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Across the Fence:  Etsy question and help?  |
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junebug
True Blue Farmgirl
2421 Posts
Sue
West Plains,
Mo.
USA
2421 Posts |
 Posted - Aug 19 2007 : 2:49:29 PM
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Hi! I'm trying to start a Etsy store together with my daughter in laws, and I have just about everything ready to go, just got to enter the credit card info. but I'm wondering do we have to claim the money we make there as income? And how do I set up our page and banner? I know someone here has to know since there are so many etsy stores from here? Thank you!!
Visit me at my blogs:
www.countrypleasures.blogspot.com
www.herbalfarmstead.blogspot.com
www.photo-per-day.blogspot.com
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willowtreecreek
True Blue Farmgirl
4813 Posts
Julie
Russell
AR
USA
4813 Posts |
Posted - Aug 19 2007 : 5:25:08 PM
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I have a paypal account. You will eaither need paypal or google checkout unless you have an online business that allows you to take credit cards. All my money gets deposited into my paypal account and then I can have them direct deposit it into my bank account. This is really the way to go becuase they have great protection services. When you set up your etsy account they will walk you through the process to link your paypal account. If you don;t already have one got to www.paypal.com
Felt and Fabric Crafts
www.willowartist.etsy.com
www.willowtreecreek.com
BLOG
www.willowtreecreek.wordpress.com |
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junebug
True Blue Farmgirl
2421 Posts
Sue
West Plains,
Mo.
USA
2421 Posts |
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willowtreecreek
True Blue Farmgirl
4813 Posts
Julie
Russell
AR
USA
4813 Posts |
Posted - Aug 20 2007 : 09:57:39 AM
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I did my banner myself. I would offer to do yyours but my computer crashed about a week a go so I am stuck just using my school omputer right now. Etsy's policy on taxes is this - You should report all of your income to the IRS. Most likely many people do not. I only made about
$100 from etsy last year and did not reprt it. Ask you accountant. Many states have different laws covering this. Also etsy wil not supply you with a sales reports. You will need to keep up with this on your own. My other thought is this - you are doing business with other people. It will get very difficult to keep track of who sells what especially if you work together or buy joint supplies. Again talk with your acountant. If you anticipate a lot of income it may be easier to set up as a small business.
Felt and Fabric Crafts
www.willowartist.etsy.com
www.willowtreecreek.com
BLOG
www.willowtreecreek.wordpress.com |
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katmom
True Blue Farmgirl
17161 Posts
Grace
WACAL Gal
WashCalif.
USA
17161 Posts |
Posted - Aug 20 2007 : 11:39:54 AM
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Hey Sue,
Unfortunatly, according to Federal Law, any income earned must be declared....yep, even if you are a 14year old girl babysitting, you are suppose to pay taxes( I never did!).....can you believe it....that being said, Uncle Sam is not going to chase after every teenage girl to enforce that law. How ever, you should check with an accountant or stop in at your local IRS office to ask how to handle that.
In the past most "new" home business Like a "daycare" etc, could show a loss/break even for 3 years but then after that had to show a profit. But you also have a lot of write offs. It gets a bit sticky, most likely what little you earn from your etsy/ebay sales will not be a problem for you, but if it does become a "business" then you will need to check into the taxing.
For small amounts eared, you will have to file, but most likely not owe taxes, I forget what the minimum is.
Don't let that discourage you from crafting & selling. I also sell "stuff" on ebay, but I keep a running file of what I sold, to whom, how much & all fees incurred from ebay & paypal. And whether the item was a personal item(like a garage sale) or if the item was for profit(bought-made & sold for profit).
Check out your local library too to see if they have any books on the taxing subject. The librarian should be able to guide you to them.
Have fun with your etsy shop and don't let the taxing rattle you.
>^..^< Happiness is being a katmom.
www.katmom4.blogspot.com |
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junebug
True Blue Farmgirl
2421 Posts
Sue
West Plains,
Mo.
USA
2421 Posts |
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willowtreecreek
True Blue Farmgirl
4813 Posts
Julie
Russell
AR
USA
4813 Posts |
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therusticcottage
True Blue Farmgirl
4439 Posts
Kay
Vancouver
WA
USA
4439 Posts |
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aimeeravae
True Blue Farmgirl
341 Posts
Aimee
Deer River
MN
USA
341 Posts |
Posted - Aug 20 2007 : 9:39:28 PM
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Another great thing I learned, just about everything is deductable. The gas it took to drive to the store to get the supplies, if you and the daughters go to lunch and discuss the business the lunch is deductable. There are all kinds of things that are. Check about use tax. In SD, if you buy something directly for resale, its deductable. If you buy say a glue gun for the making of something for resale and don't pay the tax in store, they require you to pay use tax. Call the dept of revenue in your state and ask is they are having a small business tax workshop in your area. I warn you this seminar will bore you to the teeth. You may want to jab a pencil in you eye by the end of it. But, in the first two hours, I found out what I needed and could write off the hour drive, go shopping, and not have to answer the cell phone cuz I was at the "seminar".
It was all around an enjoyable afternoon. They had NINE fleamarket/antique stores there! I was in hog heaven!!!
Aimee |
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junebug
True Blue Farmgirl
2421 Posts
Sue
West Plains,
Mo.
USA
2421 Posts |
Posted - Aug 21 2007 : 05:43:53 AM
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Thank you all so much for the help and advise, you've all steered me in the right direction and we are looking forward to joining the etsy family very soon! Julie, I will try to make the banner on my own, and will hollor at you if I get lost, hopefully not, but thanks so much for help, your so kind! Welcome Aimee and thanks for your input! Kay, I'm off to check out your store!
Visit me at my blogs:
www.countrypleasures.blogspot.com
www.herbalfarmstead.blogspot.com
www.photo-per-day.blogspot.com
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Across the Fence: Etsy question and help? |
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Etsy question and help?
