I am an artist that creates a lot of different pieces. I'd like to sell my work but really am not interested in making a profit. Is it considered a business if I am just trying to recover the costs of the supplies? I live in VA and was just wondering what I would have to do to make it legit.
L. E. Gant
Favorite Answer
Yes, it is a business. You are a sole proprietor, and any income you earn from selling your artwork is taxable. Even if you are just trying to recover the supplies costs, and make practically nothing.
How to make it legit? Just declare your income and deduct expenses through infernal revenue. It's surprising how much you might be able to deduct...
Arlo
It's not officially a business unless you fill out paperwork and file it with the government. Unless you do that, it's just an individual selling some artwork. Registering as a business may make it easier for you to operate for tax purposes, but at the same time, you would have to come up with the money to file your business, which I believe you must do every year (might be wrong).