Do I need a tax ID from the state of Ohio if I already have one from the IRS to conduct business?

Question

I'm wanting to start a part-time photography business from my home and I don't know if I need a tax ID from the state and the IRS? or just the one from the IRS, this business is going to be a partnership with my husband.

Answer 1

The state does not issue tax id numbers, it the one you got from the IRS. Make sure you register though with the Secretary of State.

Answer 2

Unless you have employees, you shouldn't need one. If and when you have employees, you should check with your state labor department - most states issue tax ID's that are separate from the federal ID.

Since your services will most likely be subject to sales tax though, you'll need to register with the state for that, and they'll assign you a sales tax number to use for reporting and payment purposes.

Some states might just assign one number for both purposes - where I live (PA) they are separate numbers.