The Next Level | How will a Tax ID number help my photography business
How a tax ID number will streamline your sales and save you money.
Tax ID number, photography business, photography business practices, running a photography studio
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What does a Tax ID Number do for me?

 tax-id-number

 

As a photographer you are going to want to get a tax ID number from your state’s tax commission.  The reason is that it allows you to purchase goods which you will use in reselling your work and not pay sales taxes on them when you buy them.  Instead, you collect sales tax on the total sales value of your work at the time of sale.  Then at the end of the month you turn in a report to your tax commission with the amount of sales tax you collected and they pull that amount from your bank account.

 

To get a tax id number you can go online to your state tax commission’s web site and apply for the ID.  You will give them your contact information, Social Security Number, create a userid and password and identify your type of business.  With this information they will assign a tax ID number to your business and send you a card with your identity and tax ID number on it.

 

Once you get this card we highly recommend that you Xerox it off a couple of times for your files.  In addition, create a copy for taking to a Kinko’s/FedEx store to have it laminated.  Cut it out to the size of the card and laminate it to carry around in your wallet so you can pull it out when you are checking out at a store or ordering online.

 

By having a tax ID number/account you will be able to file your sales taxes online saving you time and greatly simplifying your life.  Be sure to put the monthly date you need to file your sales taxes on your calendar with a reminder so you don’t miss turning in your taxes and getting a penalty assessed.

gajones31
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