Company Drop Shipping

Will I have to file or pay taxes for drop shipping products?

Joe Joe asked:


I recently started drop shipping some products on my website. Do I have to file taxes? The products ship out of Georgia and I am located in Wisconsin. Also should I LLC?

Robert

Tags: Drop Shipping, File Taxes, Pay Taxes

This entry was posted on Monday, June 30th, 2008 at 5:46 pm and is filed under United States. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

One Response to “Will I have to file or pay taxes for drop shipping products?”

1. bostonianinmo says:

   July 4, 2008 at 1:48 am

   Deliveries to WI are taxable. Your location and the delivery location are what matter, not the location of the shipper.

   Don’t waste you money on an LLC. It won’t save you any money and may well COST extra both in taxes paid and tax preparation. You’re in a low risk business so there’s little need for the limited shield of your personal assets that an LLC provides.