Originally posted by: badmouse
Okay, it depends on the street-corner. In many areas, there is strict zoning, so you will be arrested for operating a business in a non-business zone, and fined, probably (no jail). Back on the farm in Ohio it was perfectly legal to set up a stand on the farm and sell stuff, but if you lived in town, you couldn't set up a stand in the front yard - on a regular basis, anyway. The neighbors would complain. If you could keep your neighbors happy, then you were fine.
Larger towns/cities have stricter rules. Street corner vendors must be licensed, and so on.
Second, many businesses need licenses. That varies with the area and with the type of business and the products you are selling.
Third, you DO need to pay taxes on your income, and selling stuff is income. If you sell a few things, nobody cares, but it is illegal (in the strict tax code sense). Some people get lucky and don't get caught, but do you want to count on luck? If you're running something that looks like a business, you'd better keep records and pay taxes.
I was a street-corner musician for a good while, and you gotta scope out your corner carefully, and keep an eye out for the law, and be careful about those "donations". I never made enough to need to pay taxes or keep records, but I did eat from time to time - that was the goal. Sleeping in parks/parking lots was a lot more likely to get me arrested or escorted out of town.