TartAddict Posted August 11, 2007 Share Posted August 11, 2007 Hi all I'm in the process of starting up my business. I don't want it to be a full time venture for at least two years. I was talking to a girlfriend and she mentioned that she is classified as a hobby. I'd never even heard of getting a business license for a hobby. I guess my question is, if you have a website and are selling products, how can it be considered a hobby? I'm assuming it has to do with how much income you bring in each year, but how can your predict how much you'll make? Just wondering if any of you has any thoughts on this. Thanks guys D Quote Link to comment Share on other sites More sharing options...
Jodi Posted August 11, 2007 Share Posted August 11, 2007 EAch state is differant .. in jersey we have to make over 600.00 a year for it to be concidered a business .. check your states home page for business an it will tell you there Quote Link to comment Share on other sites More sharing options...
TartAddict Posted August 11, 2007 Author Share Posted August 11, 2007 Thank you I googled around and still didn't find an answer. I'm in AZ. I know that if you make $400 or more, you need to have a business license. I know for a fact that I will make more than $400. My friend was saying that she is licensed as "hobby status". Guess I need to pick her brain Thanks. Quote Link to comment Share on other sites More sharing options...
debscent Posted August 11, 2007 Share Posted August 11, 2007 In Delaware we have a standard business license and they also offer a "crafter's license" for people who do craft shows etc. (and it's for a specified dollar amount and how many shows you can do). Quote Link to comment Share on other sites More sharing options...
BBSweets Posted August 11, 2007 Share Posted August 11, 2007 Wow. In TN you have to make over $3,000 a year to be considered a business and be required to file taxes! (If it's from making crafts.) I was just reading about this yesterday on the TN Department of Revenue site because I was curious, too! Quote Link to comment Share on other sites More sharing options...
OFCILynn Posted August 11, 2007 Share Posted August 11, 2007 BBS>Thanks for sharing that information! I will be moving to Tn. and needed to know this and many other things! LOLGod Bless,Lynn Quote Link to comment Share on other sites More sharing options...
MissMary Posted August 12, 2007 Share Posted August 12, 2007 A lot of states also say that if you sell within the state you must collect taxes and upon doing so, you are classified as a business regardless of income. Quote Link to comment Share on other sites More sharing options...
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