Ok I have a silly question, If I have a Tax ID can I use that to purchase me a Automobile and use it as a tax right off for me and my business please someone help me
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aedavis6
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Yes, if it is used for business.
A tax ID allows you to purchase something for resale tax-free. Unless you are reselling the car, you can`t purchase it without sales tax. However, you can write off the purchase of the car and other expenses such as repairs and mileage if used for business purposes. You might wish to consult an accountant for more detailed information.
A tax ID allows you to purchase something for resale tax-free. Unless you are reselling the car, you can`t purchase it without sales tax. However, you can write off the purchase of the car and other expenses such as repairs and mileage if used for business purposes. You might wish to consult an accountant for more detailed information.
The federal tax id number (aka EIN) has nothing to do with sales tax. Sales tax is a state and local tax. To purchase goods (for resale) without paying sales tax, you will need an exemption from your state - typically called a "resale tax permit / license" depending upon the state.
Neither has anything to do with whether the company can purchase equipment (an automobile) and be able to deduct said expense from the company income.
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