Tax ID and wholesale items?
in order to buy wholesale items i need a tax id # but i want to buy wholesale to keep for me not to re-sell can you do that? Just because i purchase wholesale how does that affect me?
- 1 decade agoFavorite Answer
You get a sales tax id to buy things without paying tax on them because you will resell them, and the end purchaser will pay the tax.
Do not buy things for personal use with a sales tax number to avoid paying sales tax, that will get you in alot of hot water.
If you are using your business sales tax id number just to buy wholesale at a place like Sam's you will have to check with your state and local laws on that. The answer is as close as a quick phone call to Sam's Warehouse Club, etc or to your local or state sales tax office.
- Anonymous3 years ago
1Source(s): Wholesale Directory http://enle.info/BestWholesaleDirectories
- Anonymous1 decade ago
Please don't be embarrased, call the person back who is enrolling you for whole sale, and then ask them what you've just asked this forum.
If you are on disability you don't want to indadvertantly earn a grand a month because you have a dynamic team of people building under you. God forbid you should become financially free for sharing what you can stand behind.
But no... You don't have to build the business when ordering a product or service with a social security or Tax ID.
If you do decide in the future to treat it like a buisness, you will be in a tax bracket as a business owner, which means you write off utilities, phone, internet, mileage etc... Up to 3K a year on average can be in your pocket legally and ethically instead of Uncle Sam.
Another point is that if you truly care about others, they will know you are coming from your heart, they will get started on the products and the company will send you a check as their way of saying "Thank You."
I think they have an option where you don't give your tax ID and you can become a member and pay regular retail.
I do this form of business which has allowed me to be a stay at home mom and will tell you this truth... It is the most selfless, unselfish form of doing business on the planet.
Because, you have to have a servants heart in order to succeed That means you honor relationships. I've put members in for retail no problem... However, when its someone who is financially stressed, I will tell them about the business if they want to order products, because product freedom means you don't have to pay for your products anymore.
- MikeLv 71 decade ago
buy wholesale for the business to avoid the tax, then have the business assign the items for your personal use, almost like a drawing account; but check with your accountant because this may vary depending on the form of business you have selected.
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- valladaoLv 43 years ago
purely propose them which you're no longer a US citizen or resident, no longer subject to US tax regulations, and don't have a US tax identity. If the products are being shipped outdoors the U. S., that must be all that they like.