The Small Business Tax Help Blog

Question: What is a Reseller Application number and Sales Tax Resale #?

I’m wanting to sell on e-bay, but all suppliers want a Reseller Number , Fed ID number. What are these? Do they cost?

Answer: The Employer Identification Number (EIN) or federal tax identification number is easy to get. The Internal Revenue Service (IRS) web site at http://www.irs.ustreas.gov/businesses/small/article/0,,id=98350,00.html contains all the information you need about EIN and how to apply for an EIN electronically.

Sales tax is an excise tax imposed on the sale of goods and certain services. Check with your state’s Department of Revenue (or however this agency is called in your state) and check their procedures for getting this number for your business, If you are in South Carolina, this is their form for applying for resale certificate http://www.sctax.org/NR/rdonlyres/B07F32FC-0289-49E6-ABC2-DC1D33AE624C/0/ST8a.pdf#search=%22SALES%20TAX%20RESALE%20SOUTH%20CAROLINA%22

Sponsored By:

NOTICE OF PUBLIC HEARING BOARD OF ADJUSTMENT CITY OF FERNANDINA BEACH A Quasi-Judicial, Public Hearing will be held by the Board of Adjustment on Wednesday, September 15, 2010 at 5:30 PM in the City Commission Chambers, 204 Ash Street, Fernandina Beach, Florida to consider the following applications: VARIANCE THOMAS GRAHAM & CORAL HADLER, 00-00-31-1520-0008-0011, LOCATED AT THE CORNER OF SOUTH …

Tax Help : Do I Need a Sales Tax ID Number?

Question: Can I amend an Estate SS-4 from Calendar to Fiscal Year? How?

I am executor of my Dad’s estate. When first applying for the EIN, I made the estate a calendar year entity without realizing the tax consequences. I would have several more months before having to deal with tax issues if I could amend the SS-4 from calendar year to fiscal year reporting. Can a qualified YA member tell me how? I have searched the engines and the IRS.gov site.

No offense, but only those with qualifications to answer please. Thanks all.

Answer: You don’t need to ‘amend’ the SS-4, as it does not bind the estate to the tax year you chose. The only thing that binds the tax year is the actual filing of the first tax return (form 1041). This is true even if you’ve already filed an extension showing calendar year.

That said, the IRS does have in its computers that the estate is a calendar year, so will assume the return is late if it doesn’t receive anything by April 15. If you get a letter asking for a return, don’t worry. Just file the return for the year you want.

Note that the first tax year cannot be longer than 12 months. For example, the tax year for the estate of a person who died April 7, 2007 could end at the end of any month from April 2007 through March 2008.

One last thing, the above all refers to the INCOME tax returns of the estate. Generally, an estate tax return must be filed on Form 706 as well, if the estate had gross assets in excess of the applicable exclusion amount ($2,000,000 for 2007).

Lebanese intelligence agents kill 2 militants

Lebanese security forces killed two suspected Islamist militants Saturday, including the leader of an al-Qaida-inspired group that fought a bloody battle against Lebanon’s army in 2007, two Lebanese military officials…

How do you rate links from sites like Twitter and Facebook?

Question: How is a corporation defined as a small business in Ontario for tax purposes?

Is it based on net income? or Total Revenue before cost deduction? or based on number of employees hired? or …?

Answer: The only answer I was able to find for you was on the CRA’s website for Corporate income taxes.

I found a section on which corporations could claim the Small Business deduction. The formula for determining the deduction uses income as the criteria

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Note: For 2007, the business limit is $400,000

source: http://www.cra-arc.gc.ca/E/pub/tg/t4012/t4012-06-e.html#P2862_208254

Corporations that were Canadian-controlled private corporations (CCPCs) throughout the tax year may be able to claim the small business deduction (SBD). The SBD reduces Part I tax that the corporation would otherwise have to pay.

The SBD rate is currently 16%.

The SBD rate is increased to 17%, effective January 1, 2008. The rate is prorated for tax years that straddle December 31, 2007.

The SBD is calculated by multiplying the SBD rate by the least of the following amounts:

* the income from active business carried on in Canada (line 400);
* the taxable income (line 405);
* the business limit (line 410); or
* the reduced business limit (line 425).

The following section explains each of the above amounts.

Once you have calculated the SBD, enter it on line 430.

Scotiabank reports third quarter earnings of over $1 billion

Earnings per share of $0.98 compared to $0.87

Finding More Tax Deductions for Small Business Owners in 2009, 2010

Question: What happens if you don’t give CafePress your social security number?

I know that it’s supposed to be safe, and they need the social security number for tax purposes and everything, but it says:

“If we do not have this information on file, the IRS requires us to withhold a percentage of commissions due to you.”

Does this mean they’ll still send me some money, but keep the rest for tax purposes?

Answer: What? I bought something from there and IDT I gave them that.

New Laws Effective January 1, 2010

The following legislation will take effect beginning Jan. 1, 2010.

Payroll Software withholding tax for 2010

Question: Tax Return 2008 Question?

Through Turbo Tax 2009, they ask for the “Estimated economic stimulus rebate calculated on my 2007 tax return”….?

Is this the amount of my return in 2007 or how much my stimulus check from the Govt was in 2007.

Dont understand. Please explain to your best knowledge. Thank you

Answer: It’s how much you received.

If you don’t remember, you can go to www.irs.gov and follow the links to find out how much you received.

Mayor criticizes Malibu Lumber-city relationship

The mayor says the city’s relationship with Malibu Lumber is “out-of-hand” and “muddy.”

It’s easy to pay your income taxes online