Insurance Insurance

[lens12]

container of tractors

I can have a container load of tractors shipped to you. Contact me at sheaftractor@coiinc.com or 815-284-3226

 

[Anonymous Poster]

Roger...

On the Federal level... aren't most ...lawyers...? /w3tcompact/icons/smile.gif

and on the "rest" of the levels... Professional politicians...(whatever that's suppose to mean?)... kinda like no man's land...?

 

[lens12]

If a person buys a small container of tractors, I believe that's 8, and assembles them and sells them out of his (rural) garage, does he need a business license, ins.,etc?

I'd say most definitely he is operating a business. Legally if he buys & sells one at a time , he is a business. (The only way to not be a business is to buy for ones own use & after a period of time selling the item. If this is done often it starts to look like a business. ) Being a business requires a business license , the proper zoning, business insurance, business phone, paying higher rate for ads, & collecting sales tax. Of course it also means declaring all income on state & federal income tax forms, which I imagine doesn't get done by many hobby/weekend dealers. These extra expenses all have to be figured in when determining the selling price of a tractor.

 

[DVerbarg]

<font color=blue>I would get a business license so you can start writing off some of your expenses related to your tractor dealings. Without one, those expenses are out of your pocket. </font color=blue>

I was under the impression that you can conduct a business, without a license, so long as that business is not deemed illegal. A "license" is permission to do something illegal or forbidden. Unfortunately many types of businesses are deemed illegal nowadays. Some localities may require a license to do certain activities, serve alcohol, prepare food (health dept), etc. Most states also have some form of sales tax (Illinois calls it an occupation tax) that require registering with the state to get a sales tax id.

In the case of selling tractors, if you lived in Illinois, you would need to be registered with the state to collect sales taxes (farm equipment is not taxed, but farm use has to shown otherwise the equipment is taxed).

If you were "selling your time" that is not sales "taxable" and registration with the state would not be necessary, unless you had employees. When I was an independent contractor I would track my expenses and revenues and file the appropriate tax forms. I operated as a self-proprietor using my SSN. Filed taxes with both feds and state and was able to use expenses against revenue.

The closest NH dealer to me (own a Boomer) is now over 1.5 hrs away. Often toyed/dreamed about opening a dealership. Maybe when I "retire" in another 30 yrs...