I've been developing websites for clients in a freelance like manner until about a month ago when I finally made a full time commitment to it. Now one thing that has me wonder is... If I'm creating a website for a client (candy store or whatever) couldn't I sell them the website as a product and only have to cover sales tax rather than self employment? Would it depend on how I arrange the deal: 1) Them buying a website from me that was custom made to their specifications. vs. 2) Them paying me for my time to build them a website? Then supposing I could pull this off, is there any catch (such as the earned monies being chalked up to capital gains) on the back end? If anyone has any insights or previously dug into this I would sure appreciate it. In the US btw.