Craft Cafe
I cross stitch and Lot. I have more projects then places to either put them or have uses for them. If I were to sell a couple of projects a month and make only like 100 bucks or so do I have to file for a small business license or pay taxes on them.
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Visit IRS.gov and your city, county, and state sites for find out specifically. Each area is different, don't ask just anyone for tax advice - you may SERIOUSLY regret it down the road to find out you were making money illegally and have to pay fines.
Also, skip Etsy and open up on Storenvy.com. It's a free to use site that is totally customizable with unlimited listings. :)