The Small Business Tax Help Blog

Posts Tagged ‘bridgit’

Question: What’s the difference between a “Resale license” and a State Tax ID number?

I live in Texas and am launching an official eBay business and am trying to get my head around all of the licenses, permits, and ID numbers I have to have.

I’ve applied for and EIN from www.irs.gov and a Sales Tax ID number with my state. I have the EIN and am waiting to receive the sales tax ID number.

My question is, is my state tax ID number what they refer to as a “resale license”? If not, where do I get a resale license in Texas? Do I need a business permit to operate? I don’t have a storefront; I just list auctions from my apartment and will store my inventory in a spare closet. Any help would be greatly appreciated.

Answer: Your Sales and Use tax number is utilitized for what you are calling a resale license. The form is really called a Sales and Use Tax Resale Certificate. You issue these to the vendor for goods purchased for resale- this allows the vendor to not charge sales tax to your company. you can go to the Texas website and download the form. Business Licenses are obtained from local (city) government and you do need one.

11 Essential Online Resources for Consultants

This post originally appeared on the American Express OPEN Forum , where Mashable regularly contributes articles about leveraging social media and technology in small business. One of the keys to being a successful consultant is information — having…

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