
01/24/2025
To sell wholesale on Amazon, you’ll need to establish a legal business entity, typically an LLC or corporation, to protect your personal assets. You may require a seller’s permit and resale certificate depending on your state’s rules, allowing you to collect sales tax and buy inventory tax-free. While Amazon handles sales tax collection in many states, you must ensure compliance with state-specific tax requirements. Income tax must be reported to the IRS, along with any applicable state taxes. If importing goods, be aware of potential import duties. Proper record-keeping is essential for tax reporting and business organization. Consulting a tax professional is recommended for compliance and optimization of deductions.