Hi! I"m getting all my ducks in a row to start selling my treats at a local farmers market. I'm currently classified as a cottage industry. I'll be calling my insurance company to get business insurance this week. I'm looking into getting a vendors license but I can't find what type of license I need. All that's listed is for taxable sales, and everything I do is non-taxable because it's food.
I don't charge for delivery or set up, and I roll packaging costs into the price of the treats.
Do any of you have a vendors license for Ohio... what type do you have? I can't figure all of this out. Thanks for the help!
Sorry, Maria - I just found your post. I think that whenever you sell something in Ohio, you need to have a vendor's license. They aren't that expensive (I think I paid $25 the last time I bought one.) Nice thing is, it will give you access to lots of vendors where you won't have to pay taxes on items. However, you will need to charge that tax back to the customer. You will also need to fix sales tax reports (I think quarterly.) If you haven't already gotten your answers, ask the Auditor's office when you purchase it. Here is a good brochure.
I did end up calling the state of Ohio Taxation department, and they say I don't need a vendors license because food is non-taxable. The lady I talked to said that I was already paying tax on my packaging, so that took care of the tax part.
Now to check on the income tax thing... a whole other issue!