Anonymous
Anonymous asked in Business & FinanceSmall Business · 1 decade ago

Legal requirements to buy wholesale goods?

I'm planning on selling wholesale goods on ebay but I don't know what licenses I need.

2 Answers

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  • 1 decade ago
    Favorite Answer

    There is no "legal" license to sell wholesale. Anyone can sell to anyone else for resale. The only issue is sales tax. Anyone operating a business to sell goods or services needs to register in their state with the tax department, collect sales/user taxes, fill out periodic tax returns and send the collected taxes to the state. Wholesale buyers who are buying goods for resale do not need to pay sales taxes to you, but must supply you with a resale number and certificate. You still have to report the sales, but on the state form, you can deduct them from the sales on which taxes are due.

    Similarly, if you wish to buy "wholesale" and no pay sales taxes, you have to obtain a sales tax number and registration and provide the seller with a resale certificate. For out of state or out of country transactions, this is usually not an issue, but their are exceptions. Step one is to register with your state Misuse of this process is fraud and carries very heavy civil and perhaps criminal penalties. department of revenue, so don't try to skip the steps. If your state/city has no sales tax, there's no problem..... let me know where you live, I'm moving there!

  • Betty
    Lv 4
    4 years ago

    1

    Source(s): Cheap Product Wholesale http://WholesaleDirectories.latis.info/?9Ws3
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