You must first register your business with the Massachusetts Department of Revenue (DOR) in order to be granted a seller’s permit in the state of Massachusetts. You can apply for registration either on paper or online via the MassTaxConnect portal. You will be required to submit basic company information, including your company name, address, and federal tax ID number (EIN).
You can submit an application for a seller’s permit once your company has been registered with the DOR. If it applies to your business, you can also sign up for additional tax licenses, such as the meals tax or the hotel occupancy tax. Annual renewal of your seller’s permit is required, and you must submit timely sales tax returns to the DOR.
You must submit articles of formation to the Massachusetts Secretary of State if you want to convert your sole proprietorship into an LLC in that state. The articles of organization, which establish your LLC, must contain the name, address, and registered agent of your company. A filing fee is furthermore due to the Secretary of State.
After establishing your LLC, you must apply for a new federal tax identification number (EIN) with the IRS. On the IRS website, you can submit an online application for a new EIN. In order to reflect your new business structure, you will also need to update all of your business licenses and permissions, including your seller’s permit. You can do this by logging onto MassTaxConnect and amending the information about your company.
Finally, in order to collect sales tax on behalf of the state if you want to sell tangible products in Massachusetts, you will require a seller’s permit. You must register your business with the Massachusetts Department of Revenue and submit an application for a seller’s permit via the MassTaxConnect platform in order to do so. You must file articles of formation with the Massachusetts Secretary of State and update your business licenses and permits if you are switching from a sole proprietorship to an LLC as your business structure.