Philadelphia, PA
A spare bedroom humming with a sewing machine, hangers crowding the closet door and a tape measure draped over a chair.
Short answer: License And Permits Philadelphia PA: start with the structure (an LLC for most owners), then the Sales, Use and Hotel Occupancy Tax License, a federal tax ID number (EIN) and a local business license.
In Pennsylvania, the seller's permit goes by the name Sales, Use and Hotel Occupancy Tax License. To buy for resale without paying sales tax, you give the supplier a Form REV-1220 Pennsylvania Exemption Certificate. Not a sales tax license. A business selling only to resellers applies for a wholesaler certificate instead; it cannot hold both. Pennsylvania issues a separate wholesaler certificate to businesses that sell only for resale; any retail selling requires the sales tax license instead. Fabric and finished garments bought for resale can be purchased with a resale certificate instead of paying sales tax, while sewing tools and packing supplies are usually taxed.
Tip: Keep a separate shelf for business stock, because the day a customer meets your personal sweater collection is the day the inventory count breaks.
Industry code: NAICS 448140 (Family Clothing Stores), 458110 under the 2022 update
Get your Sales, Use and Hotel Occupancy Tax License filed · Start your LLC, DBA and EIN · Business licenses
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All Businesses Need a Philadelphia Business License & a Trade Business Name ( Bucks County Trade Business Name required if using a trade name).
Retailers / Wholesalers, Need a Reseller Tax ID, & a Business License.
Employers Need a Federal Tax Id Number (EIN), a PA State Tax Id ( State EIN), & a Business License.
Corporations, & LLC Need a Federal Tax Id Number (EIN)& a Business License.
Partnerships Need a Federal Tax Id Number (EIN) & a Trade Business Name, but also need a Business License.
Sole Proprietors May Use a Federal Tax Id Number as a PA Business Tax ID but also need a Business License.
Instead of filing a Trade Business Name, You Can Incorporate in PA or form a(n) PA LLC & You Will Not Need To File A DBA
The licenses below are required for all businesses including internet as well as home and businesses like Etsy etc.
1. Clothing Home Business Nearly all businesses need a(n) , Philadelphia business tax id registration (business license).
2. Clothing Home Business All Businesses that use a business name to trade that is other than the surname and first name of a sole proprietor or a fictitious business name other than the LLC or Corporation legal name need a(n) Bucks County DBA ( doing business as ) fictitious business name.
3. In PA you may also need a sales tax ID AKA seller's permit if you sell merchandise that is taxable. ( A.K.A PAseller's permit, state id, wholesale, resale, reseller certificate).
4. You will need a federal and a state EIN if you will hire employees. I.e., a PA Federal Tax ID Number and a(n) PA State Employer Tax Number.
5. Instead of filing a fictitious business name DBA Filing in Philadelphia, Incorporate in PA or form a(n) LLC.