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Author Topic: State & fed tax id  (Read 1357 times)
Guest
« on: March 14, 2005, 07:52:04 am »

If I am just starting out, do I need a State tax & Federal tax ID?  I live in NY.  

Thanks!!
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Metalman
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« Reply #1 on: March 14, 2005, 09:25:14 am »

Every state has different rules and laws regarding Tax ID #s.
The big factor for me was that I was making art and work for resale so I was in business.  If I wanted to buy properly and not pay tax on items and materials that I was reselling, I needed the tax id #.  To some degree, this depends on the level of your activity and who you wish to buy from.
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Metalman
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« Reply #2 on: March 17, 2005, 12:12:36 am »

As a sole proprietor you generally need a federal tax id number only if you have employees.  Otherwise your SSN is your tax id.

If you do much selling, you'll probably need a sales tax license.  You should check with your state tax office, and perhaps local ones.  It's different in every state.
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