Brenda · MM Westborough LLC · Westborough, MA
Brenda shared: “A salesperson works from their home in Maryland and travels.”
Hi Brenda, a salesperson working from Maryland for MM Westborough LLC, a Massachusetts company, can create Maryland obligations. The employer may need to register in Maryland for payroll withholding and unemployment insurance, and possibly as a foreign business. Whether sales tax applies depends on what is sold. Tell us whether the LLC sells goods in Maryland.
Short answer: Obtain Maryland State Id Number: a sales representative business in Westborough typically needs a federal tax ID number (EIN) and a local business license, with an LLC and a DBA if you use a trade name.
The Massachusetts version of the seller's permit is the sales and use tax registration (Certificate of Registration). When you buy inventory to resell, the paperwork is a Form ST-4 Sales Tax 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. Massachusetts' ST-4 resale certificate requires the buyer's registration number. Supplies you use up in a service are usually taxed when you buy them, since they aren't resold.
Industry code: NAICS 425120 (Wholesale Trade Agents and Brokers)
Get your sales and use tax registration (Certificate of Registration) filed · Start your LLC, DBA and EIN · Business licenses
Clothing Store · Pittsburgh, PA
The owner asked: “Clothing store. I will sell online until I get enough to get a storefront.”
Starting online and moving into a storefront later is a smart way to grow. Register for the Sales, Use and Hotel Occupancy Tax License now, since online sales to Pennsylvania buyers are taxable. Clothing suppliers will want the Form REV-1220 Pennsylvania Exemption Certificate plus your permit number. When you get the storefront, you will also need the city's business license.
Short answer: In Pittsburgh, Pennsylvania, businesses are required to obtain licensing before they start operating. For an online clothing store, that means the Sales, Use and Hotel Occupancy Tax License, a federal tax ID number (EIN) and a local business license, plus a structure and name registration.
Pennsylvania calls its seller's permit the Sales, Use and Hotel Occupancy Tax License. Suppliers selling to you tax-free will ask for 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.
Industry code: NAICS 448150 (Clothing Accessories Stores), 458110 under the 2022 update
Get your Sales, Use and Hotel Occupancy Tax License filed · Start your LLC, DBA and EIN · Business licenses
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All Businesses Need a Westborough Business License & a Trade Business Name ( Worcester 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 MA 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 MA Business Tax ID but also need a Business License.
Instead of filing a Trade Business Name, You Can Incorporate in MA or form a(n) MA LLC & You Will Not Need To File A DBA
The licenses below are required for all businesses including internet as well as home and businesses like Etsy etc.
1. Sales Nearly all businesses need a(n) , Westborough business tax registration.
2. Sales All Businesses that use a business name to trade that is other than the surname and first name of a sole proprietor or a fictitious business name other than the LLC or Corporation legal name need a(n) Worcester County DBA assumed business name certificate.
3. In MA 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 MAseller'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 MA Federal Tax ID Number and a(n) MA State Employer Tax Number.
5. Instead of filing a fictitious business name DBA Filing in Westborough, Incorporate in MA or form a(n) LLC.