Legal Question in Business Law in California
Online candle store
In California, do I need to file a ''fiticious business statement'' to sell candles online and ''Inc.'' the business. I need to optain a Tax ID number w/ the IRS i order to buy the candles from this company Wholesale.
3 Answers from Attorneys
Re: Online candle store
Your tax ID number is the same as your Social Security number IF you are operating as a sole proprietorship and have NO employees. Otherwise, your business will need to file an IRS Form SS-4 to obtain a taxpayer ID number.
You need to file and publish a fictitious business name statement IF you are using a fictitious name, and only then. If you use your own name, or the name of your corporation, these are NOT fictitious names and you not only don't need to file, you mustn't file, a fictitious business name statement.
Re: Online candle store
Yes.
Using "Inc." is different than filing a fictitious business name statement. Whether one needs to file a fictitious business name statement depends on the name of the business. People doing business in their own name do not need to file such a statement.
A social security number is a federal tax ID number.
Re: Online candle store
To "Inc." the business, you would need to form a corporation. Only corporations can use Inc. Also, only corporations who file fictitious business name statements (in order to do business under a different name) can use the word Inc. in the fictitious name.
A sole proprietor, or you personally, cannot have a fictitious business name with Inc. in it.
You should consider forming a corporation or a limited liability company in order to limit or avoid personal liability for the business' liabilities. We would be able to help you do this. Feel free to call or email with any questions.
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