What to Do Before You Open an Etsy Shop
Get ready to open a successful Etsy shop with smart product ideas, branding, pricing, photos, SEO keywords, fees, policies, and launch marketing already planned.
My mother and I are starting a small business together as partners, and we plan to run one Etsy shop under the partnership.
During shop setup, Etsy asks for business owner and tax information (like the taxpayer’s full legal name). For a partnership with two owners, whose name should be entered there, and should it match the person who will be the primary account holder for the shop?
Hi! On Etsy there’s only one primary taxpayer on a shop, so the name you enter should match whoever (or whatever entity) is actually filing the taxes for the shop’s income—not “both owners’ names.”
Here’s how to decide:
If you and your mom have formed/registered a partnership (or other business entity) and you’ll file taxes as that business:
Enter the partnership’s legal business name and the EIN that matches what the IRS has on file for that entity. This is usually the cleanest setup for a true partnership.
If you haven’t formed a separate legal entity and you’re basically operating under one person for tax purposes (common when people start informally):
Etsy will treat the shop like it’s under one person’s taxpayer details (SSN/ITIN or that person’s EIN as a sole proprietor). In that case, use that person’s full legal name exactly as it appears on their tax records. Just know that this generally means that person is the one Etsy is reporting income under.
And yes—practically speaking, the taxpayer details usually need to line up with the primary shop owner/account holder info Etsy verifies (identity checks), and the name on the bank account you’re depositing to should match the name/entity you provide to Etsy. If you put your mom as the taxpayer but the shop owner and bank account are in your name, it’s a common reason people get verification/tax ID mismatch issues.
If you want to truly run it as a partnership, I’d recommend you two decide first: “Are we filing as a partnership with an EIN, or is one of us filing this on our own return?” If you tell me whether you already have a partnership EIN (or an LLC, etc.) and whose bank account you’re using, I can point you to the cleanest Etsy setup.
Related questions
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