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    birdie33's Avatar
    birdie33 Posts: 4, Reputation: 1
    New Member
     
    #1

    Feb 26, 2011, 08:28 AM
    Selling my own crafts?
    Is it legal to sell things I make, my scarves, candles, soaps, things like that? I don't want to get in trouble with the IRS or some legal thing I don't know about. On the other hand, I hate to spend all that time and money on getting a LLC set up when I don't even know if anyone will buy my stuff. I am hoping to test the water before I do that. I'm in Texas if that matters.

    Thank you in advance.
    JudyKayTee's Avatar
    JudyKayTee Posts: 46,503, Reputation: 4600
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    #2

    Feb 26, 2011, 08:33 AM

    Sell under your own name of get a D/B/A - doing business as - name.

    You only get in trouble if you don't pay taxes on the income, and that includes sales taxes.

    If you are going to sell from your home you need to know what your local ordinances are.
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #3

    Feb 26, 2011, 08:53 AM
    Quote Originally Posted by birdie33 View Post
    Is it legal to sell things I make,
    Hello birdie:

    Not only is it legal, it's the American way. Assuming the things you make aren't consumable (food), then you should be able to make them at home with NO government interference. Judy is right. You can sell your stuff WITHOUT having to invest in corporations, and you don't lose ANY tax advantages.. You probably only need a county license, but I'd check with a CPA first. In fact, a CPA would be the ONLY professions person I'd hire at this point. The reason why is he's CHEAP, he KNOWS about local licenses, he KNOWS how to set up your books right, and he'll FILE your tax returns, leaving you to concentrate on what you're good at - making stuff. A good CPA will make his money when YOU start making money.

    I'd sell my stuff at swap meets, through Craigs List, Ebay, local festivals, art shows and frankly ANYWHERE they'd let me set up a booth.

    Make a lot of money.

    excon

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