Freelance law on photography in North Carolina?

<p>Hello! This is going to be a silly question. I have no idea where to start. If you are a freelance photographer, do you need to get a business signed up? For example, if you have a website up and running and state that you offer these photoshooting services; is this legal? I only accept cash. In the same way that I can sell things on Craigslist without having the need to sign up for the business. What are the legal ramifications that I should be aware of in photography? What are some release forms to sign for the client?</p>

<p>How does the law differ from state to state?</p>

<p>Just walk downtown to your local courthouse, and talk to the clerk that handles things like sales tax forms and business chartering. If you're selling things to local customers, you probably need to collect and render (to the state, and possibly to your county or city, depending on the location) sales tax on the physical goods (and possibly on the services rendered - which is why you need to ask).<br /><br />Just talk to the clerk, and get an authoritative answer. The clerk is already employed by you, the tax payer. You could also throw a few hundred dollars at a lawyer to answer the same questions, and to aid you in filling out the appropriate forms if you want. But of course nobody is going to give you legal trouble for putting up a web site that says "contact me about photographic services."<br /><br />As for "legal ramifications that I should be aware of in photography" ... that's a huge, loaded subject that covers contract law, liability, intellectual property rights of several flavors, and much more. Though there are lots of web sites that address this, you might want to start with this book: <a href="http://www.amazon.com/The-Law-Plain-English-Photographers/dp/1581152256"><strong>The Law, In Plain English, For Photographers</strong></a>.</p>

Here's a good place to start:

 

http://www.google.ca/search?q=business+license+north+carolina

<p>Whether you get paid in cash, check, or credit card - the tax (federal) rules are the same - you have to declare as income or else...</p>

<p>Contact an attorney and an accountant - even if you don't want to start a business, and remain a "hobbyist" you need to declare earnings as income.</p>

<p>Dave</p>

 

<p>Thank you for the response!<br>

Matt, would there be a difference between "Contact me about photographic services" versus a "set $300 price for a photoshoot"? </p>

<p>No, Anthony, I don't think so. Saying what you'll charge is completely different than following through and filing your taxes, etc. Here's a simple test: go to the web sites of the nearest 50 wedding and commercial photographers you can find in your area. Look at what they do or don't say about themselves, and then go to your state government web site and see how many of them you can find, by company name, in the secretary of state's company name database (the particulars vary from state to state - but incorporated businesses and LLCs are almost always something you can find in public records, online, with a few keystrikes).<br /><br />My point is that you'll find that some are LLCs, and some are just little-ol'-me sole proprietorships (which is to say, just some guy charging for photography, with no state-chartered entity at all. What you really need to check into is whether or not you need to collect and remit state sales tax for such services.</p>

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<p><em>"Just talk to the clerk, and get an authoritative answer."</em></p>

</blockquote>

<p>In Canada, Court clerks are not permitted to dispense legal advice. Only lawyers are. I suspect it's similar in the U.S..<br>

</p>

<p>I'm not suggesting that a court clerk would be offering legal advice. Rather, that the clerk knows exactly which permits are required for which sorts of business actitivy in that jurisdiction. That's their job!</p>

<p>North (in my meager estimation....) seems to have kept a number of tax laws that were part of the reason the Colonies broke away from the British Empire back in the 1770s. I was stationed there as a non-resident, and the tax listing paperwork was most interesting: Do you have a dog? Do you have a cat? Do you have a color television set? etc., etc. The State of North Carolina has a annual collection of tax on things you already own...</p>

<p>A sale of anything would make you sort of required to pay the state sales tax that you collect from your customer at the time you accept payment.</p>

<p>Good luck!</p>

 

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<p>Court clerks are not permitted to dispense legal advice. Only lawyers are.</p>

</blockquote>

<p><br /> Anyone can give legal advice, only lawyers can charge for it (except whilst working when it could be construed as the company's advice).</p>

<p>From a Google search:</p>

<p>http://www.blnc.gov/start-your-business/business-licenses-permits<br /><br /><br /><br /><br />Sales and Use Tax<br /><br />Every retail or wholesale merchant in the business of selling, renting or leasing taxable tangible personal property in North Carolina is required to obtain a Certificate of Registration, unless specifically exempt by statute. Once registered, you will receive information from the Department of Revenue on sales and use tax reporting and remittance requirements.<br /><br /></p>

<p> You would need to call the state's 1-800 number for free advice...</p>

 

<p>In NC only licensed attorneys in good standing can give legal advice. The court clerks are a dead end for the poster's fairly complex questions. <br>

The OP needs to consider at least three main areas. Business entity, tax obligations, and compliance with other state and local laws other than tax rules. <br>

Generally speaking, a corporate business entity is good because it minimizes your personal risk of civil liability. Once you have your corporation set up you can make the IRC "subchapter S" tax election and save yourself some income taxes and get some helpful deductions. In most towns in NC you will need to purchase a local annual business license and if you are not incorporated, you will need to file an "assumed name certificate" at the courthouses in each county where you work.<br>

OP's best bet here is to talk to a lawyer who does incorporations or a small business practice and get some help doing this stuff correctly the first time. The NC Dept of Revenue can possibly help you understand the sales tax collection procedures and rules, but the OP should also get an accountant with small business experience to help with tax returns, sales tax obligations, and general accounting. Often an accountant is a good source for the names of local lawyers who can do this kind of work skillfully, and those referral relationships may reduce the costs to you as well. Setting this stuff up properly at the beginning should easily save you enough money in taxes and screwups to pay for the professional fees. <br>

Bob Bollinger, (NC attorney at law) </p>