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What Licenses Do I Need To Sell At A Flea Market | |
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What Licenses Do I Need To Sell At A Flea Market |
8/22/2009 12:00 AM
| I have a booth at a flea market. I want to order wholesale but I do not charge taxes on my sales and I do not want to file a tax. The situation you describe is not unique. You make tax free sales. This is not terribly unusual, for example, certain handcrafted items can be free of taxes depending on your juristiction. But the question is, how do you purchase wholesale if you don't have to charge sales tax? Simple. The same way as if you did have to charge sales tax. A Sellers Permit. |
| A Sellers permit is traditionally a registration with the state, providing the registrant an ID number allowing them to charge sales tax on applicable goods and services. Once the regristrant has made the charge, they pay the charge amount into an account created for them by the act of registering to remain current in their taxes. However, that is not the only purpose a sellers permit serves. The very same ID number provided by a sellers permit is needed to fill out the resale certificates required to establish business relationships with wholesalers. Resale certificates are easily obtained, especially if you retian ouyr services, as we provide them automatically as part of our Sellers Permit service. |
| The key thing to understand here is that a sellers permit is called that because it is the controlling document of the sales relationship, not because it only effects sales. Indeed, some states without a sales tax have a similar registration. In your case, they serve the same purpose. |
| 03 - Since you are selling taxable items, here are the licenses and tax ids you are legally required to obtain before starting business operations: 1. A business tax registration license 2. A DBA assumed business name 3. A federal tax id number also is required in most state for those that they get a seller's permit, and if you are a partnership or you want to use it instead of you social security number to open a bank account. Also, note that forming an llc or incorporating eliminates the requirement of getting a dba. It is a good idea to form an llc to avoid personal liability from business transactions. Since you are dealing in taxable items, you will need 4. A seller's permit. |
| Simply go online to www.businessnameusa.com Answer our online questionaire to determine your needs, then fill out our business information form as thouroughly as possible so that once you have completed each step of our payment systemwe can begin processing your order immediately. |
| www.businessnameusa.com P.O. Box 14927 Long Beach, CA. 90853 310-455-6675 |
| To be clear, if you sell an item considered taxable by the state inwhich you do business, simply not having a sellers permit to avoid being noticed by the state government is akin to an Ostrich putting its head in the ground to avoid being noticed. They will find you doing business one way or another, they will audit you, and they will demand that you pay your sales tax dues as they assess them, one way or another, whether you have the money or not, potentially ruining you and your business. However, if you legitimately provide a good or service that the state does not tax, then the reasons for obtaining a sellers permit are quite simply put. You are missing out on so much. Wholesale purchases are free money, the lifeblood of a young business, especially the example you provide, one whose only real cost is materials, where the ability to avoid taxes will make the difference between getting by and thriving. |
| Simply go online to http://www.businessnameusa.com/services/fees.htm to determine your prices. Keep in mind that we include virtually all filing fees in our prices; e.g. in Washington, if you use our service, when you pay us $79.99, we cover the certain minimum $20.00 filing fees as well as any additional filing fees that may arise, all part of your initial payment. |
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