Question about online sites

[PeaceB2U]

I have a question concerning selling homemade soap online. Are there any kind of permits that must be purchased in order to sell soap at your site and ship it to customers?

 

[Deda]

Mostly it will depend on where you live.

More importantly, you will need insurance. Your insurance will most likely require a business entity of some sort.

Almost all places require some sort of business license. If you are selling from home you will probably need a home occupation permit. Then a state tax ID. If you are going to all that trouble get a FEIN, too.


It's not really all that much trouble, just a little paperwork.

 

[Tabitha]

I would call the tax collector in your county & go in for a visit. They can have you fixed up in about 20 minutes. It's super easy!

 

[PeaceB2U]

Mostly it will depend on where you live.

More importantly, you will need insurance. Your insurance will most likely require a business entity of some sort.

Almost all places require some sort of business license. If you are selling from home you will probably need a home occupation permit. Then a state tax ID. If you are going to all that trouble get a FEIN, too.


It's not really all that much trouble, just a little paperwork.

I live in Ohio.

I wouldn't need a business license in my area just to operate. I've actually been running my own design business for about 6 years now from my home. My business taxes are filed with my personal taxes.

I'm assuming you mention insurance for two reasons: to cover loss of equipment in a tragedy or for lawsuits. Is this correct?

I just wondered if selling soap online was like selling candy where special health permits are needed.

 

[Deda]

I live in Ohio.

I wouldn't need a business license in my area just to operate. I've actually been running my own design business for about 6 years now from my home. My business taxes are filed with my personal taxes.

I'm assuming you mention insurance for two reasons: to cover loss of equipment in a tragedy or for lawsuits. Is this correct?

I just wondered if selling soap online was like selling candy where special health permits are needed.

Everything is relative to your locale, I would take Tabs advice and make a call to your local tax office.

You NEED insurance if you are going to sell soap or B&B. It's a liability issue. Covers you if your product harms someone.

Where I live a home occupancy permit wouldn't be required for a web design business, but making soap is manufacturing - that changes everything.

 

[Tabitha]

The US does not have special health permits for soap/cosmetic manufacturing like the food industry does. Most all other countries do.

My husband did point out to me about a month ago that our town has a list of industries that are not permitted w/i the city limits & soap making is on that list, along w/ a slaughter house & a few other things. Why I do not know. I don't make CP, I make cosmetics so it doe not effect me, I may still speak w/ the city council on that though.

I know for sure you will have to get a resell tax permit. Uncle Sam want you to charge sales tax on each every bar you sell starting w/ the first one.. If the sale is online & out of your personal state that sale is tax exempt though.

 

[PeaceB2U]

I know for sure you will have to get a resell tax permit. Uncle Sam want you to charge sales tax on each every bar you sell starting w/ the first one.. If the sale is online & out of your personal state that sale is tax exempt though.

Didn't think about sales tax. Thanks for mentioning that.

 

[Tabitha]

That permit will save you money too. You will not have to pay taxes on supplies you buy & will have access to wholesale only websites .