TN Status: Business credit card application

jixca · Post by **jixca** » Thu Jun 01, 2017 3:50 pm

As a TN status person in US working, is it correct that I cannot apply for a business credit card in the US and claim amazon or e-bay or craigslist or garage sale of selling used books or old electronics as my small business? No profit/revenue is really being made as this is for the purpose of getting business credit cards (and bonuses).

I assume it's a bad idea overall if I have to report such income (say ~$1 per year revenue, no profits) to IRS which did not come from my TN employer and the credit card company may also report the business info with me as the owner to IRS and the USCIS?

So far the online research I found all say No to opening business under TN status, but those are technically real business whereas I just need one for the purpose of opening a business credit card.

nelsona · Post by **nelsona** » Thu Jun 01, 2017 4:17 pm

You cannot operate a business under your TN from US. The credit card gimmick has nothing to do with it.

You can sell these things wherever you want, but it isn't a business, it's merely selling your old stuff.

jixca · Post by **jixca** » Thu Jun 01, 2017 4:34 pm

Right, the act of selling used books is fine under TN status, however if I want to apply a business credit card as sole proprietor using my SSN with the above, wouldn't this get reported to IRS/USCIS and possibly get me into trouble? Since I am effectively claiming that I qualify for opening a small business credit card due to my online sales activity or yard sale as my business operation, regardless of whether I make a profit.

It's not a big deal if I can't, I'm then just limited to personal credit cards only.

nelsona · Post by **nelsona** » Thu Jun 01, 2017 4:44 pm

No, it wouldn't be reported. if the CC firm is lax enough to give you a business card, without you having a business, that is, well, their business. They don't report this to anyone. It's a gimmick.

besides, you can create a business without having any business operations anytime you want -- you just can't WORK at it. A business that does nothing would hardly be worse that claiming that what you are proposing is a business activity -- it isn't.

jixca · Post by **jixca** » Thu Jun 01, 2017 4:53 pm

OK thanks for explaining.

Say I get the credit card and do claim my amazon sale as the small business. If in 2017 I sold a book for $10 and had to pay postage of $2, will I need to keep record of these and file a business tax return?

nelsona · Post by **nelsona** » Thu Jun 01, 2017 5:05 pm

Well, how much did you pay for the book?
If it was more than $8 you have no gain/profit. And this doesn't make it a business.

jixca · Post by **jixca** » Thu Jun 01, 2017 5:14 pm

OK so if I keep my "business" at a loss position for the sake of convincing the banks to issue me a credit card, IRS/USCIS wouldn't care right?

I can just sell a used book under cost each year to keep it running.

I may give this a try if there's a good card offer then.

nelsona · Post by **nelsona** » Thu Jun 01, 2017 8:59 pm

I said, that is not a business. That is a personal garage sale done on line.

Did you not get my point of if a CC company is going to give you a rd for a business that doesn't make money, why not just create a business that does nothing. Never mind selling old romance novels.

jixca · Post by **jixca** » Thu Jun 08, 2017 3:44 pm

OK makes sense, so it's OK for TN status holders to "register" a business (sole proprietor) if it doesn't do anything, or as long as I'm not regularly operating it.

It is as you said another story to convince the banks that it's a legit business, but my concerns are with USCIS/IRS only.