"I want to sell handmade cookies I made as a hobby on Instagram. Will it be illegal if I don't register as a business?"
"My parents sell farm produce they grew on Naver Band, and some customers ask for cash receipts. Do we have to issue receipts?"
There are many cases where agricultural products or processed foods made directly by individuals are sold online.
While SNS has the advantage that anyone can easily use it, there are preparation processes that need to be taken when using it as a sales channel.
Shall we take a look at what sellers should be aware of as a basic precaution?
💡 Is business registration necessary?
If you have repeated income regardless of the item sold, business registration is necessary.
If you are planning to sell through online channels such as SNS or sales sites, you also need to register for online commerce.
When should I register as a business?
What industry code should I use for online commerce?
💡 Do I have to issue cash receipts to customers?
If you receive agricultural products from farmers and sell them, it falls under the wholesale and retail industry.
As wholesale and retail business are obligated to issue cash receipts, you must issue receipts if customers request them.
Especially if the transaction is over 100,000 won, you must issue a cash receipt even if the customer does not request it.
For a specific list of industries that are obligated to issue cash receipts and the disadvantages of not issuing receipts, please refer to the link below.
Learn more about industries that are obligated to issue cash receipts.
💡 Is there anything else I need besides business registration?
When processing and selling food, you must apply for food business registration to the local government.
There are also cases where you need to receive hygiene education and health checks.
In addition, depending on the product or sales method, there may be separate regulations, so it is a good idea to check with relevant ministries, laws, etc. 😊
Tax Guide for SNS Market Business Owners
Website of the Ministry of Food and Drug Safety
Food Sanitation Act Law
"I want to sell handmade cookies I made as a hobby on Instagram. Will it be illegal if I don't register as a business?"
"My parents sell farm produce they grew on Naver Band, and some customers ask for cash receipts. Do we have to issue receipts?"
There are many cases where agricultural products or processed foods made directly by individuals are sold online.
While SNS has the advantage that anyone can easily use it, there are preparation processes that need to be taken when using it as a sales channel.
Shall we take a look at what sellers should be aware of as a basic precaution?
💡 Is business registration necessary?
If you have repeated income regardless of the item sold, business registration is necessary.
If you are planning to sell through online channels such as SNS or sales sites, you also need to register for online commerce.
When should I register as a business?
What industry code should I use for online commerce?
💡 Do I have to issue cash receipts to customers?
If you receive agricultural products from farmers and sell them, it falls under the wholesale and retail industry.
As wholesale and retail business are obligated to issue cash receipts, you must issue receipts if customers request them.
Especially if the transaction is over 100,000 won, you must issue a cash receipt even if the customer does not request it.
For a specific list of industries that are obligated to issue cash receipts and the disadvantages of not issuing receipts, please refer to the link below.
Learn more about industries that are obligated to issue cash receipts.
💡 Is there anything else I need besides business registration?
When processing and selling food, you must apply for food business registration to the local government.
There are also cases where you need to receive hygiene education and health checks.
In addition, depending on the product or sales method, there may be separate regulations, so it is a good idea to check with relevant ministries, laws, etc. 😊
Tax Guide for SNS Market Business Owners
Website of the Ministry of Food and Drug Safety
Food Sanitation Act Law