Eric · Jacksonville, IL
Eric wrote: “Repairing computers in people's homes.”
Hi Eric, On-site computer repair is a nice setup: no storefront, and customers can watch their problem disappear. In Illinois, labor alone may be treated differently from parts you sell, so if you resell parts or hardware, register for the Certificate of Registration and use Form CRT-61 to buy parts for resale. Without employees, your EIN covers the bank and suppliers.
Short answer: For an in-home computer repair business in Jacksonville, Illinois, the essentials are a federal tax ID number (EIN) and a local business license, plus an LLC or other structure.
In Illinois, the seller's permit goes by the name Certificate of Registration (sales tax), with an Illinois resale number. To buy for resale without paying sales tax, you give the supplier a Form CRT-61 Certificate of Resale. Illinois registers a business as a reseller when all its sales of tangible goods are nontaxable, such as sales only for resale. Illinois' sales tax is legally the Retailers' Occupation Tax, a tax on the seller; resellers get a resale number to buy tax-free. Supplies you use up in a service are usually taxed when you buy them, since they aren't resold.
Industry code: NAICS 811212 (Computer and Office Machine Repair and Maintenance), 811210 under the 2022 update
Get your Certificate of Registration (sales tax), with an Illinois resale number filed · Start your LLC, DBA and EIN · Business licenses
San Francisco, CA
A technician bends over an open desktop, compressed air hisses, and an update bar creeps across the screen.
Short answer: In San Francisco, California, businesses are required to obtain licensing before they start operating. For a computer maintenance service, that means the seller's permit, a federal tax ID number (EIN) and a local business license, plus a structure and name registration.
In California, the seller's permit goes by the name seller's permit. When you buy inventory to resell, the paperwork is a resale certificate (Form CDTFA-230). California requires a seller's permit for sales of tangible goods, and the permit covers selling at wholesale or retail. A California resale certificate normally shows the buyer's seller's permit number; sellers accept it in good faith to skip tax. Components installed in customers' machines can often be bought tax-free for resale, while tools, software for your own use and cleaning supplies are taxable purchases.
Tip: Offer a yearly check-up plan. People forget about their computers until the day the screen goes dark, and then they remember you.
Get your seller's permit filed · Start your LLC, DBA and EIN · Business licenses
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All Businesses Need a Jacksonville Business License & a Trade Business Name ( 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 IL 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 Business Tax ID but also need a Business License.
Instead of filing a Trade Business Name, You Can Incorporate in IL or form a(n) LLC & You Will Not Need To File A DBA
Requirements below include websites as well as home-based or eBay Businesses.
1. Computer Maintenance and Repair 99% of new businesses are required to get a(n), Jacksonville business Id registration ( business tax registration or business permit).
2. Computer Maintenance and Repair Starting businesses using a company name other than the legal owner's name need a (n) DBA Doing Business As Trade Firm Name Registration.
3. In a business tax ID registration (occupationall business license ) and a DBA Doing Business As Fictious Business Name are ncessary for most businesses but if your business sells any taxable items, you will need a sales tax ID number. ( A.K.A ILseller's permit, state id, wholesale, resale, reseller certificate).
4. If you are thinking of hiring help, you will need a tax ID called a state EIN and an IRS tax ID number called an EIN Employer ID Number. I.e., a Federal Tax ID Number and a(n) State Employer Tax Number.
5. Instead of filing a fictitious business name DBA Filing in Jacksonville, Incorporate in or form a(n) LLC.