Does a Perigold Trade price mean I don't pay sales tax?

No. A trade price is only a discount. Tax-exempt checkout is available only when you resell the goods to a client, are registered for sales tax as the state requires, and have uploaded a valid resale certificate that has been approved. Items you keep owe sales or use tax.

Are interior design fees taxable in New York?

Yes. Under New York's TB-ST-400, interior decorating and design services are taxable at state and local rates, though New York City's local tax doesn't apply. In New York City, separately contracted and separately stated design fees are taxed at 4.375%; billed together with furniture without a separate charge, the whole amount is taxed at 8.875%.

When are design fees taxable in California?

Under CDTFA Publication 35, fees directly related to a taxable sale of merchandise are taxable, such as helping a client choose furniture or measuring for an order. Separately stated professional fees unrelated to a sale are not. If goods are billed at cost with a separate fee added, the whole fee is taxable unless you can show which part is nontaxable service.

Designer Trade Pricing, Resale Certificates and Sales Tax

Q: What certificate does a North Carolina designer use to buy for resale?

A designer selling furniture to clients in North Carolina registers with the NCDOR as a retailer, gives suppliers Form E-595E for resale purchases and charges clients sales tax. Design fees billed with the goods may be part of the taxable sales price, and items installed into real property may follow contractor rules.

A trade program gives you a discount, not a tax exemption. An interior designer who resells furniture and lighting to clients is a retailer in most states: register for sales tax, buy for resale with a resale certificate, then charge the client tax based on where the goods are delivered. Items you keep can't go on a resale certificate. Design fees are treated very differently: New York taxes design services outright, California taxes fees directly tied to a sale of merchandise, and in North Carolina it depends on how the charge is built.

A trade discount and a tax-exempt purchase are different things

Nearly every high-end home retailer runs a trade program. Take Perigold: Perigold Trade, powered by Wayfair Professional, gives designers, architects and contractors 10% or more off eligible items across Perigold, Wayfair, AllModern, Joss & Main and Birch Lane, with no minimum purchase and some brands excluded; Wayfair relaunched the program in 2026. To join, a business verifies with an EIN or by uploading a business license, a state tax exemption or resale document, or a membership document.

Tax-exempt buying is a separate step. Wayfair Professional's instructions say to upload a valid resale or state exemption document to the account; only after approval does a Tax-Exempt Purchase option appear at checkout. The discount is a price the retailer gives you. Whether you skip sales tax depends on whether you are reselling and have registered and given a certificate the state accepts.

A resale certificate only moves the tax down the line. You don't pay tax when you buy because you will collect it when you sell. Use one for your own office furniture, a gift or a sample you keep, and an audit brings the tax, interest and penalties.

New York: design services are taxable in themselves

New York's rule (TB-ST-400, Interior Decorating and Design Services): interior decorating and design services are taxable. Anyone providing them in New York State or with a place of business there must register for sales tax. Except for New York City's local tax, the services are taxed at the full state and local rate, including the 0.375% Metropolitan Commuter Transportation District (MCTD) tax; New York City's local sales tax does not apply to them.

Selling furniture to the client: furnishings and fixtures a designer sells along with design services are taxable when delivered in New York State. In New York City, design services contracted separately with a reasonable, separately stated charge are taxed only at the combined state and MCTD rate of 4.375%; if design and goods are billed together without a separate charge, the whole amount is taxed at 8.875%.

Buying for resale: New York's resale certificate, Form ST-120, generally requires that you be registered and hold a Certificate of Authority.

California: only fees tied to a sale are taxed

California's rule (CDTFA Publication 35, Interior Designers and Decorators, July 2026 revision): a designer who sells any merchandise to clients, including samples or finished drawings, generally needs a seller's permit. Fees directly related to a taxable sale of merchandise are taxable, such as accompanying a client to a showroom to buy furniture or measuring for draperies being ordered. If you bill goods at cost and add a separate fee, the whole fee is treated as taxable unless you can clearly show what part is for nontaxable professional services. Separately stated professional fees unrelated to a sale (consultations, layouts and color schemes before anything is ordered) are not taxed.

Resale and use tax: goods you resell, and materials such as fabric that become part of what you sell, can be bought with a resale certificate. If you then use those goods yourself, or give them to clients, friends or family, you owe use tax. Out-of-state purchases with no California tax charged also owe use tax at your local rate.

North Carolina: register as a retailer and use Form E-595E

North Carolina's approach: a designer who sells furniture to clients registers with the NCDOR as a retailer, gives suppliers Form E-595E (the Streamlined Sales and Use Tax Agreement certificate of exemption) for resale purchases, and charges clients sales tax.

Design fees: North Carolina defines sales price to include the retailer's charges for services necessary to complete the sale (N.C.G.S. §105-164.3). A design fee billed with the furniture may be part of the taxable sales price; pure design consulting with no goods sold depends on the facts. Items installed so they become part of real property, such as built-in cabinetry, may fall under contractor rules, which change both the certificate and the tax treatment.

Projects in other states

Delivery location governs: tax generally follows the state where the client takes delivery. A New York designer buying furniture delivered straight to a New Jersey client follows New Jersey's rules and may need to register there.

Use the right form: many states accept the multistate SST certificate or the MTC uniform resale certificate, while some accept only their own. Upload to your Perigold Trade account a certificate the delivery state accepts.

The designer's own income tax

The trade discount simply lowers your cost; it isn't separate income. Markups on resold goods and design fees are income: a sole proprietor or single-member LLC reports them on Schedule C and pays income and self-employment tax. With steady profit, an S corporation can make sense, paying a reasonable salary with the rest free of self-employment tax. Sales tax collected from clients isn't income; it is passed to the state on schedule.

A note for brands

Luxury furniture brands that sell directly to designers should collect and file designers' resale certificates by state, and charge tax by delivery state when there is no valid certificate. A brand's sale to Perigold is a wholesale sale to Wayfair for resale, a different transaction from a designer buying on Perigold.

The takeaway

Once you have trade pricing, check three things: whether you are registered in the project's state, whether the resale certificate is being used correctly, and how each state wants design fees invoiced. The designer channel and brand supply on Perigold are covered in the Perigold guide, and North Carolina registration and returns in the North Carolina sales tax guide. To check your situation, book a free 15-minute call or message WeChat YCLUSA.