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Posted

I'm looking to apply for a state tax ID today so I can sell online.  All I can find are federal forms.  I thought this had to be done at a state level,....any help?

Posted

I just googled this about 2 dozen different ways.  I can't come up with nothing.  I'm horrid at search engines though.  It's a wonder I ever stumbled across this site.  If nothing else is posted in here when I get back from fishing, I'll try again.  I might just call the courthouse when I get home.  I'm off all day today and tomorrow, so I don't have much else to do  ;D

What are you trying to sell?

  • Super User
Posted

I am certain that it varies state to state, but I would contact the RI department of consumer affairs and ask for guidance. It may not be anymore complicated than using you Social Security #. I have a federal & state EIN# (Employer I.D.") for making payroll taxes, but for my own tax payment and reporting, it's all referenced to my SS#. I am a sole proprietor. It may be different if I was incorporated. I am pretty sure you don't have to collect and pay sales tax on sales out of your state, but you still pay income tax on all profits. I would drop a quarter on the State Tax Office. They will be glad to tell you where to send any money you might make. ;)

Ronnie

  • Super User
Posted

I don't think you need one unless you are going to have employees.  If you are the only employee then I believe you just use your social security number.  A Tax ID is for FICA and not sales tax ..... I think.

I believe there is some other license you might have to get from the state level for sales tax

  • Super User
Posted

If you have a bonifide business with a Charter and By-Laws and are selling retail you need your Federal Identification Number which is easy to obtain via the IRS.

Your state will want to collect their taxes, too, so you need to contract your state's Department of Taxation and they will tell you what to do. These individuals are usually very nice and helpful so give them a call.

If you incorporate as an "S" corporation you need to have an attorney draw up your legal documents and then have a CPA take care of your taxes, etc.

I also suggest setting up a "Tax Excrow Account" to put money to pay your taxes as this is the cause of so many small businesses failing.

And remember the battle cry of all small business..."Don't Screw Around with the IRS."

  • BassResource.com Administrator
Posted

What Sam said.  You need a Tax ID no matter what, IMO.  Ya, you could use your SS#, but it makes life much easier if you have a tax ID.

I simply went down to my county's dept. of licensing office to get mine (yes, they do more than just driver's licenses).  That was 12 years ago.  Now you can do it all online.  

Note that you'll need a state business license on top of getting a tax ID.  Depending on your city, you may also need a city business license too.

Bottom line: recommend going to your state's website and doing some reading. http://www.ri.gov/business/index.php?subcategory=17

  • Super User
Posted

http://www.tax.state.ri.us/

I just looked glanced but it appears RI has an "online" sales permit and a retail sales tax permitting requirement.  I saw the retail renewal but not the original application on that site.  Call the 800 number on the link and ask to be sure... you may need one or both.

Posted
My Tax ID is my SS#.

But like Ronnie said. Check with your state first.

If your just starting out this will do for now....

Posted

Others can, and have, give more intelligent advice than me.  However, I will say good luck sir in all your endeavors.

Posted

A tax ID and sales tax number are two different things. A tax ID is for income tax and a sales tax number is for collecting sales tax.

You will have to register with your state and collect sales tax on everything sold in state.

I am a CPA and have helped a lot of small businesses set this up. If you have specific questions PM me.

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