School Posts

Week 6- Legal Structure

One thing I really appreciated this week, was our discussion boards for this class. Discussing taxes and legal issues for businesses, overwhelms me. Reading what my other classmates wrote, what they found out, asking questions, and having other classmates give their advice back was very helpful.

This week I did research on licenses and taxes for the state of Texas. (where I live.) I plan on going the sole proprietorship route for my business. I live in Texas, and business taxes are different than other states. Texas charges small business taxes as franchise taxes. This is different from a corporate income tax. Business taxes are low in Texas. There is no personal income tax here as well. I’ve been told this is good for small businesses. Business tax rate, it’s low, “shrinks or drops to zero for businesses whose revenues do not exceed certain thresholds.” – Investopedia.com.

As a food blogger, I do not need to get a federal license. However, I will need to get a general business license. I do not need to get a sales tax license or permit since I will not be selling products or services. If by some chance that changes in the future, then I’ll need to. An LLC or corporation protects a business owner from being held personally liable if your blogging business is sued. I’m grateful my husband is a CPA and will be able to help me with any questions I might have.

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