Why is it illegal to have a little business running on the side?

Updates:
I mean a business that you run out of your home, like piano lessons or making things and selling them to people?

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Most Helpful Girl

  • what do you mean?

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What Girls Said 7

  • I think because there's no way to tax it so you're making money the gov has no idea of

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  • Because if the government can't tax you and make money off of you under a certain system to establish a business on the side lines, they aren't happy, because your making money but they aren't getting money off of you.

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  • ... It isn't...

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  • Probably cause you aren't taxed for running that business and the money earned is tax free. That's generally illegal lol.

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  • I didn't know it was illegal lol

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  • its not.. are you talking about drugs

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  • it isn't...

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What Guys Said 7

  • It's not illegal unless you actually make it an official business, with a name and everything, and not have the appropriate permits or pay your taxes. Besides the majority of in home businesses are conducted online, and it's not like the SWAT team will throw a grenade through your window if you try to sell a handmade sweater throw Etsy.

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  • since when it is?

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  • Who says it is? what are you wanting to do?

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  • i'm quite sure it's legal. you just need to make sure you include the income in your "other income" option for your tax returns.

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  • It isn't. Stop talking bollocks.

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  • It isn't illegal. You do, however, have to report that income and pay taxes. It's tax evasion that is illegal.

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  • As long as you pay your taxes and get the appropriate permits/licenses, I don't see what's illegal about that.

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    • I think that is more of the issue. Some people do not realize those obligations.

    • Those people don't stay in business very long. The government must have its pound of flesh.

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