Annapolis, MD
The owner told us: “I am a computer programmer.”
Custom programming is generally a service, so you may not need the Sales and Use Tax License in Maryland unless you sell software or hardware. An LLC and an EIN let you contract with clients cleanly, and a DBA covers any business name. If you sell packaged software or downloads, tax rules differ, so tell us how you deliver your work.
Short answer: In Annapolis, Maryland, businesses are required to obtain licensing before they start operating. For a computer programming business, that means a federal tax ID number (EIN) and a local business license, plus a structure and name registration.
The Maryland version of the seller's permit is the Sales and Use Tax License. When you buy inventory to resell, the paperwork is a Maryland resale certificate. Suppliers generally accept a resale certificate only from a buyer registered for sales tax, so even a business that mostly buys and sells wholesale usually registers. Maryland has no local sales taxes, so one state license covers the whole state. Supplies you use up in a service are usually taxed when you buy them, since they aren't resold.
Industry code: NAICS 541511 (Custom Computer Programming Services)
Get your Sales and Use Tax License filed · Start your LLC, DBA and EIN · Business licenses
Ronald · Ronald Consulting · Chester Springs, PA
Hi Ronald, consulting is generally a service, so a Pennsylvania Sales, Use and Hotel Occupancy Tax License usually isn't needed unless you sell taxable goods. If you do, the Form REV-1220 Pennsylvania Exemption Certificate applies only to items you resell. An EIN, a DBA for Ronald Consulting or an LLC, and a local business license cover the basics.
Short answer: Sales Tax Cert: the key filing in Pennsylvania is the Sales, Use and Hotel Occupancy Tax License. Suppliers will ask for its number and a Form REV-1220 Pennsylvania Exemption Certificate before they sell to you tax-free.
In Pennsylvania, the seller's permit goes by the name Sales, Use and Hotel Occupancy Tax License. To buy for resale without paying sales tax, you give the supplier a Form REV-1220 Pennsylvania Exemption Certificate. Not a sales tax license. A business selling only to resellers applies for a wholesaler certificate instead; it cannot hold both. Pennsylvania issues a separate wholesaler certificate to businesses that sell only for resale; any retail selling requires the sales tax license instead. Supplies you use up in a service are usually taxed when you buy them, since they aren't resold.
Industry code: NAICS 541611 (Administrative Management and General Management Consulting Services)
Get your Sales, Use and Hotel Occupancy Tax License filed · Start your LLC, DBA and EIN · Business licenses
BACK TO TOP
All Businesses Need a Annapolis Business License & a Trade Business Name ( Anne Arundel County Trade Business Name required if using a trade name).
Retailers / Wholesalers, Need a Reseller Tax ID, & a Business License.
Employers Need a Federal Tax Id Number (EIN), a MD State Tax Id ( State EIN), & a Business License.
Corporations, & LLC Need a Federal Tax Id Number (EIN)& a Business License.
Partnerships Need a Federal Tax Id Number (EIN) & a Trade Business Name, but also need a Business License.
Sole Proprietors May Use a Federal Tax Id Number as a MD Business Tax ID but also need a Business License.
Instead of filing a Trade Business Name, You Can Incorporate in MD or form a(n) MD LLC & You Will Not Need To File A DBA
List of required licenses below include online as well as home or Amazon businesses.
1. Consulting The majority of starting businesses need a(n) , Annapolis business tax id registration (business license).
2. Consulting Businesses with an trade firm name other than the owner's legal name are required to get a(n) Anne Arundel County DBA ( doing business as ) fictitious business name.
3. In MD you may also need a tax id called a resale tax ID or seller's license if you are selling touchable items. ( A.K.A MDseller's permit, state id, wholesale, resale, reseller certificate).
4. Keep in mind that employers will need to obtain a federal EIN and a State EIN tax identificattion number as well. I.e., a MD Federal Tax ID Number and a(n) MD State Employer Tax Number.
5. Instead of filing a fictitious business name DBA Filing in Annapolis, Incorporate in MD or form a(n) LLC.