exempt purchases under any circumstance
Purchases made with cash or personal funds are not eligible for tax-exempt treatment and will be treated as non-compliant.
When to Use the Tax-Exempt Certificate
The Tax-Exempt Certificate should be used when making purchases on behalf of Crosspoint Church that directly support ministry activities.
Common examples include:
- Ministry supplies
- Office supplies
- Equipment and furniture
- Ministry-related merchandise for resale or distribution
Purchases That Should NOT Include Sales Tax
- Merchandise purchased for ministry use or resale
- Operational supplies and materials
- Equipment and approved budgeted purchases
Ministries are expected to not pay sales tax on these types of purchases when the certificate is properly provided.
Food Purchases – Important Distinction
Food purchases vary depending on the type of transaction:
- Catering or large food orders (events, conferences, group meals):
- → Typically tax-exempt when the certificate is provided
- Individual or small food purchases (restaurants, fast food):
- → Sales tax is often charged and generally acceptable
When possible, vendors should be asked whether the tax-exempt certificate will be accepted prior to purchase.
How to Use the Certificate
- Provide the Tax-Exempt Certificate to the vendor at the time of purchase
- Some vendors may require the form to be completed or kept on file
- For frequent vendors, the certificate should be submitted and kept on file
- Online vendors may require submission of the certificate in advance
Important Guidelines
- The certificate may only be used for official church purchases
- The certificate may not be used for personal purchases under any circumstance
- Not all vendors are required to accept tax-exempt certificates; contact the Business Office if clarification is needed
- Some companies may require an updated version of the certificate; the most current form should be printed from this page or requested from the Operations team
Reimbursement Policy
Sales tax paid on purchases that should have been tax-exempt will not be reimbursed. Use of the Tax-Exempt Certificate at the time of purchase is expected whenever applicable.
Where to Find the Certificate
The current Tax-Exempt Certificate is attached to this page for download and use.
Questions
For questions or assistance, contact: Accountant Accounts Payable