JudyN Posted January 28, 2006 Share Posted January 28, 2006 If I'm a sole proprietor will I have a Federal Tax I.D. # or will I just use my social security number? Quote Link to comment Share on other sites More sharing options...
Beth-VT Posted January 28, 2006 Share Posted January 28, 2006 You'll just use your SSN. Quote Link to comment Share on other sites More sharing options...
mizbizzyb Posted January 28, 2006 Share Posted January 28, 2006 You can do either...I'm sole proprietor and have a federal tax id. Quote Link to comment Share on other sites More sharing options...
sudsnwicks Posted January 28, 2006 Share Posted January 28, 2006 You can just use your SSN, but if you want a tax ID number, they'll give you one. The reason some sole proprietors choose to get a tax ID, even though it isn't necessary, is because they don't want to give out their SSN when filling out forms. Quote Link to comment Share on other sites More sharing options...
mizbizzyb Posted January 28, 2006 Share Posted January 28, 2006 You can just use your SSN, but if you want a tax ID number, they'll give you one. The reason some sole proprietors choose to get a tax ID, even though it isn't necessary, is because they don't want to give out their SSN when filling out forms.Bingo! That is why I opted to get a tax id. Quote Link to comment Share on other sites More sharing options...
Suzanne Posted January 28, 2006 Share Posted January 28, 2006 Bingo! That is why I opted to get a tax id.Same here!! Quote Link to comment Share on other sites More sharing options...
LynnS Posted January 28, 2006 Share Posted January 28, 2006 I can't believe but another question I was wanting answered.I did get my Federal TAX ID on-line.Better be coming it is paid for.What I wonder do I still go to the county and alsol get a state tax.I hear all these taxes and getting confused.Federal,State and County. HELP ME TOO???LynnS Quote Link to comment Share on other sites More sharing options...
Candle Man Posted January 28, 2006 Share Posted January 28, 2006 I can't believe but another question I was wanting answered.I did get my Federal TAX ID on-line.Better be coming it is paid for.What I wonder do I still go to the county and alsol get a state tax.I hear all these taxes and getting confused.Federal,State and County. HELP ME TOO???LynnSNo at least not in Arkansas. When I pay sales tax I have to seperate the different percents (city, county & state) and pay all to the state. So to answer your ? you only get one sales tax # & that would be from your state. Quote Link to comment Share on other sites More sharing options...
Suzanne Posted January 28, 2006 Share Posted January 28, 2006 The federal is the EIN (employer identification number) from the IRS. You don't need this unless you are paying employees or paying yourself as an employee. In Michigan, if you get the EIN first, then the state tax ID just adds a couple of letters in front of that. (makes paperworker easier i suppose) And if you don't have an EIN, Michigan usually uses your SS#. I would suggest getting an EIN first, just takes a phonecall, then apply for your State Tax ID.Edited to add: EIN is a federal tax number. It's what is used to pay fed taxes that employers have to pay. Quote Link to comment Share on other sites More sharing options...
JudyN Posted January 28, 2006 Author Share Posted January 28, 2006 How do you get the Federal Tax I.D. # and how much does it cost? Quote Link to comment Share on other sites More sharing options...
Suzanne Posted January 28, 2006 Share Posted January 28, 2006 Hi Judy,Here's the link to the irs site: http://www.irs.ustreas.gov/businesses/small/article/0,,id=98350,00.htmlYou'll find the answers to all your questions there. And I don't think it costs anything for the EIN.If you have any more questions that you can't find the answer, just ask and I'll help you. Quote Link to comment Share on other sites More sharing options...
LynnS Posted January 28, 2006 Share Posted January 28, 2006 I called my county and they said come there for a tax ID.I did get Federal TaX ID.So now it is just the state tax ID I need and I will be covered.Also where do you get the state tax ID.Where do you apply? JudyN and I want to know.I am like her. Haven't a clue.LynnS Quote Link to comment Share on other sites More sharing options...
Suzanne Posted January 28, 2006 Share Posted January 28, 2006 For the state sales tax ID, you need to contact your state's treasury dept. You should be able to find it on at your state's website. Quote Link to comment Share on other sites More sharing options...
Suzanne Posted January 28, 2006 Share Posted January 28, 2006 Do you have a DBA? That's probably what the county was refering to when they said you could go there for that. It's registering your business name, "Doing Business As". That would be the first thing.Here's some steps you can follow:1. Obtain an DBA from local courthouse.(usually small fee, like $10)2. Get your EIN, follow the info on the IRS website3. Get your State Sales Tax ID, follow the info on your states website, treasury dept.HTH Quote Link to comment Share on other sites More sharing options...
LynnS Posted January 29, 2006 Share Posted January 29, 2006 Thanks Suzanne.I kept trying to get it all together.I called and said where do I get a tax ID to start a home based business but I bet who I talked to thought a DBA.Also I think they want to know if it is OK to do a candlemaking business out of my home.There are a few other businesses near me and I am on the outskirts of a small town.I do know that there is a AVON sign just a little farther than me but she does not make anything.Although if she is selling out of her house I don't see why I won't be able to.LynnS Quote Link to comment Share on other sites More sharing options...
JudyN Posted January 29, 2006 Author Share Posted January 29, 2006 I filled out the paperwork for my DBA today. In Calif. it is $23.00. Everyhing is more here . I'm so excited though. I make a large heart chuck today that didn't turn out like I wanted it to, the chucks were with hearts in them and you couldn't tell that but it still looked neat. Anyway my neighbor wants two of them at 35.00 a piece. I'm so jazzed. Thanks for your help. Quote Link to comment Share on other sites More sharing options...
Suzanne Posted January 29, 2006 Share Posted January 29, 2006 Lynn - I think you would have to check with your local zoning dept. to see if it's ok to make candles in home to sell. For example, in the city I live, I can make the products but I can't have customers coming to my house. Kind of like, keeping it a neighborhood, not a business area. So I would check on that for your area, you don't want to have some neighbor complaining if it's not ok.Judy - Good Luck!! It's so rewarding when customers are asking for things. And I think it's even more addicting!! LOLGood Luck to both of you!! Quote Link to comment Share on other sites More sharing options...
JudyN Posted January 29, 2006 Author Share Posted January 29, 2006 Wow - sorry for the spelling errors in my last post. You can tell I don't spellcheck. Quote Link to comment Share on other sites More sharing options...
butterfly Posted January 29, 2006 Share Posted January 29, 2006 Wow - sorry for the spelling errors in my last post. You can tell I don't spellcheck.Just glad to know that you know you misspelled!LOL:p Quote Link to comment Share on other sites More sharing options...
andrealh1975 Posted January 29, 2006 Share Posted January 29, 2006 Thanks Suzanne.I kept trying to get it all together.I called and said where do I get a tax ID to start a home based business but I bet who I talked to thought a DBA.Also I think they want to know if it is OK to do a candlemaking business out of my home.There are a few other businesses near me and I am on the outskirts of a small town.I do know that there is a AVON sign just a little farther than me but she does not make anything.Although if she is selling out of her house I don't see why I won't be able to.LynnSWhen you talk to the office that you're getting your business license through you might want to ask them about doing business in your home. I live in MD in a county that has tons of restrictions...I'm not allowed to keep "made" products in stock in my homeI can't keep supplies in the houseI can't have a show and allow people to buy things in my house Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.