I want to start selling cupcakes and a few custom cakes at my home under the new Home Bakers Act to supplement our income. I can't see making more than a couple of hundred a month. Does anyone know if I need a sales tax permit or a federal tax ID.
The last time I checked the act, you didn't have to have an id or anything. You just have to put on the packaging in a certain format that the cake/cupcakes are homemade, your address, phone, etc. The cakes must be picked up from your home.
They are working on a new act to charge a fee for a license AND have your home inspected before you can sell...but I haven't heard that it has been passed yet or anything!
Also, you don't have to have a tax id or any of that unless you are making over $20,000
Here is another one just in case that one wasn't as informative.