Before you can start selling products in California, the first thing you’ll need to cross off your list is to apply for a seller’s permit. This permit allows you to legally conduct business in the state. Without a California seller’s permit, you may face all sorts of legal and tax issues. While all states require a permit, there are different rules in how to apply and about the cost, as well as the renewing process.
After taking care of the registration process and fees, it’s important to understand the renewal requirements in California as well as other states. As you’d imagine, each state has a different renewal policy. Here’s what you can expect as a business owner.
Renewing a Seller’s Permit in California
In some states, seller’s permits have no expiration date. In others, the permits are automatically renewed, making the process convenient and easy for business owners. If you make substantial changes to your business, such as selling a new product, moving to a new location, or adopting a name change, you may be required to apply for a new permit.
In California, there are certain businesses that must apply for a permit renewal each year. These business types include those involved in the:
- Use Fuel Tax program
- International Fuel Tax Agreement (IFTA) program
- Sale of cigarette and tobacco products
Businesses that are not part of these special tax and fee programs aren’t required to renew their permits. Other states that are similar to California include Virginia, Texas, and Michigan. In these states, your seller’s permit is valid until it is canceled by the business owner.
Getting a California Seller’s Permit Number
In California, business owners can use the online system run by the Board of Equalization. The system requires all sorts of business information, such as business activity, number of employees, and other information that determines which tax program your business falls into. While the process is somewhat streamlined, it still requires time on your part.
Finding it hard to set aside time to apply for your seller’s permit? At FastFilings.com, you can apply for a permit in just a few minutes. Once you click submit, your job is done! We take on the hard task of submitting the information to the state. This puts more time back into your schedule to focus on your company.
For questions about our application process, don’t hesitate to contact us at (415) 857-3301.