hollywood100 Posted January 24, 2009 Report Share Posted January 24, 2009 I know this has been discussed several times but my search did not reveal what I need to know. My question: What IRS form number do i need to fill out? Is it a 637? In other words what do I need to do? Fill out a form and in return do they send me a number or does the form just register me? Also, can I fill the form out online and send to the IRS or do I need to physically send the form in via mail? Thanks! Quote Link to comment Share on other sites More sharing options...
dlaery Posted January 24, 2009 Report Share Posted January 24, 2009 (edited) First you will need a Federal Identification Number. You get that from the IRS web site. It is free. Then you will fill out a form 637, this is from the IRS also. They will send you a questionnaire asking about your business. Then after they approve you Form 637, you will use this to buy components without FET. Then every quarter you will be sent a Form 720, you fill it out and send then a check for 10% of your sales. Edited January 24, 2009 by dlaery Quote Link to comment Share on other sites More sharing options...
GOONSDAD Posted January 24, 2009 Report Share Posted January 24, 2009 Great info..So along that line as I am just starting out as well and so I should include adding 10% fed. ex. tax plus state retail tax in my sell price??? This is the stuff that makes me nervous. Quote Link to comment Share on other sites More sharing options...
jawjacker Posted January 25, 2009 Report Share Posted January 25, 2009 hey lance give me call when u get a chance there is more to the 637 than just not paying the excise tax there is some issues with filing your income tax also.........jawjacker Quote Link to comment Share on other sites More sharing options...
rsinyard Posted January 25, 2009 Report Share Posted January 25, 2009 does it matter if you pay the excise tax when you buy or when you sell? I always pay the excise tax when I buy and figure that into my price when I sell. So, legally does it matter if the excise tax is paid when I buy the components vs when I sell them? Quote Link to comment Share on other sites More sharing options...
dlaery Posted January 25, 2009 Report Share Posted January 25, 2009 The FET is paid on the selling price at the manufacturers level, when the lure is complete. If you buy your components with FET added, you can deduct that from what you owe when you file your form 720 quarterly. When you sell your product that you manufactured, you have your profit added to the selling price. That is when you pay the FET, on the selling price. Quote Link to comment Share on other sites More sharing options...
